Quarterly December 2007 - Odfjell

Company Magazine for the Odfjell Group - December 2007Odfjell Quarterlywishesour readers ajoyful festive seasonand all thebest for 2008

Dear Colleagues...The year 2007 is soon coming to anend, and we can already now say thatit has been another eventful year forOdfjell. On the positive side we havebenefited from quite favourable marketconditions, both for our shipsand our terminals, which have contributedto a strong result. There aremany positive developments on theterminal side, not least with the newproject in Caofeidian (China) and ouracquisition of the AVR terminal inRotterdam. We have managed tomaintain our competitive position,and survey responses from our customersindicate that they appreciateour service level. Most of our keyperformance indicators also showimprovements. All in all, the organisationappears healthy and fit to tacklefuture changes and challenges.However, not everything looks equallybright. The oil prices are extremelyhigh, resulting in unprecedented bunkerprices that really hurt our voyageearnings. We have had a few majorincidents on our ships, among whichthe engine breakdown on Bow Favourand the grounding of Bow Star arethe most serious ones. Our lost timeinjury frequency is still too high, despitestrong efforts for improvements.Consequently, we cannot rest on ourlaurels but should always strive forfurther progress. To succeed we aredependent on competitive and stablepolitical conditions for our business.The recent proposal by the Norwegiangovernment to retroactively callin eleven years of company tax is nota positive contribution in this respect.Adversity makes strong, and I am verypleased with the ability within Odfjellto take on challenges and difficultiesand to solve problems we are facingas a company; accidents, technicaldisruptions, market fluctuations,temporary manpower shortages andnot least the long-lasting anti-trustcase. Uphill battles may seem dispiriting,and therefore it is crucial that westand together in our efforts to findsolutions and to do what is right andnot what is easy. I know I have theBoard of Directors behind me in expressinggratitude and appreciationfor all the hard work that you put infor the benefit of the company.Although 2007 looks like producingfairly strong results for Odfjell, I amsomewhat more worried about theprospects for 2008. Financial turbulencein the US, as seen lately withthe so-called sub-prime loans, thealarming increase in US trade imbalanceand the rapidly dropping valueof the US dollar towards other currenciesare all factors that may threatenworld economic growth. So far thegrowth in the Far East keeps thepace, not least in China, but previousexperiences show that no economicboom lasts forever. Hence, we shouldbe prepared to manage also an economicdownturn. The extreme oil andbunker prices are a serious headachefor us, and we have to find ways todeflect the negative impact this hason our results. We cannot affect thebunker prices, but we have to consideravoiding the ultimate peaksthrough bunker hedging instrumentswhenever that is beneficial to us. Itis also important that we further optimisethe use of fuel on our ships,e.g. through slow-steaming or enhancedcargo consolidation. Stricterenvironmental regulations, not leastthe focus on low-sulphur fuel andreduced CO 2 emissions, pose anotherchallenge to us. Although we trulywelcome initiatives to protect theenvironment and reduce the adverseimpacts of ship engines, such changeshave to be implemented in a way thatis technically and economically viable.Consequently, 2008 looks like beinganother challenging but hopefullyfruitful year for us.December is usually a busy month formost of us, with lots of end-of-yeartasks and plenty of social pre-seasonsgatherings. I hope you will all findthe opportunity also to relax andspend time with your loved ones andfriends, be it a picnic at the beach onthe southern hemisphere or gatheredaround the fireplace here up north.Finally I wish you and your familiespeaceful and joyful season’s festivities,and all the best for 2008.Regards,Terje StorengPresident/CEOOdfjell Quarterly December 2007 3

New “sister” in RotterdamOdfjell acquires AVR MaritiemBy Bram van der SpekIt happened on October22, 2007. Aperiod of intensivedeliberation wasclosed. Juridical issueswere settled.The purchase agreementbetween AVRVan Gansewinkel -Bedrijven and Odfjell Terminals (Rotterdam)BV was signed, at a ceremony heldin the Castle of Rhoon.As from January 1st 2008, the AVR Maritiemsite at the Oude Maasweg 5 willbe renamed Odfjell Terminals (Maritiem)BV (OTM). The AVR logos will bereplaced by the Odfjell chain, and 35enthusiastic men and women will comeinto service with Odfjell Terminals (Maritiem)BV. Although OTM will continueto be a separate entity, these peoplewill be part of the Odfjell-family fromthat day on. The daily management willbe in the hands of Mr. Bram van derSpek. Bram will report to Piotr Skotnicki,General Manager of Odfjell PID, OTR’sdistillation plant.Only a few hundred metres away fromthe Odfjell terminal, the Maritiem terminalwill play an important role infurther increasing OTR’s jetty capacity.For many years, also in the pre-Odfjellera of the Botlek terminal, people havebeen studying a possible pipeline connectionbetween the storage terminaland the AVR jetty in the Botlek. Somekind of collaboration was always loomingaround the corner, and now finallythis is going to happen.The future OTM consists of a deep-seaT-jetty located in the river Oude Maas,where up to five sea-going vessels canmoor depending of length, width anddraft. On the inside of the jetty, bothsea-going ships and barges with a maximumlength of 125 metres, a beam of17 metres and a draft of 6.50 metrescan be accommodated. On the outsideof the jetty the draft is 13.50 metres, allowingvessels like the Odfjell Seachemfleet to be handled. Odfjell Seachem isa very frequent visitor of the AVR Maritiemterminal, mainly for board-boardtranshipments, and the Odfjell SeachemOverview of the AVR Maritiem site seen from the roof of the OTR office building. Bow Fagus at berth in thebackground4 Odfjell Quarterly December 2007

Bow Lancer at the AVR deep-sea T-jettyTwo of the soon-to-be colleaguescollected in the Rotterdam port by slopbarges,and the rest brought in at thejetty directly by the ships.On the AVR Oude Maasweg site thereis also a modern warehouse, especiallydesigned for the storage of packed dangerousgoods. This warehouse will mostlikely be rented out to a third party.All and all, with AVR Maritiem we havea new branch on the Odfjell tree inRotterdam. Partly hybrid, partly a wellknownactivity, but a very challengingone! We hope that today’s AVR Maritiememployees will find themselves athome soon in the Odfjell organization.Welcome in Odfjell, and we wish youlots of success with us!The Geulhaven barge jettyNcc Madinah at the AVR terminal, during her final voyage6 Odfjell Quarterly December 2007

The future looks bright in OmanFurther development at the Sohar terminalBy Morten AlbriktsenConstruction at oursite in Oman hasnow started forwhat will becomethe second largestentity in Odfjell’sterminal network.Oiltanking OdfjellTerminals LLC is locatedin Sohar industrial port, which issituated by the Gulf of Oman, half waybetween Fujairah and Muscat. Strategicallylocated at the outside of the Straitof Hormuz, with short driving distanceto Jebel Ali and Dubai, the project hasgained keen interest from various marketplayers who view Sohar as a safehaven in a politically somewhat unstableregion. Consequently, we are nowconstructing about 535,000 cbm of CPPstorage, where the majority of the capacityhas been secured by long termcontracts in advance of construction.We are also constructing some 315,000cbm of off-site storage for Oman Aromatics,who are setting up a one milliontonne styrene/benzene plant adjacentto our terminal.The first tanks are scheduled for commissioningby third quarter of 2008while the reminder of the project willbe operational within the summer of2009.Construction of such a terminalrequires a lot of crane workGroundwork for one of the new tanksConstruction of the pumping stationHeavy machinery at workOdfjell Quarterly December 2007 7

The “New Poland” adventureThe B588 projectBy Bjarte VågsholmThe shipyard StoczniaSzczecinska Nowa islocated along the OdraRiver in Szczecin. It isthe largest employerin town and an importantcustomer tothe Polish and Europeansuppliers ofmaritime equipment.This shipyard is also the largest newbuildingshipyard in Europe and one ofthe very few shipyards left in the worldcapable of building specialized stainlesssteel chemical tankers of large size andquality. Odfjell has built 24 ships over theyears here, and the new B588 series is areplacement for the old B76 vessels thatwere also built at Stocznia.B588-III-2 (Bow Star) in an early phase of developmentWhen Odfjell merged with then CeresHellenic-owned Seachem in year 2000,the intention was that Odfjell shouldtake ownership of four of the eightcontracted vessels at that time. Odfjelland Ceres arranged separate projectmanagement teams for the respectivevessels. The initial schedule was to haveall eight vessels delivered within the periodMay 2001 to June 2003. However,due to many difficulties of financial,technical and organisational nature thisschedule turned out to be too optimistic.The delays seemed to increase witheach passing week. It is only possibleto describe selected parts of the storydirectly related to the B588 project; otherwisewe could fill a whole book withall the unexpected circumstances.The B588 vessels are constructed in arather complicated way. There are twolongitudinal cofferdams combined withmassive transverse corrugated bulkheadsmade in solid duplex stainlesssteel. No compromise was given on thedesign in order to make these vesselsthe premier chemical carrying vesselsin the world. Consequently the cost tothe owner was significant. To weld duplexmaterial requires special skills andwelding procedures that are not commonplacein the shipbuilding industry.Additionally, the hull was designed fora 40-year lifetime, which significantlyraised the requirements to the qualityof steelwork. The overall quality,testing criteria and requirements foralignment and full penetration of weldingjoints for all cargo bulkheads, cofferdambrackets and double-bottomgirders made the construction workvery demanding. The representativesfrom Odfjell and Ceres had a very closefollow-up at the shipyard to verify thatthe specifications were followed in fulldetails.The first ship, later named Bow Sun, under constructionIn parallel to the first two vessels beingin construction, the shipyard enteredinto severe economic problems. It wasa tough period for all the affected partiesand it was going to be even worse.8 Odfjell Quarterly December 2007

Soon-to-be Bow Star, on the slipwayIn March 2002 the project had sloweddown to almost no activity. Workerswere made redundant followed by rumoursof a possible shipyard bankruptcy.The bankruptcy became a fact at the endof July 2002. Odfjell were released fromthe commitments to the contract andthe already paid instalments were reimbursedbased on the bank guarantees. Insuch way the banks took ownership ofthe partly finished vessels that today arenamed Bow Sun and Bow Star.During the period of the shipyard bankruptcy,Odfjell decided to keep SiteManager Thorbjørn Haugsand and afew key persons from the site team inSzczecin, as a standby until further informationabout the status. There wererumours that the shipyard was restartingor closing down completely, butno reliable information was availableand every one waited for the next officialannouncements. This period wasspent to keep updated on the news,and also to evaluate improvements onthe vessel design. Also during this timethe optimistic Odfjell team gave seriousthoughts as to how the owner could assistto make the newbuilding viable andcost effective for the shipyard. We werestill keen to have these ships!Fortunately, the yard rapidly rose againlike a phoenix from the ashes, as StoczniaSzczecinska Nowa. With goodhelp from some very enthusiastic andpatient driving forces in Norway andPoland, on October 30th 2002 the yardrenewed the contract with Odfjell, foreight vessels. During the coming yearsthis proved to be a successful decisionfor both parties. The shipyard got backon the right track with delivery of severalcontainer vessels, ro-ro ships andadvanced chemical tankers, more or lessaccording to schedule.Over the last couple of years, due to risingworldwide costs in material prices,labour and so on, the last delivered vesselsturned out quite expensive whencompared to the original price. Productivitywere also hampered as StoczniaSzczcinska Nowa was continually losingsome of their best and most qualifiedworkers to better paid jobs in WesternEurope. The present European Unionrestrictions that are being enforcedagainst shipyards also give uncertaintyfor ship-owners interested in placingfurther orders with European Yards. Atthe end, Odfjell decided not to exercisethe options for vessels no. 9 and 10.B588 Principal Dimensions(Moulded):Length overall:Length betweenperpendiculars:Breadth:Depth to main deck:Draught toSummer Load LineAir Draught fromSummer Load LineHeight from Baseto Top of AntennasService Speed182.88 Mtrs175.25 Mtrs32.20 Mtrs17.95 Mtrs11.5 Mtrs35.45 Mtrs46.95 Mtrs15.40 KntsOn the glorious summer day of 24th ofJune 2007, Bow Saga, the last of theeight vessels, left Stocznia SzczcinskaNowa with honourable whistles to theshipyard where she was created. In theend Odfjell has received eight vesselsconstructed according to the best shipbuildingpractices, and no one shouldbe dismissive if we proclaim them to bethe best and largest chemical tankers inthe world.Even if the B588 project is now a saga,there is always hope to meet again fornew adventures.The third B588 ship, Bow Spring during sea trial, August2004Bow Sea, the sixth in the series, upon departure fromSzczecin, April 2006Odfjell Quarterly December 2007 9

Green(er) ShippingIntroducing environmental legislation on marine fuelsBy Svend Foyn-BruunTransportation ofgoods on ships iswidely recognisedas the most environment-friendlyway of carriagecompared to alternativemodesof moving goods.According to an Intertankostudy, carriage of one metrictonne one kilometre by truck releasesten times more CO 2 compared to transportationof same mass same distanceon an aframax tanker. However, whenwe know that 90% of goods transportedare carried on ships and that mostships use fuel containing on averagesome 2.7% sulphur and other impurities,there is little doubt that marinetransportation is a major contributor toair pollution in the transport industrytoday, in particular when it comes toemissions of sulphur and soot.Modern ships design and improved operationhave made the marine transportationmuch more efficient during thelast decades, thus lots of the potentialsavings in air pollution is already “delivered”.However, despite these improvements,shipping and ship owners are expectedto be actively involved in futureregulatory, technical and operationaldevelopments aimed at further reducingemissions from ships. There is still agreat potential by making the transporteven more efficient in improving shiputilisation, through applying new engineand hull technology to reduce fuelconsumption, and by using less pollutingfuel. Considering the current recordhighfuel prices, any of these initiativeswill also improve voyage earnings.Acid rain originating from heavy industry,which is harming lakes, rivers andwoodlands, has put a particular focuson the problems with air emissions ofsulphur oxides. Consequently, the EUand many other states have enforcedstrict caps on maximum allowable sulphurcontent in fuels and distillatesused ashore for road transportation,power consuming heavy industry andfossil fuel power plants.Compared to the measures taken onshore,international initiatives to reduceair emission from ships are laggingbehind. Annex VI of the Marpolconvention, which regulates marine airpollution, was ratified by the Committeealready in 1996, but it took morethan nine years before it got the necessaryapproval by merchant fleet statesand the Annex could be put into force.Still the US and Russia refrain to sign,although operational and technical restrictionsset out in this annex are consideredto be very moderate and part ofit was actually already outdated when itcame into force in 2006.So what are the problems? Air pollutionfrom burning fuel oils in the transportationindustry is usually subdivided intofour categories; CO 2, NOx, volatile organiccompounds (VOC), and SOx. CO 2as a greenhouse gas is recognised as theworst contributor to global warming,but at this stage regulation to reduceCO 2 emissions at sea is not yet includedin any international conventions. NOxis a toxic gas and contributes to generationof ground level ozone that alsocauses smog. Soot and other volatileorganic compounds contribute to reducingthe general air quality and causerespiratory problems. The main issuein today’s marine legislation, however,is the problems related to emissions ofsulphuric oxides (SOx).SOx contribute to damages ashore dueto acidification of lakes, rivers and forests.The sulphuric oxides mixed in exhaustgases react with air humidity andgenerate sulphuric acids, which in turnwill fall down as acid rain in vicinity ofthe polluter. Thus, it is recognised to bea regional problem and will only representan environmental problem if therelease is in the vicinity of the shoreline.However, recent studies show thatacidic rain mixed with seawater also releasesnoticeable CO 2 when the acid isneutralized.The goal is to have less polluting emissions from shipsSince the late nineties, EU and the memberstates of IMO have recognised theimbalance in fuel sulphur caps betweenthe shore and marine industry andcalled for legislative changes to reduceemission of sulphur dioxides in coastalwaters. A few years ago, the Baltic Seawas declared a sulphur emission controlarea (SECA), and on August 11th thisyear EU extended this to also includethe North Sea and the English Channel.In the SECAs, maximum sulphur contentin fuel oil for marine propulsion is setto 1.5%, compared to 4.5% for the restof the world. This recent initiative is sofar the most fundamental scheme to10 Odfjell Quarterly December 2007

educe sulphur dioxide emissions in Europeanwaters. Other areas are expectedto follow.This latest change puts an obligationon ship operators to reach an optimalutilisation of the ships’ fuel capacity andto plan bunkering of low-sulphur fuelwherever available. On board the useof the fuel tanks has to be consideredcarefully against the ships planned operation,to reserve sufficient volume oflow-sulphur fuel for SECA operations.Unfortunately, availability of appropriatefuel grades is limited today. In particular,the absence of low-sulphur fuelin the US Gulf area puts a great challengeto efficient operation of shipstrading from there to Northern Europe.In regions where low-sulphur fuel isavailable, it can occasionally only bedelivered in lot sizes in excess of whatour ships normally would need. And ifavailable, it is essential that the sulphurcontent of the supplied fuel actually isbelow the required level.Marpol Annex VI also admits the use ofexhaust gas cleaners to reduce emissionof SOx, as an alternative to consumptionof low-sulphur fuel in SECA. Clearly, suchan initiative would simplify fuel logistics,not least by not requiring separate fueltanks for different fuel types on board.However, at this stage it is recognisedby most ship-owners that exhaust gasscrubbers have too many disadvantagesand thus, it is so far not perceived as apractical alternative to the use of lowsulphurfuel. Consequently, it is likelythat we will have to plan for multiplefuel grades on board, unless new legislationwill call for a uniform fuel gradeapplicable for all waters.Several air emission reduction proposalshave already been introduced atIMO, and these will be evaluated withinIMO with the aim of recommendingrevisions to Marpol Annex VI in thespring of 2008. The current proposalsfall into three main categories as faras SOx emissions are concerned: A) thebase line, with no changes to the SOxregulations, B) lowering the global andregional sulphur caps, and C) finding acommon sulphur cap worldwide. OptionA is not considered acceptable andwill most likely be excluded from finalThe two SECAs so farassessment. Alternative B involves lowersulphur caps than today’s 4.5% worldwideand 1.5% in SECAs. For instance,the US has suggested a 0.1% sulphurcap up to 200 nautical miles from shore.Alternative C means a gradual implementationof a worldwide sulphur emissioncap. One proposal suggests 1.00%sulphur by 2010 and 0.50% by 2015. It isalso put forward that the industry canchoose if it wants to use scrubbers as acompliance alternative to the two-tierapproach.In parallel to the development at IMO,both EU and the US are investigatingnew SECA areas within or outside thescope of Marpol Annex VI. In 2008, theEuropean Commission is expected to reviewits Sulphur Directive. As stated byCommission officials, the outcome ofthis review will be very much influencedby the outcome of the IMO revisionof MARPOL Annex VI. It is difficult tospeculate in advance on the conclusionof such a review, particularly when theoutcome of the IMO revision is not yetknown, but a tighter regime around theEU coasts could be anticipated. There isalso information indicating that the EUis considering the Mediterranean Sea asa possible new SECA. The review andpossible additional changes will be undertakenin 2008/2009 and conclusionsare expected at the latest by 2010.Considering recent air emission initiativesin the US to amend the Clean AirAct, one could also assume that the USis determined to establish SECAs on theWest Coast, East Coast, the MexicanGulf and on the St. Lawrence Seawayand the Great Lakes.Any legislative initiatives towards extendingthe SECA, in parallel with lowersulphur caps, will be to the great advantagefor the shore environment. Suchinitiatives will certainly be a challengeto the fuel logistics ashore, as loweredsulphur caps will limit the supply of lowsulphurheavy fuel oil. Fuel blending toa low-sulphur specification needs supplyof more de-sulphurised fuel/distillates,or naturally low-sulphur fuel thatis not readily accessible today.On the ship’s side extension of SECA willput more operational and technical demandsto segregation of different fuelgrades on board. At a certain point, dependingon the ships’ trading area, theprice and availability of low-sulphur fueland the companies’ environmental profile,owners will have to consider as theoptimal alternative to use low-sulphurfuel oil as the only fuel on board. Unfortunately,this option is not yet possiblebecause of the limited availabilityof low-sulphur fuel oil.Odfjell Quarterly December 2007 11

Successful Cadet Programmein the UKBy Captain Martin Hislop, Odfjell (UK) LtdOdfjell is proud to announce that CadetEmma Nicholl has been awarded theMarine Society prize for the best CadetTraining Portfolio. The Marine Society,the world’s oldest seafarers’ charity,was established more than 250 yearsago to support professional seafarers.Today the Society provides seafarerswith a range of services to enhance theirlearning, well-being and lifestyle, andoffers prospective seafarers a source ofencouragement and practical guidance,up to arranging degree courses whilesailing and arranging examinations forcertificates on board.Emma is at the time of writing sittingher final exams at Glasgow Nautical Collegefor issuance of her first Certificateof Competency and when successful willbe employed by Odfjell. When joiningOdfjell on a permanent basis next year,Emma will join Alex McDonald and JonathanGoulden, the first two cadets tohave completed their training throughOdfjell (UK) and who have accepted theManaging Director Odfjell (UK) Ltd Mr. John Sykes, Cadet Emma Nicholl andCaptain Martin Hislop at the Marine Society awardsopportunity for a career in the Odfjellfleet.Odfjell (UK) Ltd. was established byOdfjell as a subsidiary to operate underthe newly amended tonnage taxsystem in the UK and since their startupin 2002, Odfjell (UK) have been trainingcadets in the UK in compliance withthe tonnage tax rules. The tonnage taxsystem was established to increase theshipping activities in the UK and thecadet programme is supported financiallyby the British Government.The number of cadets that we mustcommit to train at any time is determinedby the number of ships that operateunder the UK tonnage tax system.Currently there are three vessels in thesystem, which means that Odfjell (UK)has a requirement to sponsor nine cadets.Odfjell (UK) uses the services ofClyde Marine Training of Glasgow forrecruitment and Cadet management,and we are currently using the NCCRiyad, NCC Jubail and Bow Cedar astraining vessels for cadets.Cadet Emma Nicholl receiving the Marine Society award for the bestCadet Training PortfolioThe Odfjell (UK) office is located in theheart of London close to Hyde ParkCorner. At present Odfjell (UK) employsJohn Sykes as Managing Director, PeterGrimes as Senior Broker working closelywith the Odfjell Seachem team on theCPP-desk, and Captain Martin Hislop12 Odfjell Quarterly December 2007

currently working on a part-time basisfor Odfjell (UK) as technical supervisor.He supports John in coordinatingbetween the ship manager and Odfjell(UK), and manages the recruitment ofcadets and the cadet programme togetherwith Clyde Marine. In additionwe have part-time staff being responsiblefor accounting, financial and administrativematters.Currently Odfjell (UK) owns and operatesthree ships in the new Polish series,the Bow Spring, Bow Sirius and BowSaga. These ships are all financed inthe UK leasing market, which has becomean important source for attractivefinancing for our ships.In addition to dedicated tonnage taxactivities, Odfjell (UK) has diversifiedinto vessel ownership and this year haspurchased the Bow Cecil and the BowCardinal which have been leased backto Odfjell Chemical Tankers II throughan innovative arrangement withSociété Générale. We will continue touse our footing in the UK to look forCadets Ian Tindall and Peter Summerfield taking part in mooring operationsnew opportunities, be it in the marketingand financing fields, or as a sourceof candidates for officers’ positionswithin the Odfjell fleet.Captain Terje Monstad, Cadet Peter Summerfield, Chief Officer Per Meek, Cadet Ian Tindall and Captain Martin Hislop,Marine Superintendent, on board NCC Riyad at Houston, as part of the follow-up of cadets on behalf of Odfjell (UK) LtdOdfjell Quarterly December 2007 13

Handling managementchallengesOdfjell offers Harvard ManageMentor onlineBy Gunvor Senosiain SørheimMost of us facenew challenges aspart of our dailywork, and one ofthe main findingsin the working environmentsurvey2007 in Bergen wasthat our work isgetting more complex.Odfjell Competence Centre offersvarious tools to assist managers in dealingwith challenges. I have talked tosome colleagues about how they makeuse of available tools to support themin their everyday work and help themface new challenges.Jan Peder Arnesen took on new challengesa year ago when he startedworking as project manager with OdfjellSeachem. I’ve talked to him to getto know how he’s got to make practicaluse of the knowledge he’s acquiredfrom the different competence developmentactivities he’s participated in.What kind of challenges have you beenfacing in your new position?Project Manager Jan Peder Arnesen“I’ve changed role from being on the“service provider” side, in the ICT section,to the “customer” side in OdfjellSeachem. I’ve had to change my focusto think of usage, people and organisation.My target group has also changedand my main focus can no longer bethe great potential and performanceof the hardware. The people at OdfjellSeachem don’t really care about thehardware and are obviously more interestedin what the various tools have tooffer for them. For me it’s important tobe flexible and adjust my approach andfocus according to who I’m relating to.I might not be doing a job that is revolutionarilydifferent from my former jobat ICT, but I’ve certainly invested timeand effort into becoming a better projectmanager. At my annual appraisal lastyear we agreed on a development planincluding formal competence throughpart-time studies in project managementand also a course in presentationtechnique in-house at Minde, with anexternal lecturer. I also know that thereis a lot of valuable information in theOdfjell Competence Centre, and I’veused both the Harvard ManageMentorand the interactive English courses.”I understand that project managementstudy is relevant for you to get formalacademic input, but what about thecourse in presentation technique, howwas that?“We had a two-day session where wegot feedback and help to make a goodpresentation, what to do, and what notto do… The first day the participantsall gave a presentation that was videotaped. The following day we watchedour performance on the screen, andreceived valuable feedback from theteacher and the other participants. Forme, the course was a great motivationand inspired me to get better at makingpresentations and communicating amessage.”You’ve also been using the HarvardManageMentor. How have you madeuse of that tool?“Within each topic in Harvard Manage-Mentor there are some supportingdocuments. From the chapter on projectmanagement I could use differentforms giving me a much better startingpoint when working with documentationI need to provide as project manager.I’ve also found the chapter “Persuadingothers” most useful. Needlessto say, I cannot go into further detailhere and now as I am still planning touse some of these ideas in my projectswhere there are still some negotiationsto be made.”– – –Helge Olsen is head of the Ship Managementdepartment, and as part of hisjob he deals with the key performanceindicators (KPIs) for Ship Management.Whereas the rest of us follow the statusreport on the KPIs with great interestevery quarter, Helge follows the developmentof the KPIs on a daily basis. Heneeds to make a deep dive into measuringbusiness performance in generaland working with the challenge of goingfrom performance measurement toperformance management.14 Odfjell Quarterly December 2007

“I have used Harvard ManageMentoras a source of information”, says HelgeOlsen, “e.g. when writing performancereports for the ships and the Ship Managementsection leaders on how we’redoing with regards to our performanceand goals for the KPIs. My challengewas to take this to another level andcommunicate information on the KPIsthat lifts it to a performance managementlevel. I found that the HarvardManageMentor gave me valuable inputby supporting my ideas and giving meinspiration. I found a number of usefulstatements, although I had to rewritethem to make the language less academicand more targeted towards myaudience. “Would you recommend using the HarvardManageMentor to others?“Although I myself have used the HarvardManageMentor for a specific purposeI definitely see the potential in usingit in several areas. As such, HarvardManageMentor could be useful whenapproaching challenges within projectmanagement, budgeting as well as personnelmanagement.”Both Jan Peder and Helge have madeuse of the Harvard ManageMentor tobetter take on their challenges, notonly as a full course that you need to sitdown and go through from a-z, but alsoas a point of reference. In a busy workingday it is important to rememberthat the Harvard ManageMentor, alongwith other courses in Odfjell CompetenceCentre, is there to be your slaveand not the other way around.Harvard ManageMentor…• …is available to all Odfjellmanagers worldwide.• …can be accessed throughOdfjell Competence Centre• …is produced by one of the mostwell-reputed business schools inthe world• …presents you with interactivecases to check “What would youdo”• …offers a total of 38 chapterswithin six main topics• …includes supportive documentslike project plans and checklists fordifferent tasks• …lets you set up a whole chapterto print, ideal for travel reading• …gives you access to onlineresourcesThe top three topics in HarvardManageMentor among Odfjell employeesare:1. Assessing Performance2. Becoming a Manager3. CoachingThe runner-ups are:4. Measuring Business Performance5. Persuading OthersSenior Vice President Ship Management Helge OlsenFor anyone who wants to influencethis list, the course is available onlineto all Odfjell Managers throughOdfjell Competence Centre.Odfjell Quarterly December 2007 15

New head of TechnologyKnut Erik Fredriksen appointed leader of theTechnology SectionOdfjell Ship Management has appointedKnut Erik Fredriksen as the newhead of the Technology section. KnutErik is born in 1965 in Sarpsborg inSoutheast Norway. He holds a Bachelordegree in electrical engineering and hehas attended the Norwegian Navy officers’training school. Before joiningOdfjell back in 2000 as an electrical andautomation surveyor, he had workedfor several Norwegian companies doingelectrical engineering, project engineeringand sales & marketing. He hasalso served in the Norwegian submarineforce. In 2002 he was promoted tomanager of the Electrical and Automation(El & Aut) group. As from October3rd 2007, Knut Erik Fredriksen replacedLars Garen in the important and challengingposition as leader of the TechnologySection.After more than seven years workingin the Technology section, how will youdevelop the section further in the yearsto come?I have had the opportunity to work withthe El & Aut group under the leadershipof both Helge Olsen and Lars Garen, andthey have given me challenges both as asurveyor and as manager for the group.It is important that we continue and developthe unique expertise and competencethat exist within the Technologysection. My aim is to keep and furtherimprove the team spirit and teamworkwithin the section.I will also focus on contributing to theco-operation between the Technologysection, our Fleet sections within theShip Management department, theProject department and other units thattake part in the work. A key goal is toutilise the best of technology by havinga clear distribution of tasks betweenour Fleet sections.What will be your main challenges for2008?Ship Management has decided to meetthe requirements of the Tanker Managementand Self Assessment (TMSA)Element 7, which means that all functionalitychanges when upgrading technicalequipment have to be documentedaccording to a given set of proceduresthat are stipulated in the TMSA. To handlethis challenge we have established a“Change of Management Board”, andmy responsibility is to lead this team.The Board will evaluate all suggestedchanges to our technical equipment. If asuggestion is approved by the Board, wewill follow up the project with specificprocedures and firm cost control. Thisis an essential element in our efforts toachieve full control of our projects.Another important task is to completeour Ship Maintenance Strategy documentthat we started earlier this year.Based on this document we will highlightimportant areas of our maintenancesystem that need to be furtherdeveloped and improved. We will preparea maintenance plan with milestonesfor the years to come.A particular challenge is to preparefrom scratch a maintenance programmefor the newbuildings that are currentlybeing built in Severodvinsk, Russia. AlthoughOdfjell has been instrumental inthe design of these ships from the verystart of the project, these are still newships to us. It is crucial that we establishan optimal system for the upkeepof these ships, where we take into accounta lifecycle cost perspective, shipmanagement considerations and operationalrequirements. The vast knowledgeand experience, both within theTechnology section and the Ship Managementdepartment but also at Odfjellin general, will be a major success factorin this work.What drives you as a professional?At work I prefer fast pace and challengingtasks. It is satisfying to see the workI do lead to favourable results. Odfjellis an organisation with highly qualifiedcolleagues who as a team contributeto enhance the quality of our performance.And how about Knut Erik Fredriksenduring off-duty hours?Ever since I was a little boy the sea andships have been close to heart. I livenear the sea, and like fishing and boatingwith my wife and two sons. To spendtime at my cabin, hiking in the summerand skiing in the winter, is also relaxing.Further, I try to keep in shape throughswimming and bicycling.16 Odfjell Quarterly December 2007

Electrical and AutomationWorkshop at Odfjell AcademyBy Vidar BørveDuring week 46 all personnel in theElectrical and Automation group weregathered at the Odfjell Academy inSubic Bay for a workshop within ourfield of profession. Teambuilding is animportant issue considering the factthat the group consists of surveyors andfleet electricians who travel a lot, andsuch workshops give an opportunity toshare experiences and to get a commonunderstanding of how to handle dailytasks and challenges.The workshop was made up of severalelements. We had a course on the radartank gauge system, with main focuson fault finding and repair. The programmealso covered the oily waterseparator from Marine-Floc, and anelectrical safety course according to theNorwegian FSE regulation. Joey Manosapresented the electrical and automationcourses that are provided at the OdfjellAcademy. It is impressive what OdfjellAcademy has developed of courses onthis topic and the plans they have forthe future.Odfjell Academy offers many opportunitiesfor hands-on training that will berecognized when performing daily workon board an Odfjell vessel. Outside theAcademy has built a large tank dividedThe Electrical and Automation group: back from left Fleet electrician AtleMoberg, VP Technology Knut Erik Fredriksen, Fleet electrician Tom OlafJensen, Surveyor Vidar Børve and Instructor Robert Kjellson. Front from leftFleet electrician Ulep Normelito, Fleet electrician Rolando Dela Cruz, Fleetelectrician Pio Omelan, Fleet electrician Fredrico Madrid, Fleet electricianUlpiano Colipapa, Surveyor Gunnar Eide and Joey Manosainto three smaller tanks. These tanksare equipped, as on board, with Framocargo pumps working with hydraulicpower packs and operated by a realcontrol system. Furthermore the tanksare installed with radar tank gauge anda 95%-98% level alarm system connectedto the laboratory where the cargocontrol monitoring system is installed.If I am not mistaken, the temperaturesensor and the pressure sensor will alsosoon be set up. On Odfjell Academythey do very good work to ensure thatall seafarers have real-life scenarios intheir training. With such splendid trainingopportunities, Odfjell can gain a lotby having the equipment on board usedand maintained as intended.Cargo tank outside the AcademyThe Electrical and Automation groupthanks all colleagues at the OdfjellAcademy for being such very professionalhosts for our workshop.Hands-on training at the cargo tankOdfjell Quarterly December 2007 17

Speed and consumptionBy Henning LøsethCurrently bunkerprices are soaringto historic unprecedentedlevels. EarlyNovember Rotterdamwas the solemajor port wherethe price for ourmain grade (380CST) did not passthe USD 500 per metric tonne (pmt) barrier.Considering that this is the singlemost significant cost on our vessels,and that this level is about 60% higherthan the average experienced in 2006,it is obvious that the development hasgreat focus in our organisation.The increase in prices of oil and consequentlybunkers experienced in recentyears has in short been explained bygrowing demand for oil, in particularthrough the rapid growth in China andthe other BRIC countries (Brazil, Russiaand India). Perceived unstable supplythrough political unrest particularly inthe Middle East but also to a certain extentWest Africa is another factor. Thereis very little we can do about fluctuationsin market prices on bunkers, butwe are using financial, contractual andoperational tools to reduce the economicimpact this has on Odfjell.Both the financial arranged hedgingof bunkers and the “hedging” doneBunkering in Rotterdamthrough freight contracts aim to reducethe risk of fluctuating bunker prices.When the prices rise, we receive compensationfor the difference betweenwhat has been stipulated in the contractsand the actual prices during thecontract period.Financial hedging agreements withbanks and other financial institutionsmeans that we secure a given volumeof bunker at a given price level, for agiven period. The physical purchase isnot affected by the financial hedging aswe pay the market price to our suppliers,but if the price is above what hasbeen agreed in the financial hedgingwe are reimbursed the difference by thehedging counterparty. However, this ofcourse goes both ways; if the price endsup lower than anticipated we have topay the difference.Reduction of risk through freight contractsis typically done by agreeing aprice of bunkers to be basis for the periodof the contract, and a window aboveand below this price which is “acceptable”.When the prices are outside thiswindow, we are either compensatedby charterers for the increased costs or“share” what is saved if prices get belowthe given window.The earliest stage to adjust to predictedbunker-market development is whentaking decisions on vessel and enginelayout before contracting newbuildings.High-speed, energy demandingvessels may look smart if the predictionsfor the future are low prices on oil, butwith the present market owners havingvessels with such design experiencehigh extra costs.Operational means to reduce the impactof increased bunker prices are basicallyaiming at optimising consumption,which obviously is important also whenprices are more favourable. Considerationsto keep in mind in order to optimizeconsumption are numerous, andinclude factors that can be influencedby ship as well as shore personnel. Manyof these factors interact, and some mayseem simple until “the fine print” hasbeen read.The main operational way of reducingthe impact of increased fuel costs mayseem to be to reduce speed. Problem is,when speed is reduced the vessel travelsless miles and consequently the potentialincome on the vessel is reduced. Whenthe annual mileage of a vessel changesthe total time in port is also affected. Areduction of speed will make the vesselspend more time on a sea-voyage, andgiven a similar trading pattern the relativetime in port will decrease.Further, a lower load on the main enginegives lower temperatures on theexhaust, and consequently a reductionin the important freshwater productionby using exhaust boilers. To compensate,boilers may have to be run requiringmore fuel. On the other hand, purchasingfreshwater may be the smartestchoice when the alternative is to burnbunkers on heaters for water production.Calculations made for some of ourvessels show that producing 10 tonnesof fresh water this way takes 1 tonne offuel. When the fuel costs USD 500 pmt,this becomes quite expensive water.These are but some of the factors that wehave to take into account when calculatinga general recommendation on whatspeed that will give the highest earningsfor the different ship classes. In additionto the more strategic decision on what18 Odfjell Quarterly December 2007

fuel-economical and maintenance-economical,and it is a part of the job tokeep such in mind.The vessels shall sail between the portsand use fuel for propulsion, for loadingand un-loading the cargo, and for waterproduction and tank cleaning. Overallfuel costs can be reduced in someinstances by proper planning, pricehedging, and in most cases by focusingon good work routines in practice andby applying common sense.Crude oil prices (Brent Blend) andbunker prices (380 CST Rotterdam)Crude OilUS$/bblBunker pricesUS$/tonneThree of the people at headquarters involved with bunker issues. BunkeringManager Per Watne purchases bunkers, Fleet Performance Analyst ErikHjortland studies the relationship between speed and bunker consumptionin the Odfjell fleet, whilst Vice President Finance Tom Haugen is involved inbunker price hedgingoverall speed to recommend come thevoyage-specific considerations the operatorand the captain of the individualvessel have to keep in mind. If the vesselis to reach a specific laycan, a canal passageslot or similar urgent deadlines, thespeed potential has to be used fully. Onthe other hand, the vessel should slowdown if arriving at the destination earlyis of no use. Also, when carrying cargoesrequiring much heating, slow-steaminggives more time at sea and consequentlymore fuel has to be burned for maintainingrequired temperature. In such casesfull speed ahead may be the best solution,something which operation has toconsider on each particular voyage.Not least on board the vessels there aresignificant measures that can be takenin order to reduce the bunker consumption.To maintain a steady focus at energyoptimising is important at all times,but with the current prices the value ofsuch efforts are increasing. Fuel savingscan be achieved through good cooperationbetween deck and engine departments,not least through optimised useof auxiliary engines and shaft generators.The typical example is running ofone additional auxiliary engine in caseadditional power for cargo operationsetc is needed. These engines shall berun when they are needed. This is both1997 17.10 95.801998 9.80 67.601999 25.65 93.402000 25.64 138.402001 18.58 117.402002 30.19 133.702003 30.02 152.902004 40.11 155.302005 56.35 234.002006 62.41 293.0001.nov.07 90.35 478.00Geir Bjørndalen and Arnt Kåre Simonsen Meyer are considering the fuel consumptionfrom a technical and ship management point of viewOdfjell Quarterly December 2007 19

Christmas SupperMarine StyleAll festive seasons have their particular typesof food, and Christmas is no exception. Familytraditions play an important part in this respect,and most people have the same coursesfor their Christmas supper year after year.Perhaps it is time to try an alternative to yourturkey, pork rib, steamed dried rib of mutton,ham, cod, or whatever you’re usually havingfor your festive meal? To provide some suggestions,we have challenged two of Odfjell’s chiefstewards, Orlando M. Ramos on Bow Saga andJimmy K. Chavez on Bow Star, to submit someof their favourite Christmas recipes. These two“wizards of the galley” have provided lots ofdifferent recipes, one more mouth-wateringthan the other, but for space reasons we havehad to make a selection.As our chefs usually cook for entire ship crews,you probably need to scale down the portionsaccording to your needs. Good luck, and BonApetit!STARTERS:Deep-fried chicken lollipop withspicy sweet & sour sauce (Ramos)(10 persons)2 kgs chicken wings1 ½ tbsp salt½ “ black ground pepper½ “ ground paprika3 pcs eggs (stir)¼ kg white flour1 lt soya cooking oil-fordeep-fryingCut the chicken wings in two pieces, foldand form the meat until it looks like lollipops.Mix remaining ingredients, anddeep-fry in hot cooking oil.Spicy sweet and sour sauce(hot or cold)½ Lt water (boil)30 gm Ginger-crust½ Tbsp salt4 “ White sugar2 “ Tomato paste1 “ Sambal oelek (chilli paste)1 “ Corn starch & ½ cup coldwater dissolveBoil water and simmer the ginger for 30minutes, then mix in all the remainingingredients.Stir the cornstarch into the sauce until itthickens a little. Add seasoning accordingto your taste buds.Barbecued meatballs (Chavez)(Approx. four dozens)1 Egg, slightly beaten1 Can Evaporated milk (5 ounces)1 Cup Quick cooking oats½ Cup Finely chopped onion1 Tsp Salt¼ Tsp Garlic powder¼ Tsp Pepper1 Tsp Chilli powder1 ½ Pounds Ground beefMix egg, milk and spices. Crumble in thebeef and mix well. Shape into one-inchmeatballs. Bake uncovered at 160 º C for18-20 minutes or until meat is no longerpink.Sauce:1 Cup Ketchup¾ Cup Packed brown sugar¼ Cup Chopped onion¼ Tsp Garlic powder1 Tsp Liquid smoke/ b-b-q powderCombine the ingredients in a saucepan.Bring to boil, reduce heat and let it simmerfor two minutes, stirring frequently.Pour over meatballs and let it bake foranother 10-12 minutes.20 Odfjell Quarterly December 2007

cocoa powder and coffee in hot water.Add evaporated milk and set aside.Combine flour, baking powder andbaking soda and set aside. In a bowl, mixcream, butter and sugar together untillight and fluffy. Add eggs, one ata time, beating well after each addition.Stir in vanilla. Add the flour and liquidingredients alternately into the creamedmixture. Pour into prepared pan and bakefor 45 minutes or until done.Chief Steward Orlando M. Ramos and Captain Luisito G. Cantona onBow Saga, behind the delicious Christmas tableLet cool completely. Serve with cakecrumble, whipped cream, fruits andsprinkle with orange juice. Refrigerateuntil serving.MAIN COURSES:Lechon baboy (roast suckling pig)with liver sauce or sarsa ni mangtomas lechon sauce (Ramos)(15 persons)10 Kgs Suckling pig, clean and dry½ Kgs Leek1 Pcs Onion, cut into four1 Clove Garlic6 Pcs Bay leaves1 ½ Tbsp Salt½ Tbsp Black ground pepperSet the oven to 125° C (260° F). Rub thepig with salt & pepper, stuff inside withall ingredients and bind with roastingstring. Roast the pig for about 4-5 hours.Sprinkle the pig body with water usinga paint-brush every 30 minutes, until theskin turns crispy brown.Roast whole chicken with bananacatsup sauce (Ramos)(10 persons)2 Kgs Whole chicken- clean and dry1 ½ Tbsp Salt and pepper-mixed2 Tbsp Melted margarine2 Pcs lemon-squeeze1 Bottle Banana catsupFor stuffing:2 Stick Leeks6 Pcs Bay leaves1 Cloves Garlic-crust1 Pcs onion-Cut “Pre-heat oven to 220° C (425 ° F). Placechicken in roasting pan and season withsalt and pepper. Stuff all remainingingredients inside the chicken body. Brushchicken with melted butter and lemonjuice. Roast chicken in 30 min. Reduceheat to 180° C (350° F), and continuecooking in 1 hour and 15 min. Check ifchicken is cooked by inserting a skewer inthickest part of leg. Juices should be clear,not pink.Shanghai fried rice (Ramos)(10 persons)2 Kgs Rice long grain - steamed1 Cloves Garlic- chopped1 Pcs Onion- chopped1 Cup Cooked green peas4 Pcs sliced ham- chopped5 Pcs Eggs-cooked scrambled1 Cup Margarine1 ½ Tbsp Salt & pepper-combinedHeat margarine in a pan. Add garlic andcook until lightly brown, add onion andham. Then add all the remaining ingredients.Let sauté until you can smell thearoma.DessertS:Chocolate and fruit trifle (Chavez)1 Cup Cocoa powder2 Tbsp Intant coffee1 Cup Hot water1 Cup Evaporated milk3 Cups Cake flour1 Tsp Baking powder2 Tsp Baking soda1 Cup Butter2 ½ Cups Sugar4 Eggs1 Tsp VanillaPreheat oven to 165° C . Grease and linea 13 x 9 x 2 inch rectangular pan. DissolveChief Steward Jimmy K. Chavez onBow Star presenting some of hisfavourite Christmas dishesFresh caramel pudding (Chavez)(leche plan with caramel sauce)(10 persons)3 Tins Evaporated milk1 Tin Condensed milk12 Pcs Eggs1 Cup White sugar1 Tbsp Vanilla essenceHeat the oven to 125° C (260° F). In amixing bowl, beat the eggs followed bysugar, mix all the remaining ingredients.Bake the pudding in a baking form Inoven put water in to square baking pan,then baked the caramel pudding with foilcover in 1.5 hours.Odfjell Quarterly December 2007 21

What they actually doShip Management ControllerBy Bjarte WettelandVessel photos: Fleet Electrical Engineer Tom Olaf JensenOver the recent years a position as controllerhas become increasingly commonboth within governmental organisationsand private companies. As thetitle implies, the position has a controlfunction, usually within the financialarea. Controllers were previously referredto as “Internal auditors”, andhave in fact many of the same tasks.The controller title serves as a guidelinewith regards to the actual functionsand positions, which are tailored to thespecific needs of the organisation. Inother words, the position is not strictlydefined, nor is it certified such as forinstance a medical doctor or lawyer. Ina way, you may look upon a controlleras a “navigator” within the area of finance.As for a navigator on a ship, thecontroller assists the “captain” (head ofa department) in finding a safe course,alerting on obstacles and shifting conditions,suggesting “evasive actions” withestimated consequences, and when necessaryre-computing the ETA. “ETA” inthis respect being estimated “cost anddegree of success” relative to the goaland corresponding plan (budget) forthe business.Ship Management ControllerBjarte WettelandThe challenge is not only to register theresult of a decision and activity in retrospect,as can easily be seen in the accountingsystem. The controller shouldalso actively look ahead, make plansand propose actions for improvement. Itis also important to realise that to keepthe monetary goals is not necessarilyan indication that you have a “soundship”. On the contrary, in unfortunatecases keeping the budget can turn outto be only “goal” reached, while importantresources such as manpower andmachinery both suffer from mistreatment.Obviously, in a longer run a situationlike that will become evident, butit has to be avoided as early as possible.In other words, we should have a systemof indicators that provides relevant“read-outs” on the business, withoutunintentionally turning the business tosatisfy the indicators.A crucial issue in this respect is to avoidsub-optimising. As in many other aspectsof life, you get the behaviour youmeasure. To be responsible for a resultone also needs to have the correspondingauthority, and in any business keepingthese two elements together is essential.Odfjell has tailored its own controllerpositions, and currently we have controllerswithin the Finance and Accountingdepartment and the relatively newposition as Controller and ProcurementAnalyst at the Ship Management department.As the latter job-title implies, theposition has two different main tasks.The Procurement Analyst part includesassisting in the follow-up on existingcontracts with Ship Management’s strategicsuppliers and their performance,and to evaluate possible new areas toenter into a long-term contract. TheController part of the position entailsassisting in the budget process prior tothe budget year, and monitoring theperformance of the fleet throughoutthe year. As mentioned, the point is notonly to register the result of a decisionor development, but also to be pro-activein trying to avoid major “course deviations”.Hence, it is not sufficient onlyto “control” and monitor. The controllershould assist the ones actually doing thejob; the ship management teams, superintendentsand fleet section managers,by improving their ability to make necessarycourse alterations prior and notafter problems have arisen.This includes tasks such as tailoring reportsfrom our current data-systems tothe actual needs of key personnel, aswell as contributing to adjust the systemsto the needs of the business. Thelatter can be to add more codes in ourcurrent data-systems in order for thesystems to serve as improved “radardisplays” both for day-to-day overviewsand for more long-term targeting. Oneexample in this respect is our budgetingsystem, from which we may extract22 Odfjell Quarterly December 2007

data allowing us to measure progressrelative to our budgets and plans. Consequently,a controller needs to have agood overview of available information,regardless of this can be found in a traditionalfinance/accounting system or inan operational system. When you havesuch an overview, it is equally importantto know if the available information isvalid, complete and trustworthy.In most cases, it is valuable to explorethe possibilities of extracting data fromexisting systems before ordering or developingany new tools. Although elaborateEnterprise Resource Planning (ERP)systems may be fancy, seemingly seamlessand well-tailored, such systems haveextremely high requirement for accuracyand data discipline. So, if “Shit-in-ShitOut” had a meaning before – even moreso in a new and complex ERP system. Toensure valid and accurate data input inour current systems, it is essential thatwe always post a cost to the applicableaccount. As an example, if an invoice isrelated to a job on the main engine, the“Main Engine” account (510600) shallbe used regardless of whether or notthere is “funding” left on this account!Unless doing so, we will not be able totie costs where they actually belong andthe cost information will be corrupted.The accounts help us to isolate and trackcosts on different systems and equipment.However, it is also necessary torefine the cost information within onespecific account. This can be obtainedby introducing additional system dimensionsand codes. In the new projectregime for Ship Management, in additionto separate accounts we have alsointroduced data fields for registeringproject number and type of project. Bythese we can isolate the cost for a specificproject in the accounting systemand thus keep them apart from the ordinaryoperational cost of the ships.An essential element in obtaining dataaccuracy is the quality of the planningand data entries carried out on boardour ships. Unfortunately, the currentreport generator (Cost Guard) that isavailable for our ships has limitations onwhat data that can be made availableon board. One evident issue in this respectis the lacking possibility on boardto generate information on the valueof already committed amounts in thePurchase system (Star CPS). Nevertheless,despite the somewhat demotivatingimpact of not having direct accessto the information they enter, it is essentialthat the shipboard managementperform the very important data entrytask.So, how can it be that most businesseshave “sound ships” in spite of any smartcontroller-invented indicators? Becauseof the sound attitude and genuine pridethe skilled professionals demonstrate ona daily basis. As in most aspects in life,proper work processes are fully relyingon the personnel’s sound attitude andcommon understanding of the goals forthe business.Odfjell Quarterly December 2007 23

Safety BulletinBy Toralf SørenesThe Human Element and ComplianceNavigation in crowded watersDuring the last year we have notedan increase in cost and loss of incomerelated to incidents and operationalnon-compliance. This is not specificfor Odfjell but rather a general trendworldwide. Hull and P&I Underwritersare noting this trend and it is in particularthe more serious and expensiveclaims that have escalated over the lastcouple of years. P&I underwriters sawa sharp increase in large claims in thesecond half of 2006, and this trend hascontinued into 2007. Large claims in thiscontext are so-called “pool claims” ofmore than USD 6 million (2006) and USD7 million (2007), and consequently thegeneral premium increases this year areforecasted to be high. Hull underwritersare likely to follow the same course. Thefull picture behind this developmentis complex, and the underlying factorsand challenges in today’s climate ofgrowth could be many: growing worldfleet, bigger ships, commercial pressuredue to strong freight markets, increasingshortage of quality crew, repaircosts are up while repair quality is underpressure, higher commodity prices,to mention a few. Groundings, eitherdue to adverse weather, navigationalerrors or mechanical problems, form arelatively higher portion as comparedto previous years. In addition, mendingthe devastating effects of a major stormsuch as Katrina takes a significant salvagecapacity out of the market, whichwill also negatively affect salvage costsfor owners and their underwriters.The human factor is always an importantelement in accidents and high potentialincidents. The rule of the thumbmost commonly referred to today isthat 80% of accidents can be attributedto human failure of some sort. We thinkthe picture is more complex than that.There is always an interface betweenthe human factors and the systems andtasks those “humans”, in particular seafarers,are set to manage. Both systemsand procedures are becoming wider inscope and more complex, and so arethe shore organisations. So althoughwell-intentioned, the systems could becomemore of a burden than an aid tothe users on board. It is therefore becomingever more important for shorepersonnel to listen to the users of thesystems and adopt their advice, particularlyregarding simplification and userfriendliness.We have recently recorded two seriousincidents. One was a navigational incidentand the other a serious non-compliancerelated to inerting. The navigationalincident resulted in grounding, costlyrepairs and loss of income. The inertingcase had several serious safety featuresthat upset management and customers.Both incidents had elements of lack ofcompliance and human errors.In the first case we could say that wewere navigating on small margins. Thishas of course always been done, and thechallenge is not to allow the margins tobecome too small. The closer we get toany limit, the easier it is for a short inattention,oversight or error to result inan incident. Shipping is a complex interactionof many factors, both naturaland man-made. If a human factor likesituational awareness for some reasonis low and interacts with another factorsuch as dense traffic, the risk of an incidentincreases significantly.In the second case, related to inerting,the lack of compliance element wasmore pre-dominant. It contained technical,maintenance and operational issues,and included both on board andshore personnel and systems.High risk incidents are always carefullyreviewed in relation to causation andcorrective actions, comprising immediate,long-term and underlying rootcauses. Looking at procedures throughthe “pointed glasses” that an incidentbrings up will nearly always result inchanges and improvements, but thesechanges have to be understood andfollowed by the crew. The latter hasproved to be the greatest challenge andwe have therefore increased our numberof marine superintendents. However,it is also important that we all believein the approach we have taken onmain issues like crewing, shore support,systems, etc., even if some numbers in aperiod may come out negative. A singlefleet like ours is not big enough to giveus reliable long-term statistics. We musttherefore learn from our mistakes, andat the same time stay focused on ourway ahead. Ride off stormy waters fora period rather than change course tooquickly.A key element in achieving improvementsis ship-shore communication. Ifsomething is unclear, stop and take atimeout to discuss the issue. This goesfor ship and shore staff alike. There isalways a way out of or around, and asthey say; better safe than sorry.24 Odfjell Quarterly December 2007

In the March 2007 issue, in his article series on the B76 ships, Baard Nielsen presented the following littlebrainteaser particularly for engineers and superintendents, based on his own experiences on board BowSea (now Bow Condor) back in 1985: “we even tried to run the engine on one turbocharger only, blankingoff the other one. The result baffled us: the scavenge air pressure rose, but so did the exhaust temperatures.They should have dropped, shouldn’t they?”Despite a disappointingly meagre feedback from our readers, we are here happy to present the solutionto his problem, which we are certain has (or at least should have) kept our engineers and superintendentsawake at night.The Chief Engineers’ B76slowsteaming puzzleBy Baard Nielsen (Photos: Bjørn Åge Veivåg)So why did boththe scavenge airpressure and theexhaust gas temperaturerise whenwe blinded off oneof the two mainengine turbochargers?The normal nature of things is that thetemperature shall drop when the airpressure increases. But in this case wehave blocked one of the exhaust gasoutlets, effectively halving the gas outletcross-sectional area. Hence the backpressure increases, and there is in factless air going through the engine, inspite of the increased scavenge air pressure.It’s rather like breathing out throughone straw, instead of two: Your chestmuscles increase the air pressure in yourlungs, but there’s still less air leavingyou per unit time.But the ship is making same speed asbefore, hence we have same poweroutput, and same amount of energyinjected in the form of fuel added tothe combustion process. Same amountof fuel added to a smaller amount ofair must necessarily result in a higherexhaust gas temperature.Congratulations to Ashok Nair, superintendentwith Fleet Asia, for submittingthe only correct solution. In fact hesubmitted the only in-house solution,a rather disappointing outcome, if youask me. I had hoped for a heated technicaldebate on this matter.The engine of the B76 version of Bow Sea (then renamed Bow Condor), takensome 20 years later in 2006 at Mejillones, ChileOdfjell Quarterly December 2007 25

Odfjell LocationsMelbourneMarvellous and passionateBy Jessica ThomasMelbourne is calledmarvellous, andfor a reason. It isnoted as one ofthe world’s mostliveable cities, withits landscaped gardens,the blend ofold and new architecture,the cosmopolitanstyle, the wide offer of extensiveculinary delights reflecting themulticultural population, the pulsatingtheatre and fashion scene, and not leastthe nightlife. Melbourne is a shoppingheaven, it offers an impressive sportingcalendar, and guarantees not to disappointwhen you are looking for a goodtime or a relaxing scenic getaway. Thecity is continuously revamped with itsVictorian-era buildings being revitalisedinto tertiary lecture halls, chic designerfashions outlets or exclusive nightclubs.Lush landscaped gardens such asBirrung Marr, Treasury Gardens and theAlexander Gardens, all located just outsidethe city perimeter, prove excellentescape for serenity. Melbourne is definitelyone place you should not miss onyour trip ‘down under’.City view from the Princess BridgeThe city of Melbourne began as an ‘illegal’settlement in 1835 when whitesquatters, led by John Batman, movedfrom Tasmania to find new sheep-grazinglands. The indigenous Wurundjeri,like aborigines elsewhere in Australia,suffered at the hands of European colonization.As the population grew withthe arrival of more squatters, the settlementestablished its credibility andforced its acceptance with the Governorin Sydney, the King of England’s representative.The discovery of gold in westernVictoria in 1851 saw the populationof Melbourne soar to half a million by1890, well in excess of the first Australiansettlement in Sydney Cove.Today, the prosperity brought by thegold-rush era can be seen in the architectureand wide streets of Melbournecity and near surrounds, while the crushof the inner-city suburbs is evident ofthe over-crowding that existed as moreand more people arrived and industrygrew.Melbourne is THE sporting capital ofAustralia. Summer offers the AustralianTennis Open, Formula 1 aroundAlbert Park Lake and Cricket. Autumnto winter focuses on Golf Tournaments,V8 Super-cars Racing, Australian RulesFootball, Rugby League and Soccer. Forhorse-racing enthusiasts, during theSpring Racing Carnival we have the famousEmirates Melbourne Cup at Flem-View of Melbourne from the Rialto Observation Deck26 Odfjell Quarterly December 2007

Flinders Street StationSovereign Hill, a memory of the gold-rush eraington, BMW Caulfield Cup at Caulfield,and Cox Plate at Moonee Valley. Morepetrol-head action can be had with theMotorcycle Grand Prix at Phillip Island.Melbournians are serious sports enthusiasts,you’re either spectating at anevent or over at your mate’s house towatch the play and enjoy a BBQ.Some of the best restaurants in the Australiaare in Melbourne, cultivating thevarious ethnic tastes such as distinctiveAustralian, Greek, Spanish, Indian, Chinese,Malaysian, Vietnamese, Italian,complimented by our local home brewsand wines. Work it off with a shoppingadventure mid-city and also within theinner-city suburbs such as South Yarra,Richmond or Smith Street, Collingwood,where a bargain is just around the cornerfeaturing eclectic fashions from localupcoming designers. Just rememberto always try before you buy as somestores give credits instead of cash refunds.The famous Queen Victoria Market,where true Melbournian culturebegins, opens everyday except Mondaysand Wednesdays, is great for Australiansouvenirs and that last minute shopping.If you can’t find it in Melbourne,then you really haven’t discovered thecity’s hidden secrets.Nightlife in the city is quite an adrenalinrush. From Crown Casino, CrownEntertainment Complex to city pubcrawls and live-theatre shows. Onceforgottenwarehouses and obscure Victorianbuildings have emerged as chicdesigner caves for your drinking anddancing pleasure. On occasion, you maybe able to get great tickets to hot actslike the recent Justin Timberlake, GoodCharlotte or Gwen Stefani concerts. Sothere’s never a dull moment.From the scenery of the Great OceanRoad or the penguins of Philip Island; tothe scents and flavours of the Yarra Valleyor Mornington Peninsula wineries andbreath-taking landscapes of the Grampians;or the Observation Deck at Rialto fora panoramic view of the city - there is avariety of experiences to be enjoyed. Notforgetting the kid-safe magnets – HealesvilleSanctuary, Melbourne Aquarium orMelbourne Zoo to meet Australian Wildlife;Sovereign Hill to experience the timeof the gold-rush; and seasonal activitiessuch as snow trips to Mt Buller or Mt BawBaw. Especially for couples, romantic getawaysto great destinations like Geelong,Yarra Valley, and Olinda in the DandenongRanges especially during Oktoberfestand Tulip Festival at Tesselars’, orSorrento for a magnificent sunset wouldbring a whole new meaning to spendingsome ‘quality’ time.Melbournians tend to be more ecofriendlythese days choosing to poundthe pavement, cycle or utilise publictransport such as trams of which if usedwithin the city is affordable and a fasterway to get around. Parking in the city isexpensive, unless you’re an early-bird oractually spending the day in the city.Melbourne weather can be best describedas four seasons in one day. Well,not all the time. But check the forecastbefore you leave, always pack a smallumbrella. A light jacket or cardigancouldn’t hurt either. Summers can be ascorcher and winters can round up quitea gust with cold air racing up from Antarctica.Best time to come is probablyduring autumn or mid spring when thetemperatures are comfortable.The Odfjell Australasia office is centrallylocated in the city, with a vast varietyof restaurants to entertain clients andguests, also minutes from a shoppingbargain. Visits to Port of Melbourne facilitiesare only minutes away, and someof the best accommodations to suit yourbudget are within walking distance.Fancy a guilt-free working holiday? Wehave a spare desk, just bring your laptop(Wink-wink).We look forward to seeing you down inMelbourne. There are plenty of thingsto do, but if you’ve only got 24 hoursin Melbourne, then perhaps we canstart with breakfast on the foreshore ofWilliamstown to watch the sunrise, followedby a ferry ride to St Kilda to graba coffee on historical St Kilda pier. Catcha tram back into the city to visit the NationalGallery of Victoria at FederationSquare then splurge on a seafood platterat Waterfront, Crown Casino. Spendthe afternoon indulging in a shoppingspree at Bridge Rd, Richmond. Drop byChinatown for dinner at the ClaypotKing; just in time to catch Phantom ofthe Opera at The Princess Theatre. Endthe night with a quiet drink at The LongRoom on Collins St. Sounds good? Then,why on earth are you still sitting at yourdesk?Hidden secrets, the back alleys of centralMelbourne offering a myriad ofrestaurants, bars and shopsOdfjell Quarterly December 2007 27

✔QM CornerCommunication in aQuality PerspectiveBy Anne-Kristine ØenAs an internationalcompany withglobal operations,Odfjell faces daily avariety of communicationchallenges.From a quality perspective,reliabilityand efficiency areimportant keywordsin connection with internal andexternal communication. Reliabilityrefers to regularity and credibility ofthe communication. Efficiency entailsgetting a message through in a promptand reliable manner, to support andcontribute to the further developmentof Odfjell’s company culture, identityand profile.Communication is a vital tool for cementingcompany culture. At the sametime our external communication shouldsecure that we maintain and enhanceknowledge, interest and understandingof the company in our surroundings. Agood reputation built over time will inturn generate a standing in society atlarge that is valuable, not least in timesof crisis. It will also generate interest inthe company as a potential employer,and create pride and loyalty for thosealready employed with Odfjell.To present the company in a consistentway and give it a look that is easily recognizable,Odfjell has established a designmanual. The manual standardizesthe design of our name, the logo, theOdfjell colours and the combination ofthese elements. The standard is corporate,and a design manual has been distributedto all departments. It can alsobe found on the intranet under corporate/communications/designmanual.The design featured in Odfjell publications,letters, advertisements and generallyin all printed matter, is simple,modern but at the same time classic,to reflect high standards and levels ofproficiency as well as quality. There isgood consistency between the looks ofthe annual report, our internet page,Odfjell Quarterly, PowerPoint presentations,brochures, etc.The most important groups of stakeholdersto Odfjell are our own employees,our shareholders and our customers.However, the general public is alsoof great importance to Odfjell, not leastdue to the impact it has on the otherstakeholders. The views of the employees,shareholders and customers are toa great extent shaped by how Odfjell isseen in the media. Therefore it is essentialto have a systematic and well-regulatedapproach to the company’s dealingwith the media and press. All contactwith the media and the public on behalfof Odfjell is dealt with bythe President/CEO or InformationManager, andother persons that havebeen authorized to handlea particular matter.All companies dependon good relations totheir main stakeholders.Through our own performanceOdfjell can toa large extent influencehow our company is perceivedin society.When utilised in a strategic way, communicationcan be a key to securinghigh quality relations while at the sametime reaching company goals.CORPORATE QUALITYMANAGEMENT MANUALTable of ContentsDefinitionsIntroduction2006 Q2Mission and PoliciesOrganizational structuresResponsibilities2006 Q4Human Resource Management 2007 Q2Common Directives2007 Q4Processes and elements ofQuality Management2007 Q3Quality Management System 2007 Q3Quality Assurance and Improvement 2006 Q3Event AnalysisHSE Management2007 Q1Risk Management28 Odfjell Quarterly December 2007

Employee data – how to handleit correctly?By Bjørn YdseIn May 2007 theCorporate QualityManagement departmentissued thecommon documentfor Health, Safetyand Environmentalpractice. This HSEframework providesa set of expectationsorganised into 12 elementsof accountabilityOne of the elements is safety. This isoften thought of as activities relatedto work processes and necessary safetyequipment, Safe Job Analysis, MaterialSafety Data Sheets – MSDS, safety drillsand so on. However, it has become increasinglyimportant to focus also onhow personnel data and information isused and stored.Odfjell stores a lot of personal information.The majority of the informationis stored in our computer systems, butinformation will also be found in manualarchives. The information includesnational identity numbers, addresses,bank details, next of kin etc. and isneeded for paying salaries, reporting tothe tax authorities, getting in contactwith the right persons in case of emergencies,etc. In Norway, as in most countries,what you are allowed to store ofpersonal information andfor what purposes areregulated by law. It isimportant for Odfjell SEthat the company is incompliance with theseregulations.Last year we ran aproject at OdfjellMinde focusing onthe requirementsin the PersonalData Act; whatshould the informationbe limitedto, how thei n f o r m a t i o nis stored androutines fordeleting information.The projectmemberswere BjørnYdse fromQM, AnnKristinMøllerup fromHR and Jan Ottemo fromICT, with a steering committeeconsisting of Jan Didrik Lorenz from QM(owner), Brit A. Bennett from HR andCFO Haakon Ringdal. We followed thecycle from the start of an employmentuntil the employee leaves the company.This kind of information must be treatedin a sensible way, and the project’sgoal was to establish a system for internalcontrol when handling personneldata through its lifecycle. Through thisproject we have been through all ourroutines, improved existing proceduresand drawn up new ones. The work hasgiven us a new awareness and taught usthe importance of keeping a continuousfocus on compliance with the PersonalData Act.Every day we are leaving behind a lotof personal information, and we shouldask ourselves whether or not this informationis in safe hands. The webworldwithout boundaries is creatingproblems in many countries. Have youthought about the possibility for andconsequences of somebody stealingyour identity? Every day hackers are tryingto access the Odfjell ICT systems, butgood firewalls prevent that employeedata can go astray and be used in awrong way.Odfjell Quarterly December 2007 29

Channel Industries Mutual AidProtecting the Houston Ship Channel for 52 yearsBy Drew WhartonChannel IndustriesMutual Aid (CIMA)is a non-profit organizationcombiningthe firefighting,rescue, hazardousmaterial handlingand emergencymedical capabilitiesof the refining andpetrochemical industry in the HoustonShip Channel area.Since 1955, this organization has beenproviding cooperative assistance andexpertise for all kinds of emergencies -both natural and man-made. The CIMAorganization is comprised of 100 companies,six Government agencies, andseven municipalities that are locatedalong the Houston Ship Channel. Includedin the CIMA membership are themost knowledgeable and well trainedfirefighters, rescue teams, HazMatteams and medical personnel of any organizationin the world.CIMA is divided into four zones aroundthe Houston Ship Channel. Odfjell Terminals(Houston) is one of 33 membersof CIMA Zone 4, together with companiessuch as American Acryl, BASF,Celanese, Dow, Nova Chemicals, PPGIndustries, Rohm and Haas, and Sunoco.Odfjell participates in monthlymeetings, as well as drills and trainingschools, including annual participationat the world-renowned Texas A&M fireschool located in Bryan, Texas.The Odfjell Terminals Emergency ResponseTeam is fully trained to respondto industrial and interior fires, however,OTH fire response is considered tobe insipient, or defensive in nature. Alarge fire or explosion here at OTH willwarrant a CIMA callout, while the OTHteam uses our resources to prevent thefire or incident from spreading to otherareas. CIMA specialists will work withthe OTH Incident Commander and IncidentManagement Team to execute anoffensive response to the event. Zone 4CIMA members will respond as neededwith fire and response equipment includingpumpers, aerials, foam trucks,rescue trucks, and ambulances, as wellas fully equipped command vans to assistin responding to any emergency.Odfjell Terminals is proud to be a partof the CIMA organization, and at OTHwe are confident that our systems andprocedures will minimize the chance ofa large fire or incident. If one should occurnevertheless, we can count on theexperts with CIMA to help us safeguardlives and property in a truly professionalmanner.30 Odfjell Quarterly December 2007During firefighting training at the Texas A&M fire school

In our 2007Q3 issue of Odfjell Quarterly we printed the story about the engine break-down on Bow Favourand the following repair to bring the ship back in operation. However, we also received the crew’s storyand pictures, which we due to limited space then had to postpone to this issue.The Bow Favour engine break-downThe crew’s storyEarly morning on February 4th, as thevessel was on its way to Durban withcargo from the Arabian Gulf, we felt anextraordinary vibration, followed by the“disturbing” silence as the engine wasstopped. Soon it became clear that thiswas serious. We were not able to solvethe problem on board, and needed tugassistance.So there we were, approximately 515nautical miles NNW off the Seychelles,fully in the hands of the prevailing windand current. Normally we know our ETAquite accurately, but in this situation wefelt a bit lost. Different party of interestmade it a complex situation, and anyfinal ETA was hard to determine as wedidn’t even know where we were going.Luckily we had good weather. Calm seaand the sun was shinning from a clearsky. We also experienced quite a bitefrom the fish. Especially in the earlymorning and around sunset, the “durados”were eager to have a snack ofherring or squid. So we had fresh fishon the table every day. There were alsosome shark and barracuda coming fora taste, and these ended up on deck aswell.Bosun Richard Teodoro and Capt.SolliOn the evening of February 11th, theocean tug “Simoon” arrived. We hookedhim up to our Smith’s bracket, and finally,we were making way again. Aftera stop in Fujairah, the vessel headedfor repair in Bahrain after having transhippedthe cargo to the Bow Flower.We arrived in Bahrain on March the 4th.And the rest is as they say history…Capt. Solli and Mr. SharkO/S Mel Vincent PanizalesOcean tug ”Simoon”, during towage.Odfjell Quarterly December 2007 31

Right chemistry in BerlinBy Andre Weidlich, Odfjell AhrenkielOn the occasion of the European PetrochemicalAssociation (EPCA) conferencein Berlin, Odfjell Ahrenkiel EuropeGmbH hosted on 29th September aninformal “get together”’ with all ourbusiness friends, such as charterers,traders, brokers, agents and shareholders,as a warm-up in a relaxed atmospherebefore the conference officiallystarted. After close to four successfulyears in business we wanted to presentthe whole Odfjell Ahrenkiel team, tothank everybody for their co-operationand to establish Odfjell Ahrenkiel a wellknown and reliable carrier. At the partywe took the opportunity to present OdfjellAhrenkiel’s new image brochurewith its motto “Moving Your Liquids”,which expresses the custom-orientatedattitude of Odfjell Ahrenkiel.All our more than 120 guests seemedto enjoy the informative talks while theevening continued in the Zollpackhof,which is excellently located betweenthe Federal Chancellery and the newCentral Station of Berlin directly by theriver Spree. After the event we havereceived lots of positive feedback fromour guests.Odfjell Open 2007By Ketil NystadThe Odfjell Open 2007 golf tournamentwas held as usual at Meland Golf Club.Although a bit later in the fall than previousyears, and despite the rain havingpored down in Bergen for the lastcouple of months, or so it seemed, SaturdaySeptember 29th turned out to bea beautiful day perfect for golf.We played Texas scramble with teams oftwo persons. Each player needed minimumof five drives, and we played off3/4 hcp for the team. The results thisyear were very good, with the worstteam score at 38 points and the winnerswith impressive 54 points. I’ve neverheard of anyone scoring such a highscore in this form of tournament beforeso this should be a record.Mevatne with 52 points and 3rd placewent to Elisabeth Alfheim and DagKristian Amland with 45 points.Next year’s Odfjell Open is planned forSaturday August 23rd, so please makesure to reserve the day.1st place went to Roy Håre and GeirAlmestad with 54 points, 2nd placewent to Sigmund Larsen and GerdSome of the participants during putting32 Odfjell Quarterly December 2007

Customer visit on boardBow CardinalBy Sayed PhiriFriday 16th November Odfjell MakanaSouth Africa had the pleasure of havingpersonnel from Foskor visiting Bow Cardinalat Richards Bay, when the vesselwas loading phosphoric acid bound forIndia. The weather was good and fortunatelythe guests from Foskor had anopening in their otherwise busy schedulewhen the vessel was alongside dock609.The Foskor team was welcomed onboard by Captain Gustavsen and hiscrew. The programme started off witha tour of the accommodation section,ending up on the impressive bridgewhere the 2nd officer presented thenavigation equipment including anexplanation of the nautical charts. Wethen moved down to the engine room,where the chief engineer explained allabout the power house, its various componentsand workshops. Thereafter followeda tour of the deck, to show ourguests all the piping, pumps, mooringequipment, etc.After the tour, we invited the guestsfor finger lunch and snacks in the crewmess-hall. On behalf of Odfjell Makana,we thank Captain Gustavsen and hiswell-qualified crew for their hospitality.On the bridge. From left: Satya Reddy, Alfred Muvhango, Mario Basson,Mayenziwe Langa, Thandeka Khumalo, Harish Malhotra, Musa Xulu, PrabhakarThakur, Chris Masina, Hema Lalla, Reshma Naidoo, Peter Ware, JayaramanVaidhyanathan and Mothusi MotjaleFrom left: Thomas Nagelsen (OSSA),Mothusi Motjale, Chris Masina,Thandeka Khumalo, Mario Basson,Musa Xulu, Mayenziwe Langa, JayaramanVaidhyanathan, Reshma Naidooand kneeling Cobie Cotze (ThembaniShipping) and Alfred MuvhangoSouth America meeting in BergenBy Torgeir HjorthSeptember 17th and 18th, the SouthAmerica business team gathered in Bergen.The representatives from Argentina,Brazil, Chile, Peru, the US and theteam from Bergen presented exportsand imports from their respective areas,and discussed trends and opportunitiesin the market for the next years to come.Two days of intensive discussions, whichalso included operational matters, wereconcluded with a nice trip on the fjordsand a seafood dinner at the waterfrontrestaurant Cornelius at Holmen.Some of the participantsduring group sessionsOdfjell Quarterly December 2007 33

Open House at OTRBy Theo KruithofWith the Botlek terminal’s 50th anniversarycoming up it was about time againto organize an “Open Day” at the terminal.It is indeed a bit of a gamble tohave an open air party mid-October inRotterdam, but we were very fortunate:blue skies all day! A total of about 500people passed the gates between 09.30and 16.00 hours: employees with theirfamilies, ex-colleagues and friends.Mr. Zeger van Asch van Wijck, OTR’sCEO, kicked off the whole thing bycrushing a huge chocolate plate with amarzipan tank. The canteen-staff did anexcellent job throughout the day: thefood and drinks were great and plentiful.And the youngest ones could getthemselves made up in the canteen. Onthe parking lot there were two largeparty tents. Tent no. 1 hosted the twoFormula One race simulators, the standof the balloon-contest and the candyflossmachine. Tent no. 2 was focussingon safety measures on the terminal:dummies dressed with all kind of safetyclothing, demonstrations of how to usebreathing apparatus, information onsafety by one of the terminal’s safetyexperts and vidi-walls with safety films.The most excitement, however, tookplace at the terminal itself. Four bussesand a vintage fire-truck were employedto perform guided tours on the terminal.People could visit the Central ControlRoom, the Waste Water TreatmentPlant, the “Quay 11/Jetty 10 project”and the new 27,500 cubic metre tanks.The firebrigade demo seen from thecraneTo enter into one of these huge tankswas for most people really a “once-ina-lifetime”experience, and everybodywas impressed and thrilled.Another highlight – literally – was thepossibility to go up in a 50-meters highcrane, offering a superb sky view of theterminal. Railway Company Stinnes waspresent with their exhibition rail tankcar and the regional firebrigade performedsome rescue demonstrations.Until they were called in for a real fireelsewhere, because they were on duty.To conclude, it was a great, funny andsunny day with a very positive and merryatmosphere. Thanks to the more thantwenty Odfjell volunteers.Zeger van Asch van Wijck smashingthe chocolate pieTineke Haazen, one of the volunteers,at the candy-floss machineThe Peinemann crane in the airThe party tents and the air castleThe vintage fire truck34 Odfjell Quarterly December 2007

The age of Santa’s elvesAxibar and Bixibor, two of Santa’s mostfaithful elves, both celebrate theirbirthday on Christmas Eve, December24th. Santa, as the kind and thoughtfulemployer he indeed is, wants to honourthem with a birthday cake each. Toknow how many candles to put on eachcake (as the Christmas factory HR systemfor some odd reason doesn’t give theiryear of birth) he asks their colleagueCrixibur. Crixibur provides the followingexplanation:“Axibar is twice as old as Bixibor waswhen Axibar was half as old as Bixiborwill be when Bixibor is three timesas old as Axibar was when Axibar wasthree times as old as Bixibor. Togetherthey’ll be turning 96.”In short, how old will Axibar and Bixiborbe this Chrstmas?We eagerly await your suggested solutionswithin March 5th, 2008.Solution to Brainteaser 2007Q3 - 60 = M in an HLast time we asked our puzzle solvers to find the words suggested by initials tocomplete a set of 20 equations. The solution is as follows:1. 26 = L of the A Letters of the alphabet2. 12 = S of the Z Signs of the Zodiac3. 88 = P K Piano Keys4. 30 = S P to B J C Silver pieces to betray Jesus Christ5. 32 = D F at which W F Degrees Fahrenheit at which water freezes6. 90 = D in a R A Degrees in a right angle7. 2 = No. it T to T Number it takes to tango8. 57 = H V Heinz varieties9. 54 = C in a D (with the J) Cards in a deck, with the jokers10. 7 = D of S W Dwarfs of Snow White11. 18 = H on a G C Holes on a golf course12. 1001 = A N Arabian nights13. 29 = D in F in a L Y Days in February in a leap year14. 64 = S on a C Squares on a chessboard15. 40 = D and N of the G F Days and nights of the Great Flood16. 7 = W of the A W Wonders of the Ancient World17. 8 = P in the S S Planets in the solar system18. 80 = D to G A the W Days to go around the world19. 13 = S on the U F Stripes on the US Flag20. 44 = P of this O Q M Pages of this Odfjell Quarterly magazineWe have received several correct responses,and a few not correct althoughhighly creative suggestions. Such as 18 =? of a Grand Circle (and this guy actuallyplays golf) and 7 = Days of a StandardWeek (assumedly in contrast to all thenot so ordinary weeks…). As usual whenwe have more than one correct solutionwe have drawn a winner, and thistime the person who may call herself thesmartest Odfjell Quarterly reader is OperationsSuperintendent Tracy Schroederat Odfjell Terminals (Houston).Congrats!Odfjell Quarterly December 2007 35

The Personnel CornerNEW HIRESHeadquarters BergenAksnes, Amanda JaneSocial and Welfare Officer24.10.2007Odfjell Terminals (Houston)Fleet Asia, SingaporeNygård, BjørnSuperintendent01.10.2007Sim, Geok Seng, AddisonIT Coordinator08.10.2007Odfjell Terminals (Houston)Mondragon, ArturoShore Operator04.09.2007Mondragon, Martin Jr.Shore Operator04.09.2007Myers, MiguelShore Operator04.09.2007Soria, JorgeShore Operator04.09.2007Palomo, RaulShore Operator05.09.2007Aycock, GlennProject Supervisor01.10.2007Childers, TeresaCustomer ServiceRepresentative01.11.2007Bird, AimeeAdministrative Assistant12.11.2007Farley, TenaPlanning Coordinator12.11.2007Elliot, RoyOperator26.11.2007Green, DougOperator26.11.2007Rivas, Jose Jr.Operator26.11.2007Odfjell AhrenkielRELOCATIONSTran, HoaOperator26.11.2007Neumann, SvenjaAccountant01.09.2007Winge, Johnny WalterSenior MarineSuperintendentFrom M/T Bow Summerto Fleet Asia, Singapore01.09.2007Salomon, Luis-AlbertoShip BrokerFrom Bergen to SaoPaulo, 15.10.200736 Odfjell Quarterly December 2007

IN SERVICE FOR ODFJELL35YEARSBerge, Karl HenrikSenior Ship BrokerHeadquarters Bergen09.10.1972Brekke, Kirsten OlsenSenior Freight AdvisorHeadquarters Bergen16.10.197230YEARSBakke, JanManager Marine ServiceGroupHeadquarters Bergen14.10.1977Ramos De Viso, Marta SusanaSecretaryOdfjell Argentina S.A.01.12.1977Aksnes, PerManager Operational SupportHeadquarters Bergen03.12.1977Ulstein, Arve AndreasPumpmanM/T Bow Star15.11.197725YEARSGunsch, Harry Paul CornelisCustomer RepresentativeOdfjell Terminals (Rotterdam)01.11.1982Kreeft, MarinusField EngineerOdfjell Terminals (Rotterdam)01.11.1982Berkhout, Johannes Adrianus L.Field TechnicanOdfjell Terminals (Rotterdam)01.12.1982Hendrix, Fredrik Adam L.C1-OperatorOdfjell Terminals (Rotterdam)01.11.1982Nieuwendijk, Jan, van denOperational Project ManagerOdfjell Terminals (Rotterdam)01.11.1982Soesman, MartijnSenior Terminal SuperintendentOdfjell Terminals (Rotterdam)01.12.1982Knape, HuibertC1 OperatorOdfjell Terminals (Rotterdam)01.11.1982Peters, Martinus, WilhelmusSecurity EmployeeOdfjell Terminals (Rotterdam)01.11.1982Anita VelandPersonnel AssistantHeadquarters Bergen13.12.1982Service Awards to Odfjell EmployeesOn September 29th, at the Ship OfficersConference dinner, President/CEO TerjeStoreng and Senior Vice President ShipManagement Helge Olsen presentedgold medals or gold watches to longservingshipboard employees of Odfjell.The gold medal is awarded by the NorwegianShipowners’ Association to seafaringemployees having completed 30years of service, of which at least halfthe time with the same company. Thegold watch is for 25 years of service withOdfjell.On October 18th, Chairman of the BoardMr. Dan Odfjell presented awards tofour office employees at HeadquartersBergen, for 25 years of loyal service toOdfjell.Back from left: Terje Storeng, Captain Reidar Heggås(medal), Helge Olsen. Front from left: Pumpman OveSlagstad (watch), Captain Monrad Solli (watch)Back from left: Terje Storeng, Asbjørn Rognaldsen,Ingvald LarsenFront from left: Anita Veland, Dan OdfjellOdfjell Quarterly December 2007 37

Fleet and terminalsSTAINLESSNUMBERSHIPS BUILT DWT CBM STEEL,CBM OF TANKSOwned: Bow Saga¹ 2007 40 085 52 126 52 126 40Bow Sirius¹ 2006 40 048 52 126 52 126 40Bow Sea 2006 40 048 52 126 52 126 40Bow Summer 2005 40 036 52 126 52 126 40Bow Sky 2005 40 005 52 126 52 126 40Bow Spring ¹ 2004 39 942 52 126 52 126 40Bow Star 2004 39 832 52 126 52 126 40Bow Sun 2003 39 842 52 126 52 126 40Bow Firda 2003 37 427 40 515 40 515 47Bow Chain 2002 37 518 40 515 40 515 47Bow Favour 2001 37 438 40 515 40 515 47Bow Century 2000 37 438 40 515 40 515 47Bow Fortune 1999 37 395 40 515 40 515 47Bow Master 1999 6 046 6 878 6 878 14Bow Mate 1999 6 001 6 864 6 864 14Bow Pilot 1999 6 000 6 865 6 865 14Bow Sailor 1999 6 000 6 870 6 870 14Bow Cecil 1998 37 345 40 515 33 236 47Bow Flora 1998 37 369 40 515 33 236 47Bow Balearia 1998 5 870 5 941 5 941 20Bow Oceanic 1997 17 460 18 620 18 620 24Bow Bracaria 1997 5 870 5 941 5 941 20Bow Brasilia 1997 5 870 5 941 5 941 20Bow Cardinal 1997 37 446 41 487 34 208 52Bow Faith 1997 37 479 41 487 34 208 52Bow Bahia 1996 5 870 5 941 5 941 20Bow Querida 1996 10 115 10 956 10 956 18Bow Cedar 1996 37 455 41 608 34 329 52Bow Atlantic 1995 17 460 18 620 18 620 24Bow Fagus 1995 37 375 41 608 34 329 52Bow Clipper 1995 37 166 41 492 34 213 52Bow Flower 1994 37 221 41 492 34 213 52Bow Eagle 1988 24 728 32 458 19 662 25Bow Cheetah 1988 40 258 47 604 - 29Bow Leopard 1988 40 249 47 604 - 29Bow Lion 1988 40 272 47 604 - 29Bow Peace 1987 45 655 52 173 2 167 23Bow Power 1987 45 655 52 173 2 167 23Bow Pride 1987 45 655 52 173 2 167 23Bow Prima 1987 45 655 52 173 2 167 23Bow Prosper 1987 45 655 52 173 2 167 23Bow Fertility 1987 45 507 52 173 2 167 23Bow Fraternity 1987 45 507 52 173 2 167 23Bow Panther 1986 40 263 47 604 - 29Bow Puma 1986 40 092 47 604 - 29Bow Hunter 1983 23 002 25 026 21 031 28Bow Maasstad 1983 38 039 48 866 - 22Bow Maasstroom 1983 38 039 48 866 - 22Bow Maasslot 1982 38 039 48 866 - 22Bow Fighter 1982 34 982 41 184 6 299 34Bow Pioneer 1982 23 016 25 965 20 969 28Bow Viking 1981 33 590 40 956 21 745 36Bow Lancer 1980 35 100 42 468 6 252 34Bao Hai Tun (49%) 2006 3 845 4 361 - 10Flumar Aratu (50%) 1997 13 834 15 831 15 831 29Angelim (50 %) 1985 10 259 10 136 6 500 18Araucaria (50 %) 1984 10 259 10 159 6 500 18Bow Pacifico (50%) 1982 18 657 22 929 10 849 31Jatai (50 %, LPG) 1979 4 452 4 031 - 3Bow Condor (50%) 1978 27 950 34 656 21 035 431Vessel beneficially owned through financial lease.Time-Chartered: Bow Omaria³ 2007 19 900 22 202 22 202 20Bow Lima 2007 19 900 22 157 22 157 20Bow Olivia³ 2007 19 900 22 202 22 202 20Bow Octavia³ 2007 19 900 22 202 22 202 20Bow Fuji 2006 19 800 22 140 22 140 22Bow Ophelia³ 2006 19 900 22 655 22 655 20Bow Plata 2006 19 807 22 143 22 143 22Bow Engineer 2006 30 086 35 548 35 548 28Bow Orania³ 2006 19 993 22 050 22 050 20Bow Architect 2005 30 058 36 000 36 000 28Bow Rio 2005 19 990 21 408 21 408 22Bow Europe 2005 19 727 21 573 21 573 36Bow Santos 2004 19 997 21 846 21 846 22Bow Asia² 2004 9 901 10 866 10 866 20Bow Singapore² 2004 9 888 10 867 10 867 20Bow Americas 2004 19 707 22 050 22 050 36Bow de Rich 2003 12 452 13 300 13 300 22Bow de Rich 2003 12 452 13 300 13 300 22Bow Wallaby 2003 11 951 13 485 13 485 22Bow de Feng 2002 12 514 13 289 13 289 22Bow West 2002 12 503 13 299 13 299 22Bow Andino 2000 16 121 17 270 17 270 3038 Odfjell Quarterly December 2007

STAINLESS NUMBERSHIPS BUILT dWT CBM STEEL,CBM OF TANKSBow de Jin 1999 11 752 12 296 12 296 20Multitank Batavia³ 1998 5 870 5 941 5 941 20Multitank Badenia³ 1997 5 870 5 941 5 941 20Multitank Bolognia³ 1997 5 870 5 941 5 941 20Multitank Britannia³ 1996 5 870 5 941 5 941 20NCC Jubail³ 1996 37 499 41 488 34 209 52NCC Mekka³ 1995 37 272 41 588 34 257 52NCC Riyad³ 1995 37 274 41 492 34 213 52NCC Baha³ 1988 24 728 32 458 19 662 25NCC Asir³ 1983 23 001 24 965 20 969 28NCC Arar³ 1982 23 002 24 965 20 969 28Number of ships: 92 2 398 689 2 780 781 1 791 7252Vessel on bare-boat charter.3Vessel on variable timecharter.YArd dELIVERY DWT OWNEROn order: NB Sevmash #1 2008 45 000 OdfjellNB Sevmash #2 2008 45 000 OdfjellNB Sevmash #3 2009 45 000 OdfjellNB Sevmash #4 2009 45 000 OdfjellNB Sevmash #5 2009 45 000 OdfjellNB Sevmash #6 2010 45 000 OdfjellNB Sevmash #7 2010 45 000 OdfjellNB Sevmash #8 2011 45 000 OdfjellNB Sevmash #9 2011 45 000 Odfjell OptionNB Sevmash #10 2012 45 000 Odfjell OptionNB Sevmash #11 2012 45 000 Odfjell OptionNB Sevmash #12 2013 45 000 Odfjell OptionNB Fukuoka 4/2008 19 900 Time-charterNB Shin Kurushima 3/2008 32 500 Time-charterNB Kitanihon 8/2008 33 000 Time-charterNB Kitanihon 10/2008 33 000 Time-charterNB Kitanihon 12/2008 33 000 Time-charterNB Shin Kurushima 2/2009 32 500 Time-charterNB Kitanihon 9/2009 33 000 Time-charterNB Usuki 1/2008 19 900 Variable timecharterNumber of newbuildings: 20 776 800TANK TERMINALSSTAINLESS NUMBEROwned terminals LOCATION SHARE CBM STEEL, CBM OF TANKSOdfjell Terminals (Rotterdam) BV Rotterdam, NL 100 % 1 540 000 31 000 300Odfjell Terminals (Houston) Inc Houston, USA 100 % 270 563 81 902 92Odfjell Terminals (Jiangyin) Co Ltd Jiangyin, China 55 % 99 800 30 000 22Odfjell Terminals (Dalian) Ltd Dalian, China 50 % 59 700 5 750 35Odfjell Terminals (Korea) Co Ltd Onsan, Korea 50 % 109 500 2 850 39Oiltanking Odfjell Terminal Singapore Ltd Singapore 50 % 213 000 5 700 51VOTTN Ltd (Ningbo) Ningbo, China 12.5 % 63 500 7 900 362 356 063 165 102 575Associated terminalsDepositos Quimicos Mineros S.A. Callao, Peru 23 680 3 200 29Granel Quimica Ltda Santos, Brazil 97 720 19 879 99Granel Quimica Ltda Rio Grande, Brazil 32 800 2 900 24Granel Quimica Ltda Sao Luis, Brazil 54 800 0 28Granel Quimica Ltda Ladario, Brazil 8 000 0 6Odfjell Terminals Tagsa S.A. Buenos Aires, Argentina 51 105 535 101Odfjell Terminals Tagsa S.A. Campana, Argentina 75 200 10 100 112Terquim S.A. San Antonio, Chile 32 840 0 25IMTT-Quebec Quebec, Canada 33% 202 979 5 496 46Total, including capacity under construction 579 124 42 110 470Grand total 2 935 187 207 212 1 045ONGOING NEW ESTIMATEDProjects and expansions SHARE CBM EXPANSION TOTAL COMPLETIONOdfjell Terminals (Rotterdam) BV 100 % 1 540 000 97 700 1 635 000 Q2 2008Odfjell Terminals (Houston) Inc 100 % 270 563 49 290 319 853 Q1 2009Odfjell Terminals (Dalian) Ltd 50 % 59 700 50 000 110 000 Q4 2007Odfjell Terminals (Korea) Co Ltd 50 % 109 500 61 500 171 000 Q1 2009Oiltanking Odfjell Terminals L.L.C. (Oman) 29.75% 811 000 811 000 Q1 2009Exir Chemical Terminals PJCCO (Iran) 35% 22 000 22 000 Q4 2008Odfjell also has planned projects in Hainan and Caofeidan in China1 091 490Odfjell Quarterly December 2007 39

Offices and addressesMAIN OFFICEOdfjell SE - Odfjell Seachem ASConrad Mohrsv. 29, P.O.Box 6101 Postterminalen5892 Bergen, NORWAYTel: +47 5527 0000Fax: +47 5528 4741Fax: +47 5527 9070(Chartering/Operations)INTERNATIONAL OFFICESOdfjell USA LP12211 Port RoadSeabrook, TX 77586, USATel: +1 713 844 2200Fax: +1 713 844 2211Odfjell Singapore Pte Ltd6 Shenton Way, # 27-08/09DBS Tower 2SINGAPORE 068809Tel: +65 6349 1300Fax: +65 6224 2285Odfjell Japan LtdOgawa Bldg. 8F2-2 Uchikanda 1-ChomeChiyoda-ku, Tokyo 101-0047, JAPANTel: +81 3 3259 8555Fax: +81 3 3259 8558Odfjell Netherlands BVOude Maasweg 6, P.O. Box 50103197 XC Rotterdam-BotlekThe NETHERLANDSTel: +31 102 953 666Fax: +31 102 953 668Odfjell Brasil LtdaAv. Paulista 460 - 18 andarCEP 01310-000 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5808Odfjell Korea Co Ltd13th fl. Dongbu-Dadong Bldg.#103, Da-Dong, Chung-GuSeoul, KOREATel: +82 2 775 9760Fax: +82 2 775 9761Odfjell Korea Ltd.2nd Floor, 41-18, Jangsengpo-DongNam-Gu,Ulsan, KOREA 680-060Tel: +82 5 222 75527Fax: +82 5 222 75567Odfjell Manilac/o Magsaysay Maritime Corp.5th floor, 520 t.m. Kalaw StreetErmitaManila, PHILIPPINESTel: 63 2 526 9773Fax: 63 2 525 7720Odfjell Dubaic/o Sharaf Shipping AgencySharaf Building, Al Mina RoadP.O. Box 576,Dubai, UNITED ARAB EMIRATESTel: +971 4 351 9785Fax: +971 4 351 9756Odfjell (UK) Ltd14 Headfort PlaceLondon SW1X 7DHUNITED KINGDOMTel: +44 207 823 0605Fax: +44 207 823 0606Odfjell PeruAv. Enrique Meiggs, 240Urb. Chacaritas,Callao, PERUTel: +51 1 614 0800Fax: +51 1 614 0801TANK TERMINALSOdfjell Terminals (Houston) LP12211 Port RoadSeabrook, TX 77586, USATel: +1 713 844 2300Fax: +1 713 844 2355Odfjell Terminals (Rotterdam) BVOude Maasweg 6, P.O. Box 5010Harbour Number 40403197 KJ Rotterdam-BotlekThe NETHERLANDSTel: +31 102 953 400Fax: +31 104 384 679Odfjell Terminals (Dalian) LtdNew PortEconomy & TechnologyDevelopment Zone 116601, DalianP.R. ChinaTel: +86 411 8759 5500Fax: +86 411 8759 5549Odfjell Terminals (Jiangyin) Co., Ltd1314 West Binjiang RoadShizhuangNew Harbour City, JiangyinJiangsu 214446 P.R. CHINATel: +86 510 8666 9111Fax: +86 510 8666 9110Odfjell Terminals (Korea) Co, Ltd136, Cheongyong-RiOnsan-Eup, Ulju-GunUlsan, KOREATel: +82 522 311 600Fax: +82 522 376 636Oiltanking Odfjell Terminal Singapore Pte Ltd1 Seraya AvenueSINGAPORE 628208Tel: +65 6473 1700Tel: +65 6479 4500Odfjell ShanghaiSuite B, 13FHuamin Empire Plaza728 Yan An West RoadChangning DistrictShanghai 200050, P.r. CHINATel: +86 21 5239 9469Fax: +86 21 5239 9897Odfjell Argentina SAAlicia Moreau de Justo 1960Office no. 202 - Puerto Madero1107 Buenos Aires, ARGENTINATel: +54 114 313 7837Fax: +54 114 313 4619National Chemical Carriers Ltd CoRoom 301, 3rd Floor, Al-Akariyah Bldg No 1Sitteen Street, Malaz AreaP.O. Box 8931Riyadh 11492, SAUDI ARABIATel: +966 1 477 3934Fax: +966 1 476 4328Terquim SABlanco Encalada 840Dept 702, San AntonioCHILETel: +56 35 211 050Fax: +56 35 211 161Vopak Terminal Ningbo Ltd.No. 111 Zhaobaoshan Road,Zhenhai DistrictNingbo, P.R. CHINATel: +86 574 2769 5638Fax: +86 574 8627 5931ASSOCIATED TANK TERMINALSTAGSA S.AAv. Alicia Moreau de Justo 1960,piso 4 Of.4021107 Buenos AiresARGENTINATel: +54 11 4001 9700Fax: +54 11 4001 9701Odfjell Australasia Pty LimitedSuite 4, Level 1443 Little Collins StreetP.O.Box 1279Melbourne VIC 3001 AUSTRALIATel: +61 3 9642 2210Fax: +61 3 9642 2214Odfjell IndiaA-26, Nandbhuvan Industrial EstateMahakali Caves Road, Andheri (East)Mumbai 400093, INDIATel: +91 22 5695 4701Fax: +91 22 5695 4707Odfjell Seachem South Africa Pty LtdThe Sharaf House2 Sinembe Crescent La Lucia RidgeDurban 4051, SOUTH AFRICATelefon: + 27 31 5834470Fax: +27 31 5834488REGIONAL OFFICESOdfjell Asia Pte Ltd6 Shenton Way, # 27-08/09 DBS Tower 2SINGAPORE 068809Tel: +65 6349 1300Fax: +65 6224 2285Odfjell Ahrenkiel Europe GmbHBurchardstrasse 8, Postfach 100 220,20095 HamburgGERMANYTel: +49 40 24838 307Fax: +49 40 24838 319Flumar Transportes de Quimicos e Gases LtdaAv. Paulista 460 - 18 andarCEP 01310-904 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5807GRANEL QUIMICA LtdaAv. Paulista 460, 18° andarCEP 01310- 000 São Paulo, SPBRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5832TERQUIM S.ABlanco Encalada 840Dept 702, San AntonioCHILETel: +56 35 21 1050Fax: +56 35 21 1161DQM S.AAv.Enrique Meiggs, 240Urb.Chacaritas,Callao, PERUTel: +51 1 614 0800Fax: +51 1 614 0801www.odfjell.com