Loss Prevention Advice
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Recent analysis by the legal firm HFW has highlighted a rise in claims involving fuel degradation on dual-fuelled LNG carriers, a pattern also observed in recent UK Club claims, leading to operational complications and legal disputes.
According to the UK Club, this issue often occurs when vessels primarily use LNG, resulting in extended onboard storage of fuels such as VLSFO.
Prolonged storage can lead to degradation, potentially necessitating de-bunkering or causing mechanical failures.
Preventing fuel degradation:
- Regularly recirculate fuel to avoid stratification, where the piping layout permits.
- Maintain optimal storage temperatures, supported by tank heating alarms and charter party clauses that set limits on pour and cloud points.
- Regularly drain tank bottoms to reduce water accumulation and microbial growth, although this may not be feasible in all tanks.
- Consider using additives, provided they are approved by the engine manufacturer.
- Employ monitoring tools such as water-finding paste alongside periodic tank cleaning.
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Over the past week 29 July-4 August no incident of piracy or armed robbery against ships in Asia.
The ships shall continue to intensify vigilance, maintain a sharp look-out while anchoring or transiting areas of concern including the Straits of Malacca and Singapore, and report all incidents immediately; and the littoral States to increase patrols and enforcement in these areas.
Situation of abduction of crew in the Sulu-Celebes Seas and waters off Eastern Sabah
Situation update
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A warning to shipowners, operators, and charterers over the risks linked to loading dry chemicals in Flexible Intermediate Bulk Containers (FIBCs), or ‘jumbo bags’ with the launch of a new video that provides loss prevention advice.
The alert follows several incidents involving cargo fires and damage—particularly on bulk carriers and general cargo ships, with many cases reported at Chinese ports. The Club warns that failure to strictly comply with all relevant International Maritime Organization (IMO) regulations and guidance governing the storage and handling of jumbo bags could even prejudice P&I cover.
To help industry to understand the risks associated with incorrect handling and stowage of jumbo bags, the Club has developed a detailed video case study of a fictional bulk carrier MV Calm Sea, which can be used by vessel owners, operators and charterers, crew and port agents as a training resource for identifying risks, liabilities and best practices.
Given prevailing market conditions, assureds operating bulk carriers and general cargo vessels are receiving frequent requests to load jumbo bags in the same holds as breakbulk and steel cargoes or to store different bagged chemicals in the same hold.
Ian Barr, Chief Claims Officer at The London P&I Club highlighted that in cases of different bagged chemicals being stowed together, chemical contamination and reactions can lead to on-board vessel fires, which can result in the total loss of the entire contents of the hold and large claims.
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The Paris MoU Committee approved at its 58th meeting the 2024 inspection results and adopted new performance lists for flag States and Recognized Organizations.
These lists will be used from 1 July 2025.
The “White, Grey and Black (WGB) List” presents the full spectrum, from quality flags to flags with a poor performance that are considered high or very high risk. It is based on the total number of inspections and detentions during a 3-year rolling period for flags with at least 30 inspections in that period.
Regarding the “White, Grey and Black List” for 2024, a total number of 69 Flag Administrations are listed:
- 40 on the “White List”
- 17 on the “Grey List”
- 12 on the “Black List”.
Top performers
- France: 297 Inspections / 1 Detention
- Denmark: 1246 Inspections / 14 Detentions
- Norway: 1824 Inspections / 23 Detentions