- Baltic Exchange training courses 2019
As the New Year approaches, the Baltic Exchange is now taking bookings for its 2019 training courses in London, New York and Singapore.
The courses offer high-level training to shipping, financial and commodity professionals. Below is the full list of courses and the dates and locations they take place in 2019:
Freight Derivatives & Shipping Risk Management (London: 11-12 March & 7-8 October, New York: 8-9 April, Singapore: 1-2 July)
Delivered over two days by experts in the areas of shipping and commodity risk management, the Shipping Risk Management course aims to raise market awareness of risks involved in shipping businesses and how various physical and derivatives instruments can be used to control such risks efficiently and effectively. Participants will learn how to analyse and measure the impact of financial risks involved in shipping investment and operations, and how to select and execute effective strategies to minimise or eliminate such risks, stabilise their cash flow and maximise the return on investment more efficiently.
Advanced Freight Modelling and Trading (London: 13-14 March & 9-10 October, New York: 10-11 April, Singapore: 3-4 July)
This advanced two day module focuses on modelling freight rate dynamics and pricing options on freight. It discusses issues which are relevant to shipping market practitioners such as constructing forward curves on freight, modelling freight rate volatility as well as hedging and trading strategies using freight options. The course aims to provide delegates with both a theoretical foundation as well as practical hands-on experience.
Ship Finance Executive (London: 13-14 May & 11-12 November)
This course aims to raise awareness of the substantial benefits and risks of equity and debt finance, to shipping companies looking for capital and to investors looking at shipping as a market with increasing accessibility and potentially strong returns on investment. Using a variety of real-life examples, course participants will learn how an IPO is made, what to look for when choosing an underwriter, how to identify an under-priced IPO before it is made public using only publicly available information, how to issue a high-yield bond and how to calculate the probability a high-yield bond will default.
Shipping Economics & Investment (London: 14-15 January & 10-11 June)
The course aims to provide delegates with both a theoretical foundation as well as practical hands-on experience on modern shipping economics and investment. It provides delegates with the essential knowledge of shipping economics, operations and investment management. The programme covers the microeconomic structure of the shipping markets including freight, second-hand, newbuilding and scrap markets and presents how these shipping markets interact.
For more information or to book onto one of these courses, click here.
- Baltic ICS January lectures
The Baltic Exchange and Institute of Chartered Shipbrokers (ICS) will be presenting the third in the series of lectures on 30 January in Singapore, Shanghai, Athens and London.
Intended to support and develop brokers and operations professionals, the series will examine topical issues facing those working in chartering and operations roles, offering advice on best practice in critical situations and insight into the changing patterns affecting the shipping sector.
The third lecture will focus on economic cycles & shipping. Join shipping thought leaders for an open discussion on freight market cycles; how have trends in cargo flows changed and what has the impact been from the vessel supply side, as a result of the evolution of the shipowner and the ever-changing ROI horizons for their investors.
Guest speakers include:
Singapore | 30 Jan | 13.00
Global Head of Shipping, Anglo American
Shanghai | 30 Jan | 13.00
CEO, Asia Maritime Pacific
Athens | 30 Jan | 18.30
Director, Ursa Shipbrokers
*In celebration of the New Year, the Athens lecture will be held on the ‘Hellas Liberty’. The seminar will be followed by the cutting of the Vasilopita.
London | 30 Jan | 13.00
Dr Martin Stopford
Non-Executive President, Clarkson Research
This event is free to Baltic and ICS member companies. Those interested must register by email to firstname.lastname@example.org (reference: BXICS203)
View the flyer here.
- Member update: 12 December
The following company has applied for Corporate Membership:
Company Individual TORM A/S
Mr P L Jensen Mr A Pagoropoulos Mr C Matthiesen Ms P Nissen Mr J Hansen Mr K Bendixen Mr P Lindberg Jensen Mr T Gyldengren Mr L V Mathiasen Mr F Yap Mr J Kumar Mr K Hiesiger
The following individuals have applied for membership of an existing member company:
Company Individual BACA – The Baltic Air Charter Association
Mr A Thomas CITIC Commodities Pte Ltd Miss D Zong CMC – Coal Marketing Company Ltd
Miss M Coyle Ms M V Correa Gomez Howe Robinson & Co Ltd Mr Z Wang Golden Destiny SA Mr N Zannikos Simpson Spence Young Ltd Ms J Xie Solar Agency Ltd
Mr M Simkin Mr N Panyushkin Mr R Kostin Mr S Iskov Mr S Redchenko Mr V Chemakin Mr A Shipula Mr A Eliseev Mr A Galkin Mr A Bondarev Mr D Osiev Mr K Ilin Western Bulk Chartering AS Mr J Hovem Leonhardsen
Any comments should be passed to Karen Karanicholas by 19 December 2018.
- Cutting shipping’s carbon
This week sees the conclusion of the 2018 United Nations Climate Change Conference (COP24) in the Polish city of Katowice — a meeting held over a number of days that aims to finalise the practical implementation of the 2015 Paris Agreement. Given that the International Council on Clean Transportation has found that international shipping would be the planet’s sixth-biggest carbon dioxide (CO2) emitter if treated as a nation, according to an April article, it is unsurprising that shipping found itself under the spotlight at the event.
In a cross-cutting roundtable discussion on oceans, coastal zones and transport focused on ports’ part in decarbonising the maritime transport industry, there was plenty of discussion on decarbonisation concerning shipping. It was noted at the roundtable that an International Transport Forum (ITF) report on decarbonising maritime, covering pathways for zero-carbon shipping by 2035, had identified three main intervention and change areas.
“The first is changes in technological measures, the second is changes in operational improvement and the third is alternative fuels,” Wei-Shiuen Ng, ITF transport analyst and modeller, explained.
Scale of the task
Lucy Gilliam, Aviation and Shipping officer at Transport & Environment (T&E), called for “immediate actions” for shipping in light of the Intergovernmental Panel on Climate Change report arguing that only 12 years remain to make unprecedented and huge global energy infrastructure alterations to keep global warming at moderate levels.
We need things that can happen fast and that can happen now
“We need to be reducing those emissions fast, and that means that we need to be thinking about not just the things that we have in process like more-efficient ships, because while that’s a short-term decision, we won’t realise that until the medium or the long-term because it’s about newbuild ships, so we need things that can happen fast and that can happen now,” she said.
Ms Gilliam called for thinking about other measures in terms of operations to slow vessels down as well as about how to incentivise zero-emission ships needed to meet the International Maritime Organization’s (IMO) 2050 target of reducing greenhouse gases by at least 50% by 2050, with a strong emphasis on decreasing to 100% by this date if it can be shown to be possible.
“If we’re going to make that target, … within the next 10 years, we need large, zero-emission vessels entering the fleet,” she said.
Regarding fuels, Ms Gilliam said that research from T&E, and from other consultants for T&E, has shown that reductions of 25% or 30% from LNG are “not the case” and it is being observed that methane slip from engines and the supply chain is “far higher” than what others are saying.
“I would say that actually, LNG is a dead end. It’s a waste of public money. Let’s make sure we’re really investing in those clean fuels. … We’ve seen some really negative impacts from biofuels. It’s really important where the biofuels are from and what their feedstock are, and actually, with many biofuels, you don’t get any greenhouse gas savings overall, and what we would say is: ‘Yes, there are sustainable biofuels, but do we really want to put them in ships? Aren’t there other parts of transport that have a greater need for hydrocarbons because they have no other ways to decarbonise? We have alternatives in shipping, so if we’re going to invest in fuels, let’s invest in the ones that the other transport modes like aviation can’t use, like hydrogen and batteries.’”
Discussing the most important short-term and long-term imperatives connected to maritime transport activity and climate change in relation to IMO 2050, Claes Berglund, public affairs and sustainability director for Stena Line in Sweden, said: “In the short-term, it’s efficiency of ships and efficiency of operations. I mean, basically, that is what we can work on. In the long-term, it’s fuel: what should we run the vessels on? That is the big question and we need more research and development for that, and that should start now.”
New vessels are not needed when it comes to decarbonisation, he noted.
“When we do these developments, at least in our company, … we usually take an old ship and convert it into something else. So we don’t need new ships — we actually need new technologies. That’s enough.”
Carlos Pascual, IHS Markit senior vice president, made a point during the discussion about how the IMO’s 2020 sulphur cap “could really create a sea-change in the way that we handle environmental issues in waterborne transit”. Noting that waterborne shipping had gone up by 3.5 times in the period 2000 to 2016 and is forecast to increase another 2.6 times for the next 15 years, he said:
“To get that 50% reduction in CO2 emissions, it’s actually going to take an 85% increase in efficiency, which is enormous, and it gives us a sense of scale of how big the job is in front of us. … 3.5% to 0.5%, some areas 0.1% — that may not seem huge, but in terms of the refining industry, of the products it has to be produced, it’s a total and absolute change, and on the part of the shipping industry, it’s a complete change in the equipment that’s going to be necessary, and the two are trying to figure out how to meet up together to make supply and demand actually work.”
Maersk’s carbon pledge
While COP24 was underway, shipping giant Maersk announced its aim to obtain carbon neutrality by 2050, noting that to get to this scenario, carbon-neutral vessels need to be commercially-viable by 2030, new innovations have to be accelerated and new technology needs to be adapted. According to Pacific Standard, with the organisation holding a share of the container shipping market of almost 20%, its efforts could help put a dent in the sector’s total emissions rapidly — the IMO’s head of air pollution and energy efficiency, Edmund Hughes, said that the company still emits something like 36m tonnes of CO2 annually.
There is scepticism about Maersk’s objective. Bill Hemmings, T&E Aviation and Shipping director, told Pacific Standard that a similar aviation pledge was made by the International Air Transport Association just prior to the 2009 United Nations Climate Change Conference in Denmark and yet concrete details about how to deliver have still not been revealed. However, at the roundtable, Mr Pascual noted how targets can offer results. With the IMO’s Energy Efficiency Design Index and shipping energy efficiency plan, with the goals of around 10% for 2024 and 30% for 2025 to 2030, “some impacts that can make a difference” were already beginning to be observed, he said.
“From 2008 to 2015, the CO2 emission levels decreased by 16% despite a 20% increase in the tonne mile travelled, the carbon intensity — which is the CO2 per tonne mile — improved by 34%, the newbuild efficiency in container ships improved 58%. … So in effect, what we’re starting to see is that those standards make a difference. They have an impact on the way the industry is reacting and how governments are reacting as well.”
Regardless of all the talk, with emissions from shipping linked in reports to some 400,000 premature deaths annually, and asthma cases numbering in the millions, the industry’s drive to clean up cannot come soon enough.
The Baltic Exchange’s next Shipping Economics & Investment course will be held on January 14 and 15 in London. More information can be found here.
- Athens Christmas reception photos now up
Photos from the recent Baltic Exchange Christmas reception in Athens are now available.
To view them, click here.
- Baltic Irish Night: 14 March
The Baltic’s annual Irish Night will be held at The Brewery, Chiswell Street on Thursday 14 March.
The Baltic Irish Society, Irish night, is one of the most popular events of the Baltic’s social calendar. Held each March on the evening of the closest Thursday to St Patricks Day, it is regularly attended by over 500 people.
The format will be as in previous years, including the traditional sing-along.
Tickets are now available, costing £95 each and can be bought by contacting Colm Nolan by either the email or telephone details given below:
Please note that the Baltic have negotiated a new wine list with the Brewery, which includes alternative wines at a reduced rate from last year.
Ticket payment should be made to:
Sort code 50 00 00
Account number 15427080
Account: Baltic Exchange Irish Society
For those paying directly to the bank, please also email Simon O’Sullivan with payment details.
Baltic Irish Society needs you!
Members under 40 with Irish connections and an interest in having a more active role in the Baltic Irish Society are invited to contact Colm Nolan.
- Baltic Exchange vs. HAC Old Boys
The Baltic Exchange Rugby Football Club (BERFC) is planning a fixture against the Honourable Artillery Company (HAC) Old Boys at the renowned HAC ground, City Road, on 5 January.
Those interested in taking part are invited to register their interest and position to Humphrey Hodgson (O’Keeffe & Partners).