Kazakhstan Kazakhstan

WORLD
FOR PROFESSIONALS IN SHIPPING AND LOGISTICS • No.4 October 2008
Hello
EUROPE
Earthrace
Express
Refuel
A Sea
Change for
Recycling
GAC in
Kazakhstan
page 2
Editorial
The Discovery of
Europe
GAC has Scandinavian roots. You can read about it on our webpage. During
our 50-plus years in business we have transplanted our roots into far places,
starting in Kuwait and spreading out to encompass the world.
Except for Europe and our own home turf.
For reasons explained in these pages, Northern, Central and Eastern Europe
were not on our map, apart from a small office in Stockholm and a toehold
operation in Poland. Our customers and our business goals led us elsewhere.
That situation has now changed.
Shortly after the turn of the century, we
started to discover Europe. We acquired a
logistics operation in the UK. We opened up
in Russia. Now there is Norway and a ship
agency operation covering the UK and
Holland. We have a logistics manager in
Prague building pathways into Central and
Eastern Europe. There is more to come.
No scramble
In the 1800s, Europeans engaged in ‘the
scramble for Africa’. It was essentially an
undignified race to grab land and resources.
GAC’s discovery of Europe is no such
scramble. It is a case of having reached the
critical size and financial strength to allow
us to make long-term commitments to the
complex and highly competitive markets of
this region. Our expansion will be steady and
it will be sustained. In short, we are in Europe
to stay.
Go East young man!
Where does Europe end and Asia begin? For
GAC’s purposes, an answer is not required.
What is clear is that the countries dotted
along Russia’s southern border are a key part
of our new 5-year plan, Vision Y – Global
Values.
We have been in Turkmenistan since
2000 and now we have used our experience
there to open up in Kazakhstan. These
countries’ energy reserves make them key
markets for us because GAC has a strategic
goal to support the Energy Sector globally.
You can read Matthew Towse’s report on
page 12.
Good news
While GAC must track global economic
events, we are not unduly concerned for our
own welfare. The financial strength that allows
us to commit long-term to expansion in
Europe also allows us to remain cautiously
calm in the face of a crisis. This is good news
for our customers. It means that we will be
with you today, tomorrow and for as long as
you need us.
Uneasy times
In the previous edition of GAC World I wrote
that it was still uncertain which way the
global economy would move. Would it sink
or would it float? Now we can see that it is
sinking. The question now is how far.
Will the economic woes of the US
and the big banks ripple out and push the
rest of the world down or will the resilience
of the BRIC countries (Brazil, Russia, India,
China) give us enough buoyancy to bob
back up?
Lars Heisselberg
Editor
[email protected]
Contents
LEAD
European Expansion
GAC's Regional Director shares his thoughts
about the continent.
Eastern Allure
Gunnar Lundgren on the challenges involved
in developing new business in the emerging
markets of Central & Eastern Europe.
8-9
10 - 11
Editorial information
Editor: Lars Heisselberg,
Gulf Agency Company Ltd,
Jebel Ali, Dubai. United Arab Emirates
Art & Production: BANG Public Relations Singapore
Correspondence to: Amanda Millen
Email: [email protected]
Information quoted in this publication has been
obtained from several sources. Whilst every care has
been taken to ensure that details are correct, GAC
cannot provide guarantees thereof.
Material in this publication may be freely quoted,
provided the source is clearly identified. GAC World
is printed on environmentally-friendly
manufactured paper.
Contacting GAC
Want the contact details for a GAC office or staff
member? Please visit the Directory section of:
www.gacworld.com
Back copies of GAC World are available for download
at www.gacworld.com. Click on ‘News’ and then on
‘GAC World magazine’.
REGULAR FEATURES
Insight
Ship recycling facing a sea change
6
Environmentally friendly ship dismantling in
the spotlight.
Wherever You Go
GAC Kazakhstan:
12
“Central Asia and the Caspian Sea are now
essential bases to cover if you’re serious about
oil and gas...”
My Town
Odessa:
18
Capt. Boris Khrebtov's guide to his home port.
GAC WRAP
F1 Roadshow
5
GAC base in Algeria
14
Lone lady driver gets GAC support
17
Giant cargo + big bird = Job Done
20
page 3
page 4
GAC Wrap
News Beat
AWARDED:
The GAC Marine Tug “LINDA1” with
the first ever Project Excellence Award
bestowed by its client, Consolidated
Pipe Carriers (CPC).
CPC delivers pipe joints for offshore
pipeline laying operations. The award
recognizes the efforts of the crew
and their land-based support staff
in achieving the first ever ‘clean sheet’
on the RasGas Phase II Pipeline Project
offshore safety inspection program.
The award was presented to the
Captain Azeez and his crew by CPC’s
Project Manager, Capt. Jim Sweetensen,
during their recent call to Mesaieed,
Qatar.
WOWED:
EXPRESS REFUEL:
For ‘Earthrace’, the world’s fastest eco-boat, which filled up in just 80 minutes when she
called at Cochin as part of her attempt to break the world record for a powerboat’s
circumnavigation of the globe.
A quick turnaround was essential for the 24-metre tri-hulled boat powered by biofuel, as she had lost valuable time due to weather conditions and essential maintenance in
Singapore. But excellent coordination between GAC, Cochin Port Trust, local suppliers and
the boat’s crew enabled her to smash her own port stay record and quickly be on her way
across the Indian Ocean heading to Oman.
EMBEDDED:
Karolath Gopinath, as Hoegh Autoliners Norway’s Resident Manager at the GAC
India building in Chennai. The two companies signed an agency agreement in
2006 in anticipation of an increase in car manufacturing and exports out of India,
which are expected to touch the one million mark by 2010.
The Hoegh office at GAC Chennai was officially inaugurated at lamp-lighting
ceremony on June 2.
DRIVEN:
Mark O'Callaghan (left) of GAC’s
London Hub Agency Centre got a
taste of what it’s like in the cockpit
of an F3 racing car. But he soon handed
the controls back to GAC-sponsored
driver Viktor Jensen (right), who took the
high-powered machine round the track
at Brands Hatch.
Mark was at the world famous
race track as part of a day out with
GAC clients. “We had a fantastic day
with Viktor and his race team, learning
all about the car that sports the GAC
logo,” he says. “Sponsoring our own race
driver certainly gives a special touch to
client hospitality.”
Crowds at the 10th X-Games Asia
in Shanghai featuring more than 200
of the world’s top action sports athletes
and GAC China helping to deliver
the buzz.
The Shanghai team handled the
import and all logistics for the equipment
used in the Aggressive In-Line, Skateboard,
BMX Freestyle, Motor X and Sport
Climbing events at the city’s KIC
Jiangwan Sports Centre.
The games drew record crowds
and showcased action sports stars from
five continents including: Andy Macdonald,
defending his Skateboard Vert title;
the Yasutoko brothers Eito and Takeshi,
who have dominated Aggressive In-Line
Vert for the past nine Asian X-Games;
and 2006 X-Games BMX Vert champion
Chad Kagy, who captured another gold
medal.
GAC Wrap
page 5
Bringing the
F1 Roadshow
to town
On the Asian Formula One circuit there
are the races and there is the roadshow
that goes with them. GAC is helping to
bring the latter to motorsport fans in
Singapore, Bangkok and New Delhi.
As logistics partner of the STAR Sports
Speedzone Presented by ING, GAC is
transporting staging and equipment to the
three cities. It is also moving a full-size replica
Renault F1 race car and two F1 Race
Simulator Cars used for the ING Simulator
Grand Prix Challenge in all the cities.
Fast & furious
The Singapore leg gave devotees a ‘fast &
furious’ boost before the Singapore leg on
September 28. From Singapore, the show
goes to Bangkok during October and New
Delhi in November.
GAC Logistics is responsible for all
inbound and outbound cargo movements for
all three destinations.
"While the challenge for F1 fans is pitting
their racing skills against the electronic
F1 race simulators, our challenge is ensuring
that we get all the roadshow gear to and
from the destinations on time, all the time,”
says Jorgen Nielsen, GAC Singapore’s
Logistics Manager.
Events logistics specialists
Over the past decade, GAC has become a
recognised name in Event Logistics, taking
care of air freight bookings, documentation,
packing and unpacking, speedy customs
clearance, physical cargo checks, land
transport, precise timings of up-lifting and
arrival of consignments, and ensuring timely
delivery to and from the venue.
Sporting qualities
Bill Hill, Group Vice-President, GAC
Logistics, says: "Logistics, like sports, is all
about communications, teamwork, timing,
strength, dexterity, precision and smart moves
- all the qualities that GAC customers would
look for in a logistics partner.
"We are happy to be chosen as the
official logistics partner by ESPN STAR Sports
for the Speedzone roadshow as GAC firmly
believes in sports sponsorship to reach its
customers and business associates globally.”
ESPN STAR Sports' Senior Vice
President for Ad Sales Charles Less adds:
“GAC’s proven track record in handling motor
sports racing equipment in other major motor
racing events and entertainment road shows
was key to their appointment.”
Sponsorships
GAC Logistics sponsors English Football Club
Crystal Palace, South African pro-golfer
Richard Sterne, Iceland's Formula 3's Viktor
Jensen, Alex Brundle, the 17 year old son of
British F1 legend and Le Mans winner, Martin
Brundle, the Manchester United Soccer
School, as well as several motor-cross events
in the Middle East.
page 6
Insight
Ship Recycling
facing a sea change
by Chris Isherwood
Business Development Manager,
GAC Shipping Services
If you were at the Lloyds List Ship Recycling conference in London
in May, you’d have heard as many opinions about the future of
this sector as there were delegates. However, there was one thing
they all agreed on: there would be change.
Chris Isherwood witnessed modern recycling methods when he visited the Harland &
Wolff shipyard in Belfast, Northern Ireland, earlier this year. CEO Robert Cooper and
Sales Manager (Civils) Lawrence Cobain showed him Europe’s largest dry dock, which
held the MSC ‘Napoli’. The vessel had run aground off the Devon coast last summer,
and her salvaged structure – close to 12,000 tonnes of steel - was being dismantled.
Harland & Wolff has a proud history in ship-building and repairs (including the
building of the ‘Titanic’) and today is one of the leaders in the environmentally-friendly
dismantling of ships.
Insight
Seeking a convention
A recent report by the International Maritime
Organisation’s Marine Environmental
Protection Committee (MEPC) is part of the
push to reach agreement on a workable
convention to govern the ship recycling sector.
The MEPC report joins a host of
conventions and platforms already in
place. The Basel Convention, for example,
was originally drawn up to cover the
handling and disposal of waste materials.
Now it is co-piloting the ship recycling
agenda together with the International Labour
Organisation (ILO).
Consideration also has to be given
to other conventions and interest groups
including the Stockholm Convention, the
European Union, BIMCO and Intertanko
representing their members, and the NGO
Platform on Ship-breaking representing
Greenpeace, the Basel Action Network (BAN)
and others.
Bull market
Prices for ferrous and non-ferrous materials
are currently high. You only have to look
east of Suez to see why. Demand is strong
thanks to an international construction boom
and industrial growth in new markets.
Today, we’re in the middle of a bull
market. HSBC’s weekly shipping report
shows a gas carrier built in the 1970s
selling ‘as is’ for a whopping $940
per Light Displacement Ton (Ldt). A
more representative price of $710 per Ldt
is reported for a 1980s tanker sold
‘as is, where is’ in India for delivery
to Bangladesh. Not so long ago, $150 per
Ldt was considered good.
Changing times, changing
methods
Anyone who has been in the business
long enough will remember that we
used to call it ‘scrapping’. But times
have changed, and so too our sensitivities,
priorities and sentiments. ‘Recycling’ is
the new buzzword. And it’s an efficient
business, with a reported 97% of vessels
being recycled and/or reused.
page 7
The traditional way of dealing with a
vessel when it came to the end of its
life at sea was to beach her, and then
an army of labourers would dismantle
her piece by piece.
While the old ways continue on
beaches around South Asia, there is
growing pressure to reduce environmental
damage. More and more ships are being
sent to drydocks to be dismembered,
much like peeling an orange. Pollutants
and harmful materials are captured
and disposed of carefully.
Horizon 2010
Right now there is a world fleet of
single hull tankers that will need to cease
operations by 2010 to comply with new
international regulations.
Market watchers predict the disposal
of 3,000 or even 4,000 merchant ships in
the next decade. That’s a lot of steel
and other metals now trading at $700+
per ton. Watch this space.
page 8
European expansion
Europe is a much prized market. Its size and wealth are magnets
for the world’s goods and services. GAC has felt that magnetism
and is now on a concerted growth path to establish a firm base
there. Erland Ebbersten, GAC’s Regional Director for Europe,
M e d i t e r r a n e a n a n d A f r i c a , a n s w e r s o u r q u e s t i o n s.
What took GAC so long to focus
on Europe? How are you going to
catch up with the competitors
who already have a strong
presence there?
GAC’s core market, since the early days, has
been the Middle East. We took that
experience and applied it to hardship areas
like Nigeria, India and Turkmenistan. Despite
the challenges of limited infrastructure,
bureaucracy, corruption, etc. we have been
successful. As we grew and globalisation
introduced itself, we started developing into
a global operator. Because the threshold to
establish business in Europe was - and still is
extremely high - and organic growth takes a
long time, we established ourselves mainly
through acquisitions of stable companies that
fit in the GAC corporate culture. The plan
is to continue that strategy.
What is your vision for GAC’s
European operations?
The vision is to continue our global strategy
which requires a presence in most European
countries, either with our own company or
a network agent. It’s especially important for
us to expand our logistics services not only
to serve our customers better, but also because
competition demands it. For example, in the
oil & gas sector, our combined services in
shipping, logistics and marine add unique
value to our North Sea clients which we will
service though our companies in the UK,
Norway and Holland.
Is there room for expansion in the
mature markets of Europe?
Definitely. Especially for global operators like
ourselves in the transport business who can
offer new ideas and innovations to our
international client base who also have
business in Europe. More and more,
companies are outsourcing their supply chain
management, which will usually require a
global organization. Many local European
companies can only provide fragmented
services. Shipping companies are also looking
for global solutions.
What are the biggest challenges
GAC faces in the region?
Finding the right companies to acquire that
fit our Corporate culture and then successfully
integrating them into the Group. It’s also
challenging, like in many other places in the
world, to recruit and retain qualified,
c o m p e t e n t a n d e x p e r i e n c e d s t a f f.
The heavy increase in oil price also
brings its challenges. We believe many
European manufacturers will move their
production much closer to the customer to
reduce trucking costs. More energy-efficient
ways of distributing goods would balance
higher labour costs.
What important lessons/best
practices can GAC import from its
home market, the Middle East?
Because of the limited infrastructure in the
Middle East in the early days, GAC was forced
to become innovative in finding solutions for
customers. This is one of GAC’s strengths.
We come up with solutions by thinking
‘outside the box’ – something many of our
European competitors struggle to do today.
A trip around the continent
quickly shows just how diverse it
is, and how fiercely most
countries guard their unique
identities. Is European unity just
a pipe dream? And if not, what
factors can achieve that unity?
European expansion
There are definite remains of tribalism in
Europe. People are still hanging onto
nationalism and their traditions, but it is
evident that Europe is stronger because of
its unity, and the proof is in the general
strength of the Euro economy, despite high
oil and gas prices. Some sectors don’t even
rely on oil anymore. They are using cheaper
energy alternatives like solar, wind, and wave
power. I believe as long as we have healthy
economic growth, the EU will continue to
become more and more unified.
How to segment a market like
Europe?
Today, I think most people geographically
segment Europe into Northern & Western
Europe, which is considered the more
developed area, and Central & Eastern
Europe, the EU newcomers. Then there is
the whole Euro-Mediterranean region. I’m
sure there are many other ways of
doing it depending on what business you are
talking about.
Does the existence of the
European Union help or hinder
business in the region?
Overall the existence of the EU helps business
in the region more than it hinders. For any
company who wants to set up there, it is
helpful to have similar rules and regulations
to follow. The free movement of labour is
also a plus. In the transport business, the free
movement of cargo across borders makes it
more flexible for us when developing logistics
solutions for our clients.
As an example, a warehouse hub doesn’t
have to be in the country where the goods
are destined. On the other hand, an example
where the EU may hinder business in the
short term is in the new member states where
we have witnessed a brain drain with qualified
people moving to other member states for
better terms.
What has been the impact of EU
expansion on GAC’s business?
The recent addition of 10 countries to the
European Union has opened up new
opportunities for us, especially in the Central
and Eastern European countries, and as a
page 9
result we have based our Regional Logistics
Sales office in Prague (see pages 10-11) to
speed up the establishment of GAC in this
area. The expansion has already influenced
many Western European companies to
relocate their manufacturing plants to the
new member countries.
I think the elimination of trade and
customs barriers makes the transportation of
people, goods and capital quicker and easier.
There’s now a bigger choice of trading
partners, bringing economies of scale and
expanded market opportunities.
With the rising costs in business
operations, how will GAC ensure
that its prices remain competitive
and attractive to clients in Europe?
We are working on increasing our productivity
by improving our processes and IT solutions.
We also have an advantage towards the local
European companies since we are able to
draw on our worldwide human resources.
Isn’t Europe old news? Surely, the
new big players in global business
are in Asia and Latin America?
The big players have to be represented in
Europe as well. We can’t be a global operator
without being in Europe. As you rightly say,
there is a lot of focus today on Asia and Latin
America which are growing fast. But who
are they doing business with? Europe is still
one of the world’s biggest trading blocs so
we need to be there.
GAC is a relatively unknown brand
in Europe, apart from the UK.
How do you intend to get the
GAC name out in the market?
We will attack this on several sides.
To start with, our sales & marketing team
is travelling all over Europe meeting
key customers. To spread our branding
further we have set up a communications
department in London to focus on
the European media. We are also involved
in sports sponsorship with the Crystal
Palace football team in the UK, a winning
South African Pro-golfer and in motorsport.
These have given us wide media coverage
and that will continue.
page 10
European expansion
European expansion
page 11
Central & Eastern Europe:
Moving up
a Gear
Gunnar Lundgren,
GAC’s Logistics
Manager for Europe,
reflects on the challenges
involved in developing
new business in the
emerging markets of
Central & Eastern
Europe.
We hear a lot of talk these days
about the importance of developing
markets. Indeed, many multinational
companies have woken up to the crucial
role that the former Eastern Bloc will
play in fueling global growth over the
next decade.
Once considered a side market,
manufacturers and logistics companies now
see Central & Eastern Europe becoming one
of the ‘main events’.
Consumer boom
National economies are growing fast,
due to relatively cheap but skilled workforces
and proximity to the big consumer markets
in Europe, the Mediterranean and the Black
Sea region. And as Eastern Europe’s
economies have improved, so have living
standards, bringing increased consumer
demand and a boom in imports.
First steps
When expanding a logistics business in
Central and Eastern Europe, the first step
is to identify which countries you wish
to work in. We carefully studied import
and export data to pinpoint the countries
that would best fit the GAC profile and
geographical spread. For instance, as GAC
has a major logistics presence in the
Asia Pacific region, which produces many
of Europe’s consumer goods, it made
sense to focus on countries involved in that
import trade.
The next step is to visit a target
country to gather frontline information
and make connections with potential
partners, suppliers and customers. We
were helped by the fact that GAC
already had relationships with key
customers or carriers in other parts of
the world, an excellent basis on which to
build business in a new market.
Initial focus
Using this process, GAC has identified
Bulgaria, the Czech Republic (where I am
based), Hungary, Romania, Slovakia and
Ukraine as the countries to focus on initially.
Many small- and medium-sized agents in
those countries are keen to tie-up with GAC
and this has given us the opportunity to select
two or three to cover every aspect of the
business and meet all the potential logistics
needs of clients in these new areas.
Along with starting from scratch in
these new markets, we are also further
developing our existing logistics operations
in Russia and Poland.
Growing network
Each of the countries in our target area has
a distinct character and it takes time to
understand them both culturally and
logistically.
We are now starting to see the benefits.
GAC has a growing network of partners
and agents in the region and we are
raising the GAC profile in Eastern
Europe to place us at the heart of
new opportunities.
page 12
Wherever You Go
GAC Kazakhstan
GAC set up in Kazakhstan in
June this year, initially to secure
logistics business conducted with
GAC China. This business has grown
significantly in recent years and
consists mainly of movements of
pipes and casings for the oil and
gas sector from China to Kazakhstan
and Turkmenistan.
GAC Kazakhstan's Matthew Towse, Olga Martsinkevich
and Gulzhan Duisenova, with GAC Marine Turkmenistan's
Andrei Kirilenko.
Focus on energy
General Manager Matthew Towse, a business
veteran of the region, says setting up an
operation in the country was a logical step
given the Group’s focus on the energy sector.
“Central Asia and the Caspian Sea are
now essential bases to cover if you’re serious
about oil and gas,” he says. “Kazakhstan has
some of the world’s largest oil reserves,
including the massive Kashagan field in the
North Caspian Sea, the largest oil find in the
past 30 years. Anticipated demand for both
logistics and marine services in the area
is huge.”
Marine growth
Expansion of GAC’s marine operations into
Kazakh waters builds on the company’s
experience in Turkmenistan, where GAC has
operated since 2000.
People
The Group’s partnership with energy major
Chevron has been pivotal, as it is the major
shareholder in the Tengiz onshore field,
currently the country’s biggest oil producer.
Starting squad
The GAC Kazakhstan team is small but
growing. So far, it consists of Matthew Towse,
Olga Martsinkevich and Gulzhan Duisenova,
with the support of Andrei Kirilenko, GAC’s
Commercial Manager in Turkmenistan. More
logistics and marine professionals are expected
to come on board by the end of the year.
Plans are also in the pipeline for a second
office, in Aktau, on the Caspian coast. This
is the operational centre for the country’s oil
& gas and marine industries.
page 13
Moves &
Appointments
GAC Headquarters, Dubai
GAC Qatar
Filip Björklund
Jonas Ericsson
Previously:
Previously:
Business Controller
Business Planner & Analyst for
Citibank Sweden
GAC Dubai
Mattias Sundström
Group IT - Application architect
Logistics Operations Manager
Worked for Volvo Logistics Corp.
& Labinett Lab AB in Sweden
Nicklass Ebersson
Sales Manager
Previously:
International Moving
Services Manager
Previously:
Worked for NetOnNet, Teleca,
MindArk & TeliaSonera
Ravindu Rodrigo
Operations Manager
Previously:
PT. GAC Andhika Jakarta
Operations Supervisor
Abdul Latheef
Managing Director
Previously:
General Manager for
GAC Ras Al Khaimah
Markus Pabst
Manager, Supply Chain Services
Previously:
Manager, Supply Chain Services
Division-Middle East, for Rodhe
& Liesenfeld Qatar
GAC Ras Al Khaimah
Rajesh Moorjani
General Manager
Previously:
Business Manager for
GAC Oman
GAC Logistics UK
Stuart Bowie
Managing Director
Previously:
Managing Director for
GAC Hong Kong
GAC Seoul
Sangkug Han
Glenn Jones
Previously:
Previously:
Marketing Manager
Manager with Hyundai
Merchant Marine Co. Ltd., Seoul
Manager, Newcastle branch
Assistant Branch Manager,
GAC Logistics UK Newcastle
GAC Fujairah
Kristofer Arnell
Commercial Manager
Previously:
Vessel Operator for
Broström Tankers
GAC Oman
Kosala Wijesinghe
Business Manager
- Shipping Services
Previously:
Assistant Shipping Manager
for GAC Oman
LOOKING FOR
CONTACT DETAILS?
Many GAC staff are listed in the
directory section of the GAC website:
www.gacworld.com
Just type in the surname of the
person you are looking for in the
Name Search field in the "Directory"
section of the site.
page 14
GAC Wrap
GAC
sets up
ship agency
base in
Algeria
The booming oil and gas sector in
Africa has prompted the establishment
of GAC's newest company.
Since July this year, GAC Algeria
has provided ship agency services
to vessels calling at all the Algerian
main ports of Annaba, Skikda, Jijel,
B e j a i a , A l g i e r, M o s t a g a n e m ,
Arzew/Betioua and Oran.
Energy focus
Erland Ebbersten, Regional Director
for Europe, Mediterranean, Black Sea,
Caspian Sea and Africa, says GAC's
expansion into the country reflects the
Group's ongoing focus on the global
energy market.
"Being heavily involved in oil & gas, we
cannot miss establishing a strong presence
in Algeria where 1.5 million barrels of oil
are produced on an average day,” he says.
“Algeria is also the 4th largest exporter
of gas."
Global reach, diverse offerings
General Manager Xavier Perrin believes the
advantage for GAC’s customers in Algeria
lies in the Group's global network,
infrastructure and resources.
While the company’s core focus is on
oil and gas exports, GAC will also handle the
import of pipes in bulk vessels, car carrier
imports, drybulk import/export, as well as
liner business.
GAC Wrap
page 15
GAC-Ultramar
Network expands
The GAC-Ultramar Network, part
of the GAC global ship agency
network, has extended its South
American coverage by adding Colombia
and Ecuador to its existing presence
in Argentina, Chile, Peru and
Uruguay.
The GAC-Ultramar Network
alliance was formed in 2004 and
combines GAC's global reach with
the Ultramar's regional expertise to
provide tailor-made port and hub
services to Principals operating in South
America.
Important development
GAC Group Vice President for Shipping,
Lars Heisselberg, sees the network
expansion as an important development
for the four-year alliance: "Colombia and
Ecuador operate some of the busiest ports
and trade lanes in South America. Our
presence in both countries is a significant
boost to our existing network."
As the largest ship agency in Colombia
in port call volume, GAC-Ultramar Network
Colombia offers tramp and liner agency
through offices in Bogota (Headquarters),
Barranquilla, Buenaventura, Cartagena,
Santa Marta, Puerto Bolivar, Coveñas,
Cali and Medellin.
The Ecuador operation is the result of
an agreement between Ultramar Network
Chile and Grupo Transoceanica, the premier
transport group in the country. The ports
covered are Esmeraldas, Guayaquil, Manta,
Puerto Bolivar, La Libertad and Gal pagos.
"With this network expansion, we
will be able to provide clients with a
single and uniform point of entry for all
their ship agency needs in South America,"
says Detlev W. Spethmann, Director,
GAC-Ultramar Network.
BIG
Loads?
page 16
Sheer size
GAC Wrap
The four absorbent chambers (205 tons each),
raffinate column (475 tons) and xylene
column (606 tons) had to be shifted from
Shuaibah Port, where they had arrived on
board the heavy lift carrier ‘Fairmast’ operated
by Netherlands-based Jumbo Shipping.
Imtiaz Ahmed, who was in charge of
the GAC operation, says the distance of just
4 km to the site was not a problem – but the
sheer size of the loads presented challenges.
For a start, the vessel had to berth at
the US Army dock, the most suitable for such
heavy cargo, and that meant negotiations,
careful planning and meticulous compliance
with security protocols.
Once unloaded, the four smaller units
were delivered to the site over four days. But
NO PROBLEM FOR
GAC KUWAIT
They’re big, they’re bulky, they’re heavy – and they were trusted to
GAC Kuwait.
They’re components for a prestigious USD1.4 billion facility
for the Petrochemical Industries Corporation.
the super-heavy columns had to be put on
stools for temporary storage in a secured area
in the port.
“It took a lot of negotiation and
manoeuvering with the US military and Port
Authorities to secure the best site and
accommodate such huge cargo,” says Imtiaz.
“And when the time came, it took even more
negotiations to enable the convoys to leave
the port and make their way to the site.”
The heat is on
The first super-heavy convoy carrying the
smaller of the two giant columns ran into
some problems caused by soaring
temperatures up to 53 degrees Celsius and
the over-heating of engines along the way.
That meant frequent stops and delays.
Next came the ‘Big One’ – not only the
heaviest of them all, but also 68 metres long.
“To our delight, the biggest load did
not bring with it big problems,” says Imtiaz.
“I guess the lessons we learned from our
experience with the first column made sure
we were prepared for the biggest challenge
of all.”
The excellent support and cooperation
of Saima Avandero, the Italian forwarder
GAC worked with on the project, was a
major factor in its successful completion.
Imtiaz adds: “Marco Gabbini, the Saima
Avandero representative, and Tecnimont
personnel at the site made all the difference.
The team spirit they showed in working with
us helped ensure the success of the operation
carried out under the GAC umbrella.”
GAC Wrap
page 17
Lone lady driver
gets GAC Jordan support
When Abir Batikhi put the pedal to the metal
as the only female driver in the World Car
Rally (WCR) championship in Jordan this
April, she had GAC by her side.
With the GAC logo prominently
displayed, Abir drove the rally route through
breathtaking desert landscapes near the Dead
Sea and Jordan Valley. It was a challenging
route ranging in altitude from 1,000 metres
above sea level to 400 metres below (the
lowest point on earth), often in temperatures
over 40 degrees Celsius.
Jordan is the first Arab nation to host
the WRC, as well as the first to be invited to
join the series.
page 18
My Town
My Town
Odessa
Capt. Boris Khrebtov,
General Director
of GAC-Maxmarin
gives us a guide to
his home town of
Odessa, Ukraine’s
largest port.
important port. Its location on the
north-west coast of the Black Sea, at
the crossroads of Europe, the Near East
and Asia, continues to define the city.
Well-developed road and rail infrastructure,
proximity to major rivers including the
Danube, a good port and an international
airport, have created favourable conditions
for trade.
Marine business plays a dominant role
in Odessa’s economy, as well as food
processing, manufacturing and light industry.
City of culture
Brief History
The city of Odessa was founded in 1794, as
the third city in the Russian Empire, after
Moscow and St. Petersburg.
Being the largest port on the Black Sea,
it soon became a hub for international trade
and an important centre of science and culture
in the south of the Russian Empire.
Modern times
Today, Odessa has more than one million
inhabitants and remains Ukraine’s most
Odessa has six theatres, including the worldrenowned Theatre of Opera and Ballet. There
is also the archaeological museum, established
in 1825.
Odessa has been home to many great
artists including Ivan Ayvazovskiy, Kiriak
Kostandi and Vasiliy Kandinsky, and writers
like Alexander Pushkin, Nickolay Gogol,
Ivan Bunin, Alexander Kuprin, Sholom
Aleyhem, Vladimir Gabotinsky, Haima
Nahman Byalik and Isaac Babel.
Where to stay
To get a feel of Odessa’s special character,
you need to spend time here. Ukrainians
are known for their hospitality so the
best possible place to stay is with close
friends. If that is not possible, the city
page 19
has a range of hotels, sanatoriums, resorts
and resthomes, many located on the
beachfront.
Walking the streets
A walk through Odessa’s older parts is
enough to make many visitors fall in
love with the city. You will come across
many architectural masterpieces in the
shape of private homes, public buildings,
boulevards, theatres and monuments.
Eating out
Visitors to Odessa can experience the city’s
special character and high quality local
dishes at Ukrainian restaurants such as
“Kumanets”. These eateries also have the
advantage of being cheaper than Italian,
French or other restaurants.
Currency
The Ukrainian currency is the Grivna, with
1 US Dollar equivalent to approximately 5
Grivnas.
Where to go
Odessa has much to offer visitors in addition
to its famous museums and theatres. It
also boasts many beaches, restaurants,
a dolphinarium, night-clubs and casinos,
bowling alleys, fitness clubs and saunas many comfortably located on pleasant acacialined boulevards.
Language
Russian and Ukrainian are spoken throughout the country, but thanks to Odessa’s
cosmopolitan nature, you are bound to
find a native eager to practice his or
her English when you visit.
page 20
GAC Wrap
When GAC Singapore was faced with
a giant cargo challenge recently, it
brought in a fleet of flying giants to do
the job. Four Antonov AN 124s, the
world’s largest long-range heavy
transport aircraft, were chartered to fly
six huge gas compressors from Europe
to Southeast Asia.
The M.A.N. Turbo gas compressors,
plus tools and accessories, were flown
from Germany and Switzerland to
Singapore before being shipped to Batam
Island in Indonesia. There they were
installed on the Floating, Production,
Storage & Offloading Vessel Cidade de
Sao Mateus.
Sheer bulk
The big birds were needed to handle the
sheer bulk of the gas compressors – each 10
metres long and weighing 50,000 kg.
In addition to the air component from
Europe to Singapore, GAC used heavy-lift
cranes and low-loaders to move the cargo
from Changi Airport to Singapore Port. There,
they went on to barges for the overnight
voyage across the Singapore Strait to Batam.
First time nerves
It was the first time the client, Prosafe
Productions Singapore, had used Antonovs
to move the massive compressors. Jorgen
Nielsen, GAC Singapore’s Business Manager
for Logistics Services says there was some
degree of apprehension.
Handle with care:
, the GAC
With the help of a heavy life mobile crane
Turbo Gas
.N.
M.A
a
ds
unloa
crew
pore
Singa
AN 124 at
Com press or from the Anto nov
Singapore's Changi Airport.
“This was a delicate operation demanding
careful co-ordination between GAC staff in
Singapore and Europe, the supplier’s factory
in Europe, and the client’s team on Batam.
“GAC staff were on hand from point
to point to meet Prosafe Productions’ tight
deadlines. And, at every stage of the operation,
we applied the GAC Group’s Health, Safety,
Security, & Environment procedures to ensure
mission success.”
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