Dead freight claimed by vessel not honored by charterers -

bulk carrier guide

In a recent case study it is found dead freight claimed by vessel not

honored by charterers. Charterers not put on notice for poor
stowage and not providing vessel with full cargo Urea in bulk.

What went wrong?: The shippers were unable to provide vessel

with full cargo. The vessel had indicated the full capacity in the NOR
as per stowage factors advised by the shipper.

On completion of loading Urea in bulk it was ascertained that one

hatch had still some space left to load. The complete cargo as per
NOR was also not provided. The vessel then notified agents and
issued a dead freight claim, but due to paucity of time and last
minute departure arrangements the vessel only managed to get the
agents to acknowledge the deadfright protest for receipt. Vessel
however did not put the shippers and other concerned parties on
notice for the deadfreight and sailed from the port with only an
acknowledgement from the agent.

Fig:Dead Freight claim partly loaded condition

This deadfreight claim however was not honoured by the shippers

after vessels departure from the loadport. It is customary in the
bulk trades for the charter party to allow for the actual weight to be
more or less (MOL) than the proposed weight by a margin of
approximately 10%, in either the charterers option (MOLCO) or the
owners option (MOLOO). If the weight loaded is less than the
agreed margin, the charterers are deemed to be in breach of
contract and liable for deadfreight. This however requires the
Owners to present the deadfreight statement to the shippers in the
load port prior departure.

Fig: Fully loaded bulk Urea

In order to support a dead freight claim it is necessary to prove that

the charterer or shipper are aware that the vessel could carry more
cargo and are given reasonable opportunity to provide the balance
before the vessel left the loading port. It is therefore essential that

The NOR specifies the quantity of cargo that the vessel can
load.
Letter of protest is issued to the charterers in the load port
deadfreight claim form is completed and presented to the
shipper and charterer
The Master informs the owners or commercial operators and
office, that full cargo has not been provided by the shippers.
Vessel not to depart port without obtaining specific guidance
from Charterers.
The Master should seek guidance from the owners or
commercial operators and obtain approval before the B/L is
endorsed for dead freight due.

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Contract of carriage at sea & bulk carriers required
documents

Goods are carried by sea under a contract of carriage between the

shipper and the shipowner. The shipper may employ a forwarding
agent to arrange the transport, while the Shipowner may employ a
loading broker to control the allocation of space and advertise the
service, and to make the loading arrangements and prepare
documents on the shipowner's behalf .

When a shipper wants to send a particular cargo with a particular

ship on a scheduled service, a "shipping note" for the consignment
is completed by the shipper and forwarded to the shipowner or his
agent. This note will have to contain a brief description of the

commodity. The loading broker then compiles a list of the

consignments intended for shipment, the booking list. This is sent to
the ship to enable the Master to plan the stow and to the stevedore
to arrange the loading. The shipper may receive a "booking note",
which specifies that the carrier reserves space for a specified
volume and kind of cargo in a named vessel between named ports.
The broker may also issue a "calling forward notice" to the shipper,
advising him of the time and place at which he is to deliver the
goods.

When the cargo is delivered to the warehouse or to the ship, a

receipt for that cargo must be obtained by the shipper. When the
cargo is placed onboard, this is called a "mate's receipt". This
receipt acknowledges that the goods ha ve been loaded and have
been properly and carefully handled, loaded and stowed. If there
are any damages to the goods before loading, this will be recorded
on the receipt, and it is no longer "clean".

In some trades, it is customary for the shippers to have a "boat

note" following the cargo. When the "boat note" is signed by the
cargo officer aboard the ship, it becomes a "mate's receipt". With
many shipping companies it is the practice to give an official "mate's
receipt" irrespective of the fact that a boat note may be provided by
the shipper. Modern practice is to present a copy of the shipping
note as the boat note, which when endorsed, become the "mate's
receipt".

Special tally companies are engaged by the shipowner to check or

keep record of all cargo loaded into and discharged from a vessel.
This is an essential part of cargo work in order to prevent claims
upon the ship for so-called "short" discharge, i.e. when some of the
cargo is missing. It is sometimes customary for the shipper or
consignee to provide his own tally clerks, particularly with cargoes
of a straight nature, such as bags, bales etc.

A copy of the "mate's receipt" will be returned to the shipowner, so

that a "bill of lading" can be issued to the shipper. The "bill of
lading" acknowledges that the goods have been "shipped in
apparent good order and condition" if the "mate's receipt" is clean.
Otherwise, comments are transferred to the "bill of lading". This
document is issued under all forms of shipping, scheduled or not.
The complete list of cargo loaded, as compiled from the "bills of
lading" form the "manifest" of the ship. Customs regulations at most
ports require at least one copy of the manifest and copies are also
required for stevedores at discharging ports.

While cargoes are in transit, they may be sold so that the goods
change ownership. Such a sale will be represented by the "bill of
lading" changing hands. At the port of discharge, the consignment
will be handed over to the party presenting the original "bill of
lading".

Shippers Declaration

A Shippers Declaration is required under the IMO Code of Safe

Practice for Solid Bulk Cargoes (BC Code) to be made by the shipper
of a hazardous solid bulk cargo, e.g. coal, for the guidance of the
master. It outlines the cargos characteristics, including (for coal):

transportable moisture limit (TML);

estimated stowage factor (SF);
 angle of repose;
contractual sizing;
contractual sulphur content;
IMO category for ocean transportation purposes.

The Shippers Declaration also lists any special precautions required

and states where emergency procedures may be found, e.g. in the
Coal section of the BC Code, and reproduces relevant extracts.

A Masters Response Sheet may be issued by a shipper to the

master after loading a hazardous bulk cargo in an effort to obtain
information on the behaviour of the cargo during the voyage, where
this behaviour does not correspond to that stated on the Shippers
Declaration.

Masters are to ensure they/their officers always take

steps/measures to satisfy themselves that the condition of the cargo
presented for loading accords with the description of the cargo in
the documents given to the ship - mates receipts / bills of lading /
cargo manifest etc. If the B/L contains inaccurate or misleading
statements about the quality or quantity of the cargo it covers, then
Owners will be liable for the consequences, at least in the first
instance. The Masters main concern must be, to see that this
cannot happen.

Therefore it is essential that the Master clauses directly on the bills

the correct condition of the quality and quantity of cargo if these
two items have not be properly described in the document
presented to him for signing. If he wants assistance with the
wording to be used in the clausing, he should call the commercial
office who may engage the local P & I representative for advice. If
this is not acceptable to Charterers / Shippers then they will need to
find other cargo to load which does accord with the description
which they want to appear in the Bills of lading.

Masters are also to ensure that the current charter party for the
voyage is onboard and understood by all Officers, this includes
notifications to be made when a potential dispute arises. The timing
of such notifications is critical in such cases, if time constraints due
to onboard operations, a telephone call to the Commercial Operator
will suffice until a formal email with relevant backup detail can be
sent.

It may not always be easy for the Master to separate the differing
responsibilities with regards to the commercial operations of the
vessel. If in doubt, always refer to your management office
/commercial operator for clarification and support.

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Checks when signing a bill of lading - bulk carrier guide

Quantity of Cargo
: a) The Master must not sign a B/L acknowledging the receipt of
goods which he knows have not been loaded. Unfortunately, the
measurement of bulk cargoes with precise accuracy is for all
practical purposes impossible, and so the problem frequently arises
of deciding at exactly what point the Master can say that the B/L
figure is incorrect.

This usually depends on many factors, such as type of cargo, the

size of ship and conditions in the port, but common practice is that,
if the B/L figure differs from the ships figure by more than 0.5%,
then the Master must query the accuracy of the B/L figure.

b) If the discrepancy between ship and B/L figures exceeds 0.5%,

every effort must be made to establish the reason for the
difference. If this is not possible, then the Master is to adopt one of
the following courses :-

delete the B/L figure and insert the ships figure, initialling the
alteration, or
 endorse the B/L with the reservation x tons in dispute:, or
refuse to sign it, but pass it to the agents with the appropriate
instructions in writing, or
advise the company immediately and contact the local P & I
correspondent

c) If the B/L figure is within 0.5% - of the ships figure, (as

established by draught survey and/or volumeric calculation), then it
is probably in order to sign it. However, if the B/L figure is in excess
of the ships figure by more than 0.1%, the Master should issue a
letter of protest to Charterers and Shippers, notifying Owners of
what he has done.

d) The above will also apply when the vessel is employing an Early
Departure Procedure.

Description & Condition of Cargo

The Master must satisfy himself that the description of the cargo
contained in the B/L is accurate, and complies with the description
of that given in the charterparty or voyage orders. He should also
ensure that, if any part of the cargo is not in good condition, he
should clause the B/L accordingly, (e.g. condition of steel product
cargoes). If in doubt, the Master must advise the vessels Operator
and where appropriate call in the local P & I Surveyor.

Date of B/L

The Master must not sign an inaccurately dated B/L.

Description of Voyage

a) The Master must not sign a B/L for a voyage or destination which
is patently inconsistent with any Charter Party governing his
vessels employment, or with his voyage instructions.
b) Unless specifically instructed by Owners to do so, the Master
must not sign B/Ls for a port or destination which his ship is
physically incapable of reaching in safety.

c) The Master must not sign a B/L which explicitly forbids

transhipment if he knows that this is envisaged by Charterers, or
that it is inevitable through physical restrictions such as draft.

d) The Master must not sign a B/L which he knows contains

fraudulent information, e.g. false port of discharge.

In all the above circumstances, he should notify the office

immediately.

Terms and Conditions

a) Most forms of B/L in common use for bulk cargoes incorporate

such words as This shipment is carried under and pursuant to the
terms of the C/P dated .between .and .and all terms, clauses,
exceptions and conditions thereof apply to and govern the rights of
the parties concerned in this shipment. Whenever possible, the
blanks are to be filled in. If this is resisted, then the Master is to
protest in writing to both Shippers and Charterers, notifying
Owners.

b) Certain forms of B/L contain no such provision. This does not

matter provided the B/L does incorporate the Hague Rules or
HagueVisby Rules in some form or other.

Payment of Freight

a) A B/L which contains no reference to freight having been paid in

whole or in part is a receipt only for cargo, but a B/L marked
Freight Paid or Freight Prepaid may constitute a receipt for both
cargo and freight money.
b) Accordingly, the Master is only to sign such a B/L where:-

he is specifically instructed to by the Company (or where

appropriate, Time Charterers but not Voyage Charterers), or

he has good evidence that the freight has indeed been

properly paid and received by Owners (or Time Charterers),
e.g. a direct instruction by telex from the Company, Owners or
Time Charterers.

c) Unless one of the above conditions is satisfied, the Master must

not sign the B/L without first deleting the relevant words and
initialling the alteration. If this proves impossible, he is to pass it to
the agent with a written instruction not to issue it without explicit
instructions from the company.

IF THE MASTER HAS ANY QUERIES AT ALL RELATING TO THE

SIGNING OF BILLS OF LADING, HE SHOULD NOT HESITATE TO
CONTACT THE COMMERCIAL OPERATOR AND/OR MANAGEMENT
OFFICE IMMEDIATELY
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Checklist to show stability, hull strength, draft, trim,

suitability of cargo for a bulk carrier
The conditions
of stability, hull strength, draft and trim of bulk carriers at sea and
on arrival / departure at / from port and during loading / unloading
cargo, bunkering and water ballast exchange, should be worked out,
ensuring safety of the vessel. Safety of the cargo vessel depends on
proper GM, stress calculation and other factors as being within
appropriate Limits.

Following are the check item confirming stability and hull strength of
cargo ship:
1. The GM value within acceptable limits as specified in the
loading manual and in compliance with IMO rules upto arrival
next port?

2. GZ curves of the vessel to be fully understood, and their

characteristics confirmed

3. Expected weather and sea conditions, to be taken into

consideration when confirming stability & hull strength

4. Free surface effects and any sloshing effects for the planned
passage to be taken into consideration.

5. Any restrictions specified in the loading manual to be taken

into consideration.

6. Values of bending moments, shearing forces and torsional

stresses at sea to be within acceptable limits upto arrival next
port.

7. The sailing draft to be within applicable loadline or

port/passage limits/restrictions.

8. Air draft limitations due to bridges, cargo handling

equipment or other obstructions to be assessed as necessary.

9. The cargo density in accordance with maximum permissible

values and precautions as per the loading manual to be
followed.

10. Forward draft limit (per loading manual) to prevent

slamming to be confirmed.

11. Propeller immersion ratio to be assured.

 12. Trim and draft changes during voyage in fresh or brackish
water such as rivers, canals and lakes, to be taken into
consideration.

13. Squat due to shallow water effect to be taken into

consideration.

14. Safe under keel clearance to be assured .

15. Fuel oil and fresh water consumptions to be taken into

consideration.

Check items

Following are the guideline to check suitability of loading/ unloading

solid bulk cargo

i) Cargo holds and hatch openings are suitable for cargo operations

ii) Holds are clearly numbered on hatch covers/ coamings

iii) Hatch covers, hatch operating systems and safety devices are in
good operational condition

iv) List indication lights, if fitted, have been tested prior to arrival
and are operational

v) If applicable, loading instrument is certified and operational

vi) Propulsion/auxiliary machinery is in good operational order

vii) Mooring equipment is in good functional order

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Fig: Bulk carrier encountering rough sea conditions

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Deterioration of bulk carriers hull and consequences of hull

damage /forward flooding

Hull damage

Deterioration of ships hull / structure through corrosion, fatigue and

damage is identified as a principal factor in the loss of many ships
carrying cargo in bulk . Failing to identify such deterioration may
lead to sudden and unexpected accident. Bulk carrier crews may be
unaware of the vulnerability of these vessel types. The
consequential loss of a ship carrying heavy cargo can be expected
to be very rapid, should a major failure occur.
Progressive flooding in the forward region

Spaces forward of the collision bulkhead will, in the event of

flooding, significantly affect the trim of the ship and reduce
freeboard at the bow. In rough weather condition this further
threatens the ship as open seas come inboard and impact on hatch
covers and other fittings that protect the water or weathertight
integrity of the ship. Hull plating in the region of the bow protects
the fore peak tank and other spaces as do air pipes and ventilators.
If any of them are damaged the ship's ability to resist further
escalation of flooding is compromised.

Fig: Structural failure and flooding of bulk carrier

Early warning

Bilge well high water level alarms in all cargo holds , or in conveyor
tunnels, as appropriate , giving an audible and visual alarm on the
navigation bridge and cargo control room can give warning of ingrss
of sea water and should be dealt with promptly.When it occurs or is
likely to occur, masters should quickly assess damage to their ships
by being alert to water ingress and its consequences.
The following guidelines are given to assist them in this assessment.
Measuring cargo temperature
Temperature of cargoes like coal and grains should be regularly
checked in order to detect signs of heating. Temperature should be
obtained by lowering a thermometer into the sounding pipes on the
port and starboard sides at the after end of each hold.

An additional temperature pipe should be sited beside the hold

ladder at the fore end of the hold. A thermometer for each position
should be placed at a designated place and withdrawn immediately
when readings are required.
The most accurate and reliable readings can be obtained by making
sure that the thermometers are lowered to a level, which is well
below the surface of the cargo, and that they are left in position for
several minutes.

Where possible there should be a thermometer for each position

and thermometers should be left in place permanently and
withdrawn rapidly when readings are required. Mercury
thermometers are considered to be less satisfactory for taking cargo
temperatures unless fitted with a maximum temperature indicator
and reset before the taking of each reading, and one authority
recommends the use of suitably calibrated pyrometers.

When carrying coal it is necessary to test the air in the holds for
hazardous gases. If the cargo was fumigated before departure from
the loading port and if fumigation is continued in transit, regular
checks should be made for leakage of the fumigant for so long as it
remains active.

Bulk carrier losses in the early 1990s were dramatic: ships sank
rapidly, often with the loss of all lives. Many were old and had
suffered structural damage. A study by IACS (International
Association of Classification Societies) found that after flooding in
the foremost hold, the bulkhead between this hold and the adjacent
hold can collapse from the pressure of cargo and water, leading to
progressive flooding and sinking.
Indication of unusual motion or attitude of bulk carriers and risk
management / evacuation
If a ship takes on an unusual trim or heel, or if her motions become
changed, breach of the hull envelope should be suspected
immediately: i) Unusual collections of water on decks may be
indicating trim or heel abnormality. ii) Sudden changes of heel or
trim will indicate flooding or in smaller ships with lighter cargoes it
may indicate cargo shift.

Handling water ingress problems in bulk carrier, investigation and

countermeasures
Based on experience of accidents with lesser consequences it was
concluded that the casualties occurred through local structural
failure leading to loss of watertight integrity of the side shell
followed by progressive flooding through damaged bulkheads. Any
prudent Master may wish to investigate any suspected water ingress
more closely but preparations for evacuating the ship should be
made instantly and concurrent with any investigation.

Survival and safety procedure for bulk carriers

Particular emphasis has been placed on being ready for early
evacuation or abandonment of the vessel. For ships carrying high-
density cargoes this is of importance while they are at sea. There
may however be cases where abandonment may be the worst
option and for bulk carriers as with other ship types this is most
probably true in the event of grounding.
Damage investigation and countermeasures for bulk carriers
Damage to side shell, externally through contact with docksides or
tugs and, internally from impact by cargo dislodging equipment
during discharge, can result in initiating fractures and/or fatigue of
the structure. In single side-skin bulk carriers, bulkheads, trunks
and ballast tank boundaries, can present "hard spots" that
concentrate forces where the change in construction occurs (e.g.
longitudinal to transverse framing). This may lead to undetected
fractures.

Structural standards & strengthening of bulk carriers

Deterioration of ships hull / structure through corrosion, fatigue and
damage is identified as a principal factor in the loss of many ships
carrying cargo in bulk . Failing to identify such deterioration may
lead to sudden and unexpected accident. Bulk carrier crews may be
unaware of the vulnerability of these vessel types. The
consequential loss of a ship carrying heavy cargo can be expected
to be very rapid, should a major failure occur.

Monitoring hull stresses during rough sea conditions

The stresses upon the structure of bulk carriers are at their extreme
limit in heavy seas; this is the time when most bulk carrier losses
have been recorded. The IMO, therefore, recommended fitting hull
stress monitoring systems on bulk carriers over 20,000 tonnes to
minimise the dangers associated with longitudinal stresses due to
vessels bending and pitching in a seaway and possibly triggering
fatigue failure and above.

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Precautions against hazards of bulk cargo which may liquefy

Certain cargoes, such as concentrates and some coals, contain

moisture that can cause the cargo to liquefy (for example, copper
concentrates and certain grains including sago and tapioca can show
the same characteristics as a liquid).

What is Liquefaction?

In a fine grained, moisture laden cargo the spaces between cargo

grains are filled with both air and water. Whilst at sea the cargo is
subject to forces due to the vibration and rolling of the vessel.
These forces cause the inter-grain spaces to contract. The water in
the spaces between grains is subject to a compressive force but as
it is a liquid it cannot be compressed. This has the effect of reducing
the inter-grain frictional force that holds the cargo in a solid state.
Where enough moisture is present the reduction in inter-grain
friction due to the ships motion and vibration can be sufficient to
cause the cargo flow like a liquid i.e. to liquefy.

Consequences of Liquefaction

The most significant consequence for the vessel resulting from

liquefaction is cargo shift leading to loss of stability. This may
produce dangerous angles of list and in some instances the resulting
loss of stability can be such that the vessel and the lives of those
onboard are lost. It is therefore imperative that seafarers are aware
of the types and condition of cargo that may give rise liquefaction.

SOLAS Requirements

The International Convention for the Safety of Life at Sea (SOLAS)

Chapter VI Carriage of Cargoes - provides the general framework
for the carriage of all cargoes.

Masters Duties

SOLAS Chapter VI Part B, Regulation 6.2, states that Concentrates

or other cargoes which may liquefy shall only be accepted for
loading when the actual moisture content of the cargo is less than
its TML. Therefore, a master should not accept such a cargo for
loading without first receiving the appropriate documentation
certifying the moisture content and TML of the cargo with the
moisture content shown to be less than the TML.

Terminal Representatives Duties

SOLAS Chapter VI Part B, Regulation 7 deals with the loading,

unloading and stowage of bulk cargoes and introduces the Code of
Practice for the Safe Loading and Unloading of Bulk Carriers (BLU
Code). The BLU Code is included as a supplement of the IMSBC
Code. The BLU Code, although primarily concerned with
arrangements between the terminal and the ship to ensure safe and
efficient cargo operations in port, does under section 3.3.3 state
that: The terminal representative should be satisfied that the ship
has been advised as early as possible of the information contained
in the cargo declaration as required by chapter VI of SOLAS 1974 as
amended. A question confirming that the cargo information has
been received is also included in the recommended ship shore
safety checklist at Appendix 3 - question 12 - of the BLU Code.

Terminal representatives bringing commercial pressure on masters

to load their vessels before receiving the shippers cargo declaration
are acting in contravention of the BLU Code and therefore SOLAS.
Masters are urged to resist such pressures. It is a masters
responsibility to ensure that the vessel is safely loaded; and where
the shippers cargo declaration has not been received the master
has no idea of the likely properties of the cargo to be loaded. If such
declaration is not forthcoming a master should not commence
loading and should immediately notify owners. Members should
contact the Association for advice in such circumstances.

The loading and carriage of cargoes that have the potential to

liquefy takes place every day, all over the world and the vast
majority of voyages pass off without incident. However, the
potential consequences of loading a cargo that is unsuitable for
carriage due to its moisture content are of such seriousness that
vigilance when dealing with these cargoes can never be relaxed.

Familiarity with the IMSBC Code and an awareness that its Annexes
are not exhaustive is important. Always bear in mind that some
cargoes do not appear in the IMSBC Code and that these cargoes
may liquefy. The best way to protect both the crew and the owners
interests is by ensuring that the provisions and advice of the IMSBC
Code are followed at all times and by being vigilant before, during
and after loading.

There are reports of iron ore sinter feed (or sinter feed) shipments
from Brazilian ports, including Ponta da Madeira, Tubarao and
Itaguai, liquefying en route. Some Brazilian shippers declare sinter
feed as a Group C cargo, under the IMSBC Code. This categorises
the cargo as not being prone to liquefaction, so shippers do not
have to provide test results for moisture content, Transportable
Moisture Limit (TML) and Flow Moisture Point (FMP).

Fig:Bulk carrier American Mariner at sea

Sinter feed is clearly listed in the IMSBC Code as Iron Concentrate,
under the schedule for Mineral Concentrates. All cargoes covered by
this schedule are Group A cargoes and are prone to liquefaction.

Due to vibration and compaction of cargo within the ship, even

apparently dry cargoes may liquefy into a semi-fluid state. A
liquefied cargo can flow with the ship's roll but, when the ship rolls
back, it does not completely return to its original stowage space.
This may result in reduced stability and damage to the structure.

SOLAS Chapter VI Regulation 6 states that:

"Concentrates or other cargoes which may liquefy shall only be

accepted for loading when the actual moisture content of the cargo
is less than its transportable moisture limit. However, such
concentrates and other cargoes may be accepted for loading even
when their moisture content exceeds the above limit, provided that
safety arrangements are to the satisfaction of the Administration..."

IMSBC Code Group A cargoes are susceptible to liquefaction during

a voyage even if they are trimmed. Compaction of the cargo can
reduce the space between the cargo particles and increase the
water pressure. The water rises to the surface, at the same time
reducing the friction between the particles and generating a free
flow state. This free flow state does not develop if:

The cargo contains small enough particles that restrict the

movement of cargo by cohesion
the cargo particles are large enough to allow free passage of
water between empty spaces between the particles
the moisture content is so low that even compaction does not
cause a flow of liquid.

Problem with Mill Scale

Mill Scale, a by product of hot rolled steel-making, is a bulk

commodity liable to liquefaction, like iron ore fines. Mill Scale and
Mill Scale Fines possess a transportable moisture limit (TML) and
have thus been confirmed as Group A cargoes, which should not be
accepted for loading without the shipper having certified the
moisture content and TML. Due to the high density of the cargo, the
IMSBC Code requires that it should be trimmed flat for the voyage,
distributing the weight evenly over the tank top - wet base cargoes
are prone to shifting, as the bottom liquefies and the top of the stow
becomes free to slide over the base.

Cargo liquefaction cases resulting in total loss

The recent tragic loss of the 2005-built Vietnamese bulk carrier and
22 of its crewship, which was reportedly carrying a cargo of nickel
ore from Morowali, Indonesia to China, sank on 25 December 2010
underlines the urgent need for greater enforcement of regulations
and testing of cargoes that may liquefy.

In December 2010, following the loss of three bulk carriers and 44

crewmembers in short succession, all owing to cargo liquefaction,
the industry was reminded of the dangers associated with the
carriage of hazardous cargoes, however, the recent loss
demonstrates that the message has still not got through. Shippers
and cargo interests have been called upon to conduct an urgent
review into the testing and safety processes involved in shipping of
hazardous cargoes following the spate of accidents and fatalities in
2010.

Some shipowners reportedly still do not have the relevant

experience or knowledge in interpreting the IMSBC Code and are
accepting cargoes, which are unsafe. The industry needs
reassurances of the competent authorities in the exporting countries
that their procedures and processes have integrity and transparency
as they are the key to ensuring that seafarer's lives are not put in
danger.

At the 16th Session of IMO's Sub-Committee on Dangerous Goods,

Solid Cargoes and Containers (DSC) in September 2011, industry
associations worked together to help strengthen and clarify the
requirements of the IMSBC Code for accurate information relating to
the carriage of cargoes that may liquefy, such as nickel ore.

INTERCARGO Issues Nickel Ore Guidance

The International Association of Dry Cargo Shipowners,

INTERCARGO has issued a formal guidance document, which aims
to guide and inform Shipowners, Masters and other industry
stakeholders regarding the particular risks associated with carrying
Nickel Ore. In response to the loss of four Bulk carrying vessels and
66 seafarers in little under 12 months INTERCARGO has sought to
highlight the potential dangers of carrying Nickel Ore cargoes.

The guide gives practical advice to shippers, shipowners and

charterers. The guide also points to other areas of assistance
including from a vessel's P&I Club. The Club would like to remind
Members of its own extensive information regarding the carriage of
Group A cargoes and especially those regarding Nickel Ore in
particular. (Source: UK |P&I |CLUB)

Problems of non-compliance with IMSBC code

In the wake of some tragic accidents occurring in the last quarter of

2010 in spite of the fact that the IMSBC Code containing measures
to be adopted aimed at preventing the liquefying of bulk cargoes
that affect the ship stability becoming mandatory, the concerns
continue in the face of non-compliance by some shippers and ship
operators.

The dangers that high-density liquefied bulk material poses on ship

safety include increased structural load due to movement of the
cargo and the rather dramatic effect on ship stability. Though the
structural problem remains a serious issue requiring attention, the
stability related issues also needs consideration.

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Handling bulk coal - hazards involved

Vessels shipping coal should at all times carry on board instruments

for measuring methane, oxygen and carbon monoxide gas
concentrations, so that the atmosphere within the cargo space can
be monitored. The instrument should be regularly serviced and
calibrated so that it can provide the crewmembers with reliable data
about the atmosphere within the cargo space. Care needs to be
exercised in interpreting methane measurements carried out in the
low oxygen concentrations often found in unventilated cargo holds.

The catalytic sensors normally used to detect methane rely on the

presence of sufficient oxygen for accurate measurement. This
phenomenon does not affect the measurement of carbon monoxide
or measurement of methane by infrared sensor. However, additional
guidance should be sought from the manufacturer of the
instrument.

Fig: Bulk Coal Discharging

An instrument required for measuring methane, oxygen and carbon

monoxide concentrations should be fitted with an aspirator, flexible
connection and a length of tubing, thus enabling a representative
sample to be obtained from within the square of the hatch.

Stainless steel tubing approximately 0.5m in length and 6mm

nominal internal diameter with an integral stainless steel threaded
collar is often preferred. The collar is necessary to provide an
adequate seal at the sampling point.

A suitable filter should be used to protect the instrument against the

ingress of moisture as recommended by the manufacturer. The
presence of even a small amount of moisture would compromise the
accuracy of the measurement

Australia is the world's largest coal exporter with an estimated 240

million tonnes exported every year. Other significant coal exporters
include the USA, Canada and South Africa.

Major coal importing countries include Japan, Korea, the UK,

Germany, India and Italy to generate electricity.

There are four categories of coal:

Coal Slurry
This is a mixture of solid coal containing water and is obtained as a
by-product during mining. The coal particle size is usually less than
1 mm. It is regarded as a cargo that may liquefy due to its high
moisture content.

Coal Duff
This is a mixture of coal and water with the largest coal particles
around 7 mm. Less liable to liquefaction than coal slurry, but does
require its moisture content to be monitored.

Coke
Solid residues obtained by distillation of petroleum products, or half
burnt coal with less gas content but with a tendency to absorb
moisture at up to 20% by weight.

Small Coal
Contains particles of coal less than 7 mm in size; small coal is likely
to develop a flow state due to its high moisture content.

According to IMO classification, coal is considered MHB. Three

characteristics of coal need to be considered:

Methane Emission
Most coals emit methane, which is highly explosive if a gas
concentration of 516% is present in atmosphere. A naked flame or
spark is sufficient to ignite it. Methane is lighter than air and so it
flows towards the top empty part of the cargo compartment and
may even travel to adjacent compartments, including a hatch top.
Coals that emit methane should be monitored carefully and, if the
methane level becomes unacceptable, surface ventilation should be
carried out as recommended by the IMSBC Code.

Spontaneous Combustion
Some coals are liable to spontaneous combustion due to the
presence of moisture that causes exothermic oxidation (a reaction
that results in production of heat) of coal at ambient temperature. If
this heat is not dissipated, the temperature rises and the coal may
ignite.

Corrosion
Some types of coal react with water to produce acids that can cause
excessive corrosion of the ship's structure, known as `cargo
corrosion'. As a result of the chemical reaction during the process of
forming acid and then corrosion, colourless and odourless gases
such as hydrogen are produced.

Precautions for Carriage of Coal

General precautions for the carriage of coal include:

1. The Master should be informed about the cargo in the `Cargo

Information Form' ( ie. Shipper's Declaration/Cargo
Information ) and the material safety data sheet (MSDS) prior
to loading.

2. The precautions that need to be taken depend upon the

information provided, eg if the cargo is liable to emit methane,
 then the Master should refer to the IMDG Code to obtain the
loading, stowage and carriage information.

3. It is, therefore, imperative that the cargo information be

supplied to the Master prior to commencing loading, or they
may not allow the operation.

4. Before loading cargo:

o i) Bilge wells should be cleaned, residual cargoes
removed, suction tested and covered with taped down
double wrapped burlap.
o ii) Hatch top wheels and associated equipment should be
greased to ensure that no sparks are caused during
opening and closing.
o iii) Electrical cables, cargo hold lights and any other
electrical instruments within cargo holds should be
checked for insulation damage to ensure that they are
safe for use in an atmosphere containing explosive gases.
On bulk carriers, as no lighting is needed, the fuses
should be pulled to isolate electricity.
o iv) Ships that carry coal are required to carry instruments
to measure:
a) Methane, oxygen and carbon monoxide levels in cargo
holds
b) cargo hold temperature (between 0-100C)
c) the pH of bilge water.

The installation of these instruments or the taking of

measurements, should be possible without entering the
cargo space. Arrangements should also be made to
calibrate and test the instruments.
5. Extra monitoring should be implemented when coal is loaded
in holds adjacent to hot areas, such as heated fuel DB tanks
and engine room bulkheads.

6. The ideal place to monitor the temperature of the load is the

centre of the stow. If the temperature is measured from the
side, top or corners of the hold it must be remembered that
the temperature at the centre of the cargo will be several
degrees higher.

7. A no smoking policy should be fully implemented on the ship

and hot work should not be allowed, particularly in the vicinity
of cargo compartments.

8. Except where the shipper provides specific instructions to

ventilate the cargo, compartments containing coal should only
be ventilated for the first 24 hours after departure from the
loading port. There should be regular monitoring of
atmosphere to check the concentration of pH of bilge water.
Ventilation should only be continued if the amount of methane
rises above the acceptable level. Coal should also be ventilated
prior to discharge owing to the danger of the build-up of gases
that could be ignited by a spark from the opening of the
hatches.

9. The gases may escape the cargo compartment to adjacent

stores, mast houses, etc. These spaces should also be
monitored on a regular basis.
 10. A higher pH value reading indicates the likelihood of
increased corrosion. In such cases the bilges should be kept
dry by pumping out any accumulated water. However, records
should be kept in the deck logbook for the quantity of bilge
water discharged to justify any claims of cargo shortage.

11. If any suspected problem is observed during the passage

the shipper should be contacted, not only to update their
information but also to seek any clarification.

Special Precautions for Coals Emitting Methane

If the shipper has declared that the cargo is liable to emit methane
or the methane concentration in the cargo compartment is above
20% of the Lower Explosive Limit (LEL), the following additional
precautions should be taken:

Surface ventilation should be maintained

hatch covers should not be opened until the accumulated
gases have been removed. Hatch covers should then be
opened carefully ensuring no sparks are initiated
all enclosed spaces such as store rooms, tunnels and
passageways, etc, should be thoroughly monitored for
methane
enclosed hatch covers should be ventilated.

Special Precautions for Self-Heating Coals

If the shipper has declared that the cargo is liable to self-heat, then
the following additional precautions should be taken:

If required, the Master should seek additional guidance from

the shipper on the adequacy of the existing precautions
if analysis of the atmosphere of the cargo compartment
indicates an increased carbon monoxide concentration, then
 i) the hatch covers should be closed after loading and
additional seals applied

ii) surface ventilation should be kept to minimum

iii) carbon monoxide concentration should be regularly

measured and recorded

iv) if the hold temperature exceeds 55C or the carbon

monoxide concentration rises steadily, expert advice should be
sought.

Special precautions for handling bulk coal - IMSBC code

guideline

Loading bulk coal

: The IMO Code of Safe Practice for Solid Bulk Cargoes includes
detailed recommendations for the safe loading and carriage of coal
cargo. It states that coal may heat spontaneously and that some
coals may be liable to self heating which could lead to spontaneous
combustion. The section General requirements for all coals stresses
the most important advice for the safe loading and carriage of coal:

Cargo temperature is to be monitored (not more than 40 c deg), the

methane content to be monitored (not excess of 10% of the LEL).
In this respect, please be guided that your vessel is provided with
the necessary instruments to calibrate.
 Fig: Bulk Coal Loading

The ship shall be kept upright during loading of this cargo. This
cargo shall be so trimmed to the boundaries of the cargo space that
the angle of the surface of the cargo with horizontal plane does not
exceed 25 deg. This cargo shall be kept as dry as practicable. This
cargo shall not be handled during precipitation. During handling of
this cargo, all non working hatches of the cargo spaces into which
the cargo is loaded or to be loaded shall be closed

Fig: Bulk Coal Discharging

Vessels shipping coal should at all times carry on board instruments

for measuring methane, oxygen and carbon monoxide gas
concentrations, so that the atmosphere within the cargo space can
be monitored. The instrument should be regularly serviced and
calibrated so that it can provide the crewmembers with reliable data
about the atmosphere within the cargo space. Care needs to be
exercised in interpreting methane measurements carried out in the
low oxygen concentrations often found in unventilated cargo holds.

The catalytic sensors normally used to detect methane rely on the

presence of sufficient oxygen for accurate measurement. This
phenomenon does not affect the measurement of carbon monoxide
or measurement of methane by infrared sensor. However, additional
guidance should be sought from the manufacturer of the
instrument.

An instrument required for measuring methane, oxygen and carbon

monoxide concentrations should be fitted with an aspirator, flexible
connection and a length of tubing, thus enabling a representative
sample to be obtained from within the square of the hatch.

Stainless steel tubing approximately 0.5m in length and 6mm

nominal internal diameter with an integral stainless steel threaded
collar is often preferred. The collar is necessary to provide an
adequate seal at the sampling point.

A suitable filter should be used to protect the instrument against the

ingress of moisture as recommended by the manufacturer. The
presence of even a small amount of moisture would compromise the
accuracy of the measurement.

Avoid all unnecessary handling, even the removal of wet clothing. If

handling is necessary, then it should be as gentle as possible.
Enclose the survivor in a plastic bag or blankets or preferably both.
It is important that the head, but not the face, is well covered. Place
in a warm area with a temperature not exceeding 22C. Never
attempt to give any fluids by mouth to an unconscious casualty.

Bilge precautions: Bilge wells shall be clean, dry and covered as

appropriate, to prevent ingress of the cargo.

Hazard
Coal May be create flammable atmospheres, may heat
spontaneously, may deplete the oxygen concentration, may
corroded metal structures. Can liquefy if predominantly fine 75%
less than 5 mm coal.

Weather precautions: Unless the vessel is specially constructed,

the Moisture content of the cargo shall be kept less that TML during
voyage.

Stowage & segregation: This Cargo shall be separate from goods

of classes 1,2,3,4,5 n IMDG

Ventilation: Following the special precautions in IMDG

Hold cleanliness: Clean and Dry as relevant to the hazards of the

cargo.

Special Precautions

1. Coal emitting methane

2. Self-heating coals
3. Gravity-field self-unloading bulk carrier

Carriage

In respect of coals liable to spontaneous heating, the Code

recommends that the hatches should be closed immediately after
completion of loading in each cargo space. The atmosphere in the
cargo spaces should be monitored and, if the carbon monoxide level
shows a steady increase then the cargo spaces should be
completely closed down. The covers could also be additionally
sealed with suitable sealing tapes.
Discharge: No special requirement

Clean up

In the case that the residues of this cargo are to be washed out, the
cargo spaces and the other structures and equipment which may
have been in contact with this cargo or its dust shall be thoroughly
swept prior to washing out. Particular attention shall be paid to bilge
wells and framework in the cargo spaces. The fixed bilge pumps
shall not be used to pump the cargo spaces, because this cargo may
make the bilge system inoperative.

Coal Loading Port - Tanah Grogot; Berau; Tg. Buyut;

Sampit/Indonesia
Coal Discharging Port - Paiton / Indonesia; Rayong, Ko Si
Chang/Thailand

Case Study

(Britannia P and I Club Volume 17: number 2: June 2010)

An incident on board one of member vessel in Indonesia highlights
the risks of self-heating and spontaneous combustion of coal cargo,
as well as the hazards of loading from barges.

Most Indonesian coal has a maximum particle size in excess of 7mm

and accordingly the transportable moisture limit (TML) is not
normally a problem. Fire experts, Messrs Burgoynes, have dealt
with 18 incidents involving overheating coal off Kalimantan
(Indonesian Borneo) in the last two years. The majority of cases
involved the loading of low-grade coal with temperatures in excess
of 55C. They advise that there are apparently a number of
operators who are shipping coal without following accepted industry
good practice. Such operators may mis-declare cargo as not being
prone to self -heating or provide no details of the self -heating or
methane-emitting characteristics of the cargo.
Unless loading is closely monitored the problems are usually only
seen after the cargo has been loaded. Once loaded, it is difficult to
arrange for the removal of the coal due to the lack of suitable
facilities, i.e. floating cranes and empty barges, in the region. The
Master should insist that the shipper provides a cargo declaration
that is consistent with the requirements of the International
Maritime Solid Bulk Cargoes (IMSBC) Code, and should not load
cargo without having received the required declaration. The IMSBC
Code requires the shipper (or agent) to provide cargo details,
including:

moisture content
sulphur content
particle size
information on whether the cargo may be liable to emit
methane or self-heat, or both.