Quarterly March 2010 - Odfjell

ODFJELLMARCH 2010www.odfjell.com

ODFJELLQUARTERLYmagazineDear Colleagues,The first issue every year of OdfjellQuarterly coincides always with theprinting and release of our AnnualReport; with the risk obviously thatcertain ”messages” are being repeated.We put a lot of work into ourAnnual Report, layout-wise yes, butmostly when it comes to the printedword. Rather than conveying thesame message twice, I therefore encourageyou all to carefully read theAnnual Report, especially The Directors’Report. It gives a good and honestdescription of the status and thefuture prospects for our Company.In the meantime we are well into anew year, and the expected recoveryof the market in which we operate, isslow unfortunately. It seems correctthus, as we have said and writtenmany times, that 2010 is going to beanother difficult year. We will have tocontinue to take special actions ofwhich demolition of obsolete tonnageis one important element. Atthe time of writing, we are about tolet the Bow Fighter go – the fourthship sold for recycling in less thanthree months. These actions willcontribute to an improved bottomline for us, as a company. It will alsobe a small step in bringing the marketin the direction of a better balancebetween supply and demand.Hopefully accelerated recycling ofall overaged and/or technically obsoleteships will now take place.Earlier this year our Chairman, Mr.Dan Odfjell, announced that as fromthe next General Assembly Meetingon May 4th, he will step downand leave the helm to his son, Mr.Laurence W. Odfjell. This proposedchange of chairmanship will be recordedand written about after thefact, so to speak. In the meantime,however, in this issue of the OdfjellQuarterly, our Chairman presentshis last such message – which as youcould reasonably expect, has thefocus on safety and the future forour Company and the industry as awhole.Talking about safety. Yesterday, asI was putting this to print, I was informedabout the fatal accident onboard Bow Cecil; a situation thatcost the life of Mr. Kjell Magne Christensen;the ship’s chief engineer andlong time employee of our Company.It hurts, and it is with deep regretI received this message. My thoughtsand sympathy go to his relatives andcolleagues on board the Bow Cecil aswell as on other ships.Since we had another serious fallaccident earlier this year, we haveordered a thorough investigation ofthese accidents; the purpose beingobviously to find out what we potentiallycan do to prevent such thingsfrom happening again. I will be lookingforward to seeing the outcome ofthese investigations.We have had the coldest and mostsnowy winter in Bergen for as long aspeople can remember. At the time ofwriting though, the rain is back andwe can start preparing for spring.I hope for “spring” to apply to theglobal economy and our markets aswell.Best wishesNR.01/ 103Odfjell QuarterlyEDITOR: Margrethe GudbrandsenCONTENTSChairman’s message 04QHSE on the agendaMeet the Compliance Officer 19Safety behaviour 2005EDITORIAL COMMITEE:Ellen Skagen, Brit A. Bennett, Tor JürgensenSiri-Anne Mjåtvedt, Morten Nystad, Helge OlsenMarit Beate Simonsen, Theo Kruithof, Matt DukeCORRESPONDENTS:SINGAPORE: Atle KnudsenHOUSTON: Rebecca SnyderLandmarksChemLog sells Odfjell shares 06The Maas class ends its service 08Bleak 4th quarter and annual result 2009 09NOCT in operation 10Win US$ 10,000 for good ideas 13Bow Loco 14Sea and shoreBest Christmas present ever 21Walk across Odfjell –South America 23An ordinary day at sea 24In societyHouston Odfjell Group grants Christmas wishes26Deadline next issue:May 26th, 2010Design: Bruno Blanchard, CoxPrint: Scanner Grafisk ASCover: From left AB Edgar A.Escano and OS Wilfredo Jr. Galonon Bow Flora during dry docking in Bahrain in June 2009.Photo Gunnar EideBow Summer in a freezing cold North AtlanticPhoto by Knut Helge SchistadBriefingsIt’s the cargo, stupid: a sequel….15Odfjell influence in IMO 16First Filipino Officers Council Meeting 18CustomerHappy New Year from Rotterdam 27Personnel 28Fleet and terminals 30Offices and addresses 32142016

CHAIRMAN’S MESSAGEODFJELL QUARTERLY magazine4Chairman’s MessageAt the upcoming Annual General Assemblymeeting, on 4th May, I shall step downas your Chairman, following on more than50 years of service to the company. It hasbeen an interesting time, ever since thevery beginning of the parcel tanker trade,during the late 50s. I could even write abook about it… However, what I hope towrite is at least a chapter or two to addto our history, something both personaland relevant, with especial focus on theyears following 2000, the cut-off year toour 500 page history of Odfjell, as publishedin 2004.These last 50 years or so represent a periodof time with exceptional rapid social changeand technological progress. Norway haschanged and the world has changed, andnot only for the better. Our shipping industryis no exception.In 1939 the family started out with one smalland simple tanker, until then the companyonly operated dry-cargo ships. Post SecondWorld War this led to a few mostly small5/600 tonners doing fish-oil and fuel-oil onthe Norwegian coast, throughout the 50s.By 1955 we perceived the need for and builttwo double-hulled 700 tonners for sulphuricacid trading in European waters. In turn thisM/T Lind (1959)-the first stainless steel ship ever launchedled to, in those days, the revolutionary ideaof building stainless steel double-hulledtankers from scratch. The first stainless steelship ever launched, in 1959, was our 2,400M/T Lind. From then on we expanded andkept expanding to what has become OdfjellSE of today. If someone in 1959 had toldme of how our group of companies was toevolve over the next 50 years I would not atall been able to perceive it, tank terminalsincluded.Stepping downAs I am stepping back from “active duty”so to speak, what concerns me of course isthe future of the company. Times are dif-ficult and it is a fact that we are presentlylosing money in shipping, thanks in part toall the complexities of the parcel trade, asincreasingly imposed upon us. We do nothave our own industry body or organizationseemingly able to stand up to the manyand sometimes unreasonable requirementsand regulations. Ours is a parcel trade yes,but a very different one from the containertrade, another type of parcel trade. I will notattempt here to go into all of that. Instead, Iwill address below two matters of particularconcern to me:SafetyIn our Quarterly of March 2006 I offered anarticle entitled “It’s the cargo, stupid”. Subsequentlyand based on that article, Lloyd’sList elaborated on this topic. What this hasled to is a lengthy and so far largely futileprocess in the context of IMO. You shouldthink safety would prevail over commercialconsiderations, indeed that safety issueswould be addressed, not only expedientlybut urgently. But no, the now full four yearlong lobbying against a logical solution toan obvious and serious industrial problemhas been strong, dictated mostly by purecommercial reasons. This is a case of thefew attempting and so far succeeding in derailingthe overwhelming majority, only topostpone the inevitable.I say, safety cannot be compromised, themore so since we are not talking only aboutsafety to on board mariners and the shipsthemselves, but also to the cargoes and thesurroundings at large. See my separate articlein this issue of the Quarterly (page 15).VettingHere again is an area where progress is sorelylacking, highlighted by our article in ourQuarterly 2007. What the parcel tanker industryneeds is a common, standardized inspectionregime. Towards that end we havenow launched an initiative via Intertanko,the independent tankers association. Thegoal of this initiative is to identify the bestway forward in tightening up vetting andquality aspects of the international parceltanker industry.It is important to understand the nature ofthis business. By so many diverse customerssending their own inspector on board – andthese inspectors have different backgroundsand different mindsets – we are all needlesslylosing efficiency, and our shipboardmanagement’s time is spent increasingly onfilling out endless forms during port callswhere time is scarce and rest hours are alreadystretched. Remember, there are otherwell established control regimes also to attendto, such as Port State, Flag State, Classetc.We all want the same thing, reliable transportation.The quality of the world tankerfleet, ever since the launch of CDI and SIRE,is immensely improved, however. It is timeto move on, something which statistics alsobear out.With multiple parcels (up to 40 independenttanks) and multiple customers sharing oneand the same “drug-store” ship, thus enjoyingthe economics of co-voyaging, the considerableextra cost and the subjectivity andarbitral judgement of sometimes one singlevetting inspector is unreasonable. Insteadthere should be a quality body to conducttotal risk assessment of ships and managers,and doing regular as well as spot audits. Ifonly the major oil companies would jointlysponsor a “Parcel Tanker Auditing Service”financed through membership by all (andthe parcel tanker industry, as distinct fromregular oil tankers, now counts more than4,000 ocean-going vessels, each vessel enteredsubject to a fee…) that would do thetrick. This because the major oil companiesare recognized as possessing the best allaroundmarine expertise, thus all other parcelshippers would likely follow suit.Acknowledgement and GreetingsTo close this my last Chairman’s Message Iwish to recognize, to pay sincere tribute toall the good and loyal people, both at seaand ashore, that it has been my privilege towork with all these years. None mentioned,none forgotten.I shall of course retain my interest in theCompany, and I urge you all, keep marchingon, focus on how we can continue improvingand, above all, stay safe and healthy.Dan OdfjellNR.01/ 105www.odfjell.comodfjell quarterly magazine

LANDMARKSODFJELL QUARTERLY magazineThe “Maas”class ends its serviceBy Frode Hjønnevåg8In February MT/Bow Maasslot and MT/Bow Maasstroom weredelivered for recycling in India. Both vessels have green passportsand the buyers undertake that the recycling yard shall submit aworking plan corresponding to IMO guidelines for ship recycling.Bow Maasslot and Bow Maasstroom were delivered from RotterdambasedVan der Giessen shipyards in 1982 and 1983, originally named“Maasslot” and “Maasstroom” and number one and four in a seriesof total four ships contracted by the Nedlloyd Bulk B.V. The two othervessels delivered were named “Maasstad” and the “Maassluis”.While the “Maassluis” has never been a part of the Odfjell fleet, hertragic fate is a well known chapter in the history of the Dutch merchantnavy. The “Maassluis” was lost outside the port of Skikda, Algerie15th February 1989 in a tragic accident which caused casualties of27 crew and passengers.The three remaining ships were sold to Ceres Hellenic in 1993 andtraded within the Seachem pool and from 2000, the joint OdfjellSeachem pool under the names “Maasslot L”, “Maasstad L” and“Maasstroom L”. Odfjell acquired ownership of the three ships in2004, with management by OSM in Kristiansand. “Bow Maasstad”was sold 9 May 2008, and management of the two last ships was takenover by Odfjell early 2009.The Maass class ships have been described by its crew as “challengingbut forgiving”.Six vessels on commercial managementIn connection with return of the vesselsto our previous partner Ahrenkiel, OdfjellTankers Europe AS has agreed to takesix vessels on commercial managementfrom Euroceanica Ltd.The vesselsin question are:Bow Maasslot ready for recyclingThe co-operation is purely commercial;meaning handling of operation and broking.These six vessels, which exceed theoriginal Odfjell Ahrenkiel fleet, will bettermeet customers’ need and demand in theInter European trade. The vessels will betaken over at the end of their current voyagesin the period mid February to midMarch.Officers on Bow Maasslot take farewell with the old ladyOdfjell Tankers Europe AS replaces OdfjellAhrenkiel. The unit consists of operation andchartering personnel and will operate a totalof eight vessels.Euroceanica Ltd. is a ship owning companylocated in the City of London. Their fleetconsists of 16 chemical vessels and three drybulk vessels.Ship Built SDWT Segr ShiptypeEuro Atlantica 2000 16,631mt on 9.347m 22 Chemical, IMO 2Euro Ambra 1998 8,053mt on 7.446m 22 Chemical, IMO 1 & 2 / Ice Class 1AEuro Corrallo 1999 4,470mt on 6.250m 17 Chemical, IMO 1 & 2 / Ice Class 1CEuro Mora 1998 3,746mt on 5.904m 15 Chemical, IMO 2 / Ice Class 1CCrystal Amaranto 1999 9,887mt on 7.736m 24 Chemical, IMO 1 & 2 / Ice Class 1AJBU Sapphire 2009 19,800mt 16 Chemical, IMO 2/3Bleak 4 th quarterand annual 2009 resultBy Tom A. HaugenThe Odfjell Group’s 4th quarter resultsreleased early February showed a netresult of USD 16 million, after the inclusionof a USD 44 million arbitration award inconnection with the cancelled Sevmashnewbuildings. The annual 2009 net resultswas USD 11 million. The result for the tankterminal division is the best ever.The tank terminal performance in 2009 wasexcellent and the operating result increasedto USD 109 million from USD 95 million lastyear. Odfjell’s substantial investments in tankterminals over the past years have been welltimedand we expect that the strong demandfor storage space will continue to bringfirm returns to Odfjell. The waste treatmentfacility at Odfjell Terminals Maritiem inRotterdam will be discontinued and the jettywill be consolidated into Odfjell Terminals(Rotterdam). The accounting effect of thisamounts to a charge of USD 12 million.On the parcel tanker side we have a slightdrop in operating expenses compared toOdfjell - Effect of tax verdictlast year. But, the considerable drop inworld trade and subsequent reductionin demand for tonnage, coupled withan oversized order book and increasedbunker cost have eliminated any positiveresults. Time charter results at year-endwere down almost 20% from last year andwe are uncertain about the outlook for thebetter part of 2010. However, there may besome encouraging signs. Certain marketsegments has firmed somewhat, exportsfrom the Middle East Gulf has improved andwe see increased scrapping. This may leadto improved results towards the second halfon 2010.In February the Norwegian Supreme Courtoverturned the Government with respectto the retroactive tax bill introduced in2007. For Odfjell this means we will restateour preliminary annual results with animprovement of USD 110 million in the4th quarter of 2009. The liquidity effect is arepayment from the Government of aboutNOK 155 million.In February the Norwegian Supreme Court awarded in favour of the shipping companies that the retroactive taximposed in 2007 for the years 1996-2006 was in breach of the Norwegian Constitution.The 2009 result for the tank terminals was the best everArbitration awardOur arbitration case in Stockholmas against the large Russian stateownedshipyard “Sevmash” has beendecided.Basically, the shipyard failed to deliver tous 12 ships contracted for in 2004. Whilstwinning our main point, that of Sevmashbeing guilty of willful misconduct,nevertheless we are seriously disappointedabout the damages awarded,only USD 43.76 million. This figure isbut a fraction of the value of our lostbargain, and of our trading losses.The first ship should have been deliveredin September 2007. By the time wefelt compelled to cancel the contracts,in February 2008, by the shipyard’s ownaccount the first ship was then delayedby 14 months etc. The cost of the arbitrationwas apportioned 75% as againstSevmash.The effect for Odfjell will be an increase in the equity of about USD 110 million, including refund of about USD 27 million alreadypaid taxes and interest. Our 2010 interest cost on the tax debt will be reduced by about USD 5 million.- In an industry hard pressed by recessionary times this was most welcome news, says Jan A. Hammer CEO/President in Odfjell.NR.01/ 109www.odfjell.comodfjell quarterly magazine

LANDMARKSODFJELL QUARTERLY magazine10NOCT in operationBy Erik NilsenFirst row from left: Med Sayadan,Samantha Wei Xu, Noemi Larsen, Irene De Klerk.Middle row from left: Malcolm Chetty, Trond Garshol, Tore Svensen, Alireza Kaveh, Erik Nilsen.Back row fom left: Fredrik Sandrud, Ali Al Farsi, Tore Vågenes, Trond-Eirik Hasselø.NR.01/ 1011On June 15th 2009 we announced thatNational Chemical Carriers (NCC) ofSaudi Arabia and Odfjell SE had signeda 50/50 joint venture agreement namedNCC Odfjell Chemical Tankers (NOCT)to operate their respective fleet of largecoated chemical vessels (above 40,000DWT) from Dubai. Shortly after the summerthe work started to get this new entityestablished within one of Dubai’s FreeZones, ‘Dubai Multi Commodities Centre’(DMCC).A newly built office tower in Jumeirah LakesTowers in ‘New Dubai’, Liwa Heights Towers,31 floor, was selected. It was an undevelopedfloor and all interior, floor, ceilings, walls etc.had to be done from scratch. It was a raceagainst time as we had set forth a deadlineof start-up for NOCT by January 1st 2010.But we managed and received our ‘Trade License’on December 22nd and from then onwe had full rights to operate as NOCT. Theoffice interior was completed and handedover December 30th. We received great helpfrom the ICT group in Bergen and got all theconnections, systems, firewalls etc. to function.Everything was completed on January10th and as such this became the official datefor the start-up of our new offices.In actionOn January 12th 1200 hrs GMT, we took overthe operations of six vessels: NCC Sudair,NCC Haiel, NCC Dammam, Bow Lion, BowFraternity and Bow Pride. We have sinceadded three more ships and we will continueto take on further ships throughout the year,both from Odfjell as well as NCC’s newbuildingsfrom Korea.A multinational officeOdfjell, Dubai consisted only of five peopleprior to start-up of the new joint venture. Inaddition to relocating three operators withtheir families, including Operations ManagerTore Vågenes, we have been hiring somemore staff over the past few months in orderto cope with our new tasks. Our staff representseight nationalities and is a reflection ofDubai’s multi cultural working environment.We are confident that we have brought togethera group of very dedicated, hard workingand enthusiastic people who all will serveNOCT well in the years ahead.Challenges for DubaiDubai has again hit the headlines in theglobal press, this time it appears for all thewrong reasons due to the debt problems. Noone will argue that Dubai has run into somerather severe difficulties and only time willtell how they will resurface from what presentlyappears like mountains of debt. It is afact that the construction boom here cameto a grinding halt back in the fall of 2008 followingthe global financial crisis. As a consequence,investors in real estate became morecautious. Lately, on the other hand, we haveseen that cranes around the city again slowlyhave started to operate. The Dubai Governmentin the meantime, has not slackenedmuch on their ambitions to build a city withan infrastructure on par with the best in theworld. Projects on the Metro, roads, bridgesetc. are going on uninterrupted. All in all, forus living here, it’s pretty much business asusual and the sun is still shining every day.Two at NOCTSamantha Wei XuFinancial Controller and HR ManagerDespite her young age, Samantha Wei Xu hasa solid, exciting and not least internationalCV. She was recruited by A. P. Moller Maerskgroup fresh from university, and workedthere for five years, including a trainee programmeand a two-year Group AccelerationProgramme. She has been working in citieslike Tianjin, Shanghai, Ningbo and Bejing inChina and Copenhagen. She also holds anMBA degree in HR direction. In DecemberSamantha and Med Sayadan visited the officein Bergen to learn more about Odfjell and toget insight into procedures and routines.What are your work tasks at NOCT?- As the company is still in the starting phase,I am responsible for finance/account, HRand administration for now, with the assistanceof two very talented and diligentcolleagues.sHow is it to work in Dubai and the newlyestablished NOCT office?- Dubai is a very new Emirate with a strongheart to compete with famous internationalcities, e.g. Singapore and Hong Kong in termsof business environment. However, there isstill long way ahead for them to completetheir regulation systems in all aspects. Wehave employees from eight different countriesworking in NOCT. That makes NOCT avery international environment itself. However,while enjoying the difference we mayhave in the culture, we are all embracing thenew-born company and work our best towardsits development. People in this officeare very straight-forward, while friendly toeach other all the time.Med SayadanShip OperatorMed Sayadan is a previous shipping agentand has been handling Odfjell vessels bothin Iran and in the United Arab Emirates.What are your work tasks at NOCT?- Our well experienced team in Dubai canhandle vessels, operate vessels and take careof all aspects of the shipping needs in thispart of the world. We are also assisting othersin different locations if necessary.Could you elaborate on how it is to workin Dubai and the NOCT office?It is a very interesting and challenging taskoperating a pool of vessels belonging to twowell known owners (NCC & Odfjell). I am certainthat our team in Dubai will perform tovery high standards and achieve good results.Dubai is a peaceful city where over 200 differentcultures and different nationalities liveand work without any problem or difficulties.www.odfjell.comodfjell quarterly magazine

LANDMARKSODFJELL QUARTERLY magazine100 voyageswith external weather routingBy Erik Hjortland12Since implementation early December,Odfjell has completed about 100 sea voyageswhere external weather routing assistancehas been provided. Our statisticsshow that in 95% of the cases mastershave followed the recommended routes.Positive feedbackWe have received positive feedback frommasters, and especially from those who havebeen assisted to avoid tropical cyclones inthe Indian Ocean and heavy winter-stormsin the Pacific and in the North-AtlanticExperiencing weather routingOcean. In these cases there is a win-win situation.By assisting the masters to avoid themost heavy weather conditions, we provideincreased safety for crew, vessel and cargo,and savings of time, bunkers and emission.External weather routing pays offIt is difficult to accurately pinpoint savings,but we estimate to have saved about 30 sailingdays and 1,000 tonnes bunkers so far.This means that for every dollar spent onexternal weather routing we have received25 dollars back.The Odfjell fleet has been trying out the new external weather routing servicefor three months now. We asked a captain and an operator about their experienceswith the service so far:ExampleOne of our vessels was positioned in astorm in the North-Atlantic with waveheight exceeding 12 meters. The vessel’sspeed dropped to below five knots, andthe master requested weather routing.This was a particular challenging case,and the service provider Applied WeatherTechnology’s operation department gavethis vessel it’s highest priority and rantheir calculations and modelled up variousroute options before issuing theirrecommendation. The vessel was routedfurther north and avoided three additionalheavy storms along the originaltrack (see picture). We estimate to havesaved about 90 hours on this sea voyage,but even more important, we got the vesselaway from potential danger.Win US$ 10,000for good ideasNR.01/ 1013Francisco V. Soberano Jr.,Master, MT Bow Fertility- The service was fine and I received accurateinformation from the system. I reallyadmire the accuracy of the weather forecasting.Thanks a lot for always being therefor us.TMS implementedat Odfjell Terminals (Rotterdam)Anette Wik Silden,Ship Operator- So far my experience with externalweather routing is positive. I am currentlyoperating three vessels, which all havefollowed weather routings recommendedroute.The Terminal Management System (TMS) has now been implemented at Odfjell Terminals(Rotterdam) (OTR). TMS supports all business processes from order to invoice.Data migration from OTR’s old system OTES to the new TMS started 2 March and wascompleted the next morning. We hereby like to thank everybody who has contributed to theimplementation of TMS at OTR.Motivating TMS t-shirtsOdfjell ordersnew 51,000 DWTproduct tankerOdfjell entered into an agreement withSLS Shipbuilding Co Ltd, Korea in February,to acquire one 51,000 DWT IMO 3product tanker. The vessel is scheduledfor delivery medio April 2010.During 2010, Odfjell will run ”Value forMoney” (VFM), a campaign to gather goodideas leading to smarter and more efficientwork. The best ideas will be awarded.Share your ideasThis is a time when Odfjell really needs tofind smart ways to run our business. If youhave ideas and suggestions for changes indaily routines, work tasks, activities or habits,please tell us about it.Value for MoneyThe winning criterion is “Value for Money”,which means that the ideas shall contributeto further enhance the safety and quality ofour operations, improve our earnings, reducecosts or in other ways enable Odfjell toeven better fulfill our Mission Statement.How to participate?Everybody in Odfjell can participate whetheryou work at sea, at terminals or in office. Youmay enter your “Value for Money” suggestionin two ways:• Use Docmap-Observations (Suggestionsfor improvement), with keyword VFM, or• Send an e-mail to vfm@odfjell.comIt is preferred to use the Docmap way to enteryour suggestion as this is a good systemfor following up the suggestions for the differentcommittees.What happens to your suggestion?Your suggestion will be reviewed by a Valuefor Money evaluation committee. Ideascoming from the vessels will be handled byShip Management, Odfjell Terminals willtake care of contributions from Odfjell managedterminals, whilst a committee at headquartersBergen will deal with suggestionsfrom all other offices. These committees willalso forward suggestions to the appropriatebusiness unit or department for furtherevaluation and possible implementation.Although the suggestions may be modifiedand further developed during this evaluationand implementation process, we willgive recognition and grant possible monetaryawards based on the original Docmapor e-mail entry.AwardsThe best proposals will receive awards inthe range of US$ 100 - 1,000 in each division.The top prize of US$ 10,000 goes to thevery best overall idea received during 2010.Suggestions so farThe committees have received several ideasfor improvement already, ranging frommeans to improve ship engine efficiency,electronic archiving, and ways to save onoffice costs. The suggestions are under registrationand evaluation, and so far we havenot awarded any prizes. However, we haveroom for many more ideas, and welcomeyour suggestions.www.odfjell.comodfjell quarterly magazine

LandmarksODFJELL QUARTERLY magazineBriefingsODFJELL QUARTERLY magazineBow LocoBy Nathan McDavidIt’s the Cargo, Stupid:A Sequel…By Dan Odfjell14On February 8, 2010, Odfjell Terminals(Houston)’s (OTH) new locomotive, “BowLoco”, was officially named. MelissaAdams, spouse of OTH Railcar SupervisorDonnie Adams, named the train in ashort ceremony complete with breaking achampagne bottle over the “bow” of theengine.The name and coloring scheme for this locomotivewere the result of a contest heldby Odfjell’s Houston office, with the winningsubmission coming from Jakob Sørhus, VicePresident Houston Chartering, and is modeledafter the world-renowned orange, whiteand blue of Odfjell’s seagoing vessels.Enhancement of rail handling capabilitiesThe addition of Bow Loco to OTH’s rail fleetrepresents a significant enhancement tothe rail handling capabilities of this terminal,offering impressive logistical benefits,cost reductions, and higher levels of environmentalstewardship and responsibility.Technically speaking, we have just acquiredan “N-ViroMotive ULEL 2GS-14B, 1,400horsepower locomotive, N-GEN II in a repoweredconfiguration”. This type of enginehas also been ordered by multiple internationalcustomers and railroad accounts dueto its highly favorable economic impact onfuel savings, tractive effort capability, noisereduction, reduced maintenance costs andfast overall return on investment. In simpleterms, Bow Loco will enable us to move railcarsmore quickly and efficiently, use lessfuel, experience less down time, and havea reduced impact on the environment andsurrounding communities.From left: Dave Ellis, Dave Stevens, Melissa Adamsand Donnie AdamsBenefits of Bow Locoby Rail Supervisor Donnie Adams• The Bow Loco has the horsepower and tractionto handle a whole track of up to 20 carsat one time. Our present locomotive will onlyhandle 10 cars on a good day.• It will always be ready to go. It has block heatersto keep the oil warm, so there is no waitingfor engine to warm up.• No need to shut down and start up for lunch- it will put itself to sleep. Move a control and itstarts itself back up with air brake pressure alreadybuilt up and ready to go to work.• It’s pretty; we will all look good riding aroundthe terminal!New jetty and terminalin MejillonesFrom the construction of the new jettyand terminal in Mejillones early January2010. The storage capacity will be 80,000cbm and it is estimated to be completedby fourth quarter 2010.Chemical tankers discharge at terminalslocated near heavily populated areas,often-times even near downtowns. Anexplosion of a chemical tanker while inport will likely cause ripple effects, includingsetting afire and causing explosionsto any adjacent tankers, barges andperhaps even a large tank terminal (fullof hazardious and/or flammable productsin storage…) alongside which the ship isberthed. And yet, IMO seems unable tocut through the obviously procrastinatingverbiage (and the delaying tactics bysome delegates) and mandate inerting oflow flash products on all chemical tankers,old and new, void of loopholes andexceptions.Otherwise what it takes, perhaps, is that bigaccident in the waiting, when serious governmentssimply will take over from IMOby, basically, unilaterally forbidding tankersservicing their coasts to discharge noninertedlow flash products. An example ofwhat catastrophe could soon happen again,and with much worse consequences, wasthe M/T Vicuna discharging methanol forMethanex to a tank terminal in Paranagua,Brazil, just a few years back. Subsequentlyour CEO Mr. Jan Hammer wrote a relevantarticle in our Quarterly March 2006 issueunder the heading “The weakest link” whichis well worth reading, even rereading. Infact, all cargo owners should be concerned,as was the case with Methanex, who immediatelyand admirably reinforced their cargostewardship responsibility. One oil companyhas already taken the stance, by henceforthinsisting on the use of inert gas for lowflashchemical cargoes, period.Lowflash flammable products are handledby both oil tankers and by chemical tankers.The major oil companies do accept, andrecommend to IMO, the use of inert gas,both for new and for existing ships. Sincethe risk factor if anything is bigger for chemicaltankers, it does not make any sense atall treating chemical tankers lighter than oiltankers… The major oil companies accept4,000 DWT as the lower regulatory cut-offpoint in terms of size of ships. For ships lessthan 4,000 DWT they suggest inerting to beprovided from shore. We absolutely agree,and we argue that the same should apply ofcourse to all chemical tankers as well. Ouropponents, lead by Japan and China (except,incidentally, the well-reputed Japanesecompany Iino Lines, who agree with our,and most other parties, principal stance) arguethat small ships cannot afford, nor havethe space on board for inert gas generators.Look, ships smaller than 4,000 DWT generallyoperate in coastal shuttle trades, oftentimescarrying the same cargo consecutivelywith vapour balancing, thus hardly needinerting in-between voyages. And as to lackof on board inert gas generators, such smallships could well adapt to becoming dedicatedto the same/consecutive lowflash cargocarriage (using when necessary inert gasfrom shore, supplemented by nitrogen ISOcontainers or cylinders onboard) or simplydrop out of the lowflash trade, concentratingon the carriage of high flash productsinstead. Importantly, small ships more frequentlyload and discharge than large ships(and the dangerous part is mainly duringdischarge operations) and, furthermore,small ships generally move in and out ofport all the time. Arguably therefore theyconstitute the higher risk. By the way, oneof the countries in which there should bemost concern, is in China where ship inertingseems almost unheard of, and where wetoo often witness unsafe operations.The shipping world is in recession, tankersof all sizes are in abundance and the leadtime to build new ships is fairly short, especiallyfor the smallest ships... A safe and levelplaying field is only possible if IMO pushthrough the same rules for existing and newships alike. There never was a better timethan just now… Universal rules for bothoil tankers and chemical tankers mitigateagainst confusion and mistakes, e.g. withcrew changes etc. What then is the problemwith such a solution? The answer is thatthere is no problem. Owners of old existingships who do not wish to comply with nondiscriminatingand proper safety rules havea very simple and cheap solution at hand:dedicate instead your ships to high flashproducts, of which there are plenty enougharound. Or, if any shipowner does not likelosing some/such flexibility in his choiceof what type of cargoes to carry, then fine,adapt and/or install that inert gas generatorso evidently called for, period full stop.NR.01/ 1015www.odfjell.comodfjell quarterly magazine

BriefingsODFJELL QUARTERLY magazineBriefingsODFJELL QUARTERLY magazine16Leif Gunnar Alvær Odfjell SE, Lars Christian Espenes The Norwegian Maritime Directorate and Otto Nyquist DNV at IMO’s headquarters in LondonOdfjell influence inIMOInternationalMaritimeOrganizationBy Margrethe GudbrandsenIMO’s rules and regulations (codes, guidelines,conventions) deeply effect Odfjell’sdaily operations at sea. As a major playerin the global market for transportationand storage of chemicals and other specialitybulk liquids, Odfjell is often calledin by Norwegian authorities to representNorway, as the Norwegian Shipowners’Association’s representative, in IMO’s differentcommittees developing regulatoryframework for the maritime industry.Leif Gunnar Alvær, cargo handling advisorin Odfjell, is one of the experts the NorwegianMaritime Directorate often calls to jointhe working groups of the different subcommittees.– Odfjell is often present as expert in theworking group of the sub-committee calledBulk liquid and gases. We contribute withindustrial aspects, dilemmas and challengesfrom a commercial point of view that isimpossible for bureaucrats to have the fullknowledge of. By being a part of this we areable to influence the regulatory frameworkfor our industry.Important influenceFor Odfjell it is important to be able to influencewhat will be the rules and regulationsfor the industry. – I would say that our opinionsare heavily weighted, as long as theyare rational and in line with the views of theNorwegian authorities. If we did not participatein these forums, we would not beprepared for what is coming and we wouldnot have any saying on the result. Being activealso gives us an opportunity to raiseimportant topics on the maritime politicalagenda. Presence in international forumsalso offers opportunities for better dialoguewith different authorities, which again maybenefit on commercial operations.Need commercial expertsAs one of the world’s leading shipping nations,Norway acts as a driving force forpromoting high-quality shipping internationally.One of the governing bodies inrepresenting Norway and the maritime industryin IMO is the Norwegian MaritimeDirectorate. – Norway has always had aclose and good relationship with the industryregarding transportation of bulk liquidchemicals which I believe is beneficial forboth parties. The industry has competencethat we need when new regulations are discussedor developed. This way, the industrymay influence the regulations, which willbe beneficial for both parties if this makesthe regulations more practical. I would alsothink that companies involved in the workof IMO will have a competitive advantagebecause they will adapt to new regulationsmore quickly, says Lars Christian Espenes,approval engineer in the Norwegian MaritimeDirectorate.More to getAlvær says that Odfjell should continue torepresent the industry in IMO regardingany issues that have an impact on our business.– Being active in these forums givesOdfjell the advantage to be in the front edgeof rules and regulation that may affect ourbusiness.FACTS ON IMOIMO = International Maritime Organization.IMO = United Nations specialised agency for maritimematters, consisting of 168 member states and threeassociate members.IMO’s primary purpose is to develop and maintaina comprehensive regulatory framework for shippingand its remit today includes safety, environmental concerns,legal matters, technical co-operation, maritime securityand the efficiency of shipping.Main conventions are Safety of Life at Sea (SOLAS)with focus on maritime security through the InternationalShip and Port Facility Security Code (ISPS)and Prevention of Pollution from Ships (MARPOL)IMO challengesOne of the biggest challenges of IMO is itsnature, a democracy consisting of 168 memberstates feathering their own nest.– IMO cannot exercise power or authority,but they make framework for regulationsof the industry. For instance, a conventionis not applicable until a number of memberstates, representing a certain share of theworlds tonnage, have accepted it. Therefore,things take time. We do not have anyalternative to IMO, regulating a worldwideindustry at sea, so we have to make the bestout of this body. Having said this, IMO is awell organized but slow- working secretariat.Through a wide range of professional workingcommittees legislation are continuouslyupdated and developed. This is normallydone in meetings attended by maritime expertsfrom Member Governments, togetherwith those from non-governmental organizations,Alvær explains.A realistic alternative to this rather slowand tedious process is regional legislations.Alvær further adds: -From time to time wehave seen complex regional legislation beingmade because IMO has not managed toreach consensus in time. A recent examplefrom EU is the double hull requirement ontankers, imposed some five years before theIMO double hull requirement came intoforce in 2005. Just recently the EU has madea new sulphur emission legislation that goesbeyond IMO’s current emission requirements.The Chairman’s article It’s the Cargo, Stupid:A Sequel in this Quarterly further pinpointsthe challenges of the IMO’s system.The work of IMO is conducted through five committees:- The Marine Environment Protection Committee- The Legal Committee- The Technical Cooperation Committee- The Facilitation Committee- The Maritime Safety CommitteeThe Maritime Safety Committee is the most senior of these,and it oversees the work of its nine sub-committees:- Safety of navigation- Radio communication and, search and rescue- Standards of training and watch keeping- Ship design and equipment- Fire protection- Stability, load lines and fishing vessel safety- Flag state implementation- Dangerous goods, solid cargoes and containers- Bulk liquids and gases.Established in 1948, came into force in 1959.Headquartered in London.NR.01/ 1017www.odfjell.comodfjell quarterly magazine

BRIEFINGS ODFJELL QUARTERLY magazine QHSE on the agenda ODFJELL QUARTERLY magazineFirst Filipino Officers’ Council MeetingBy Agnes S. EnesioThe newly established Filipino Officers’ Council held its first meeting February 15th atTraders Hotel in Manila, attended by a number of our Filipino officers as well as representativesof Odfjell Manila. The Council was formed based on the same concept asthat of the similar set-up for the North West European officers, where participants areencouraged to actively participate in the discussion focusing on various crew-relatedissues and concerns.18The participants during the lively open forum discussions:The Filipino Officers’ Council meeting will be(from left) Capt. Fidel Perez, CO Socrates Daymiel, 2ERichard Gelvoleo, Capt. Angel Marcos Purisima, Capt. family matters, and salary and wages issues. held on a quarterly basis, and the agenda willJan Didrik has been with Odfjell for many To whom should we raise concernspeople with respect. Even if a suspicionPedro Liporada, Capt. Remigio Zamora, CE Jose Pena, 3Ebe improved as we gain more experience.years and thus, has in-depth knowledge on regarding malpractice?should turn out to be wrong there will beRene Dela Torre, Mrs. Lulu Halog and Capt. Kjell Johansen.most aspects of our work. His main task as ano negative sanctions for those who reportAlso attending the meeting were CE Wilfredo Andres, 3MErano, Nazar, Mr. Gilbert Pili, Mr. Marlon Panisan, Ms.Compliance Officer is to ensure that we followin good faith. This also underlines why the19Candice Mirasol and Ms. Agnes Enesioour Code of Conduct. In his capacity heCompliance Officer must deal with all caseshas direct access to senior management.discretely.How to keep mobileand data costs lowBy Matt DukeWith the advances in data communication speed, it has become possible for users to build largetelephone costs if they transfer large amounts of data when travelling.The general rule of thumb is that whentraveling outside your home country it isvery expensive to use mobile data. ThereforeOdfjell users should only sync e-mailon their smartphones when abroad fromtheir home region. The mobile web browserand use of laptop 3G cards should beavoided unless it is business critical. Thepreferred method for connecting a laptopto the internet whilst on travel should bebroadband. (WiFi or physically connected)For detailed advice on the costs and bestpractices when travelling please read thedocument on the intranet “Guidelines forreducing mobile data costs.doc”.Capt. Kjell Johansen of Odfjell Manila startedthe meeting by welcoming the attendees,went through the proposed agenda of themeeting and gave a brief update on corporatenews. The meeting was carried out as an‘open forum’, where the participants freelydiscussed feedback from their fellow crewmembers.The main focus of the discussionswas on vessel experience feedback for2009 including crew succession plan, crewdocumentation, recruitment and cadetshipprogramme, assessment/training, crew andLOCALCOUNTRYEUROPE(FOR EUROPEANSTAFF)WORLDSuggested use of Mobile Data for Odfjell SESmartphone“Push Mail”OKNONOSmartphone“Manual Sync”OKOKOKThe participants really appreciated the benefitof the meeting, as demonstrated by thispost-event feedback: “I thought that thewhole event was a good exercise and affirmationof the Company’s commitment tohaving long-term partnership with Filipinoseafarers. I really appreciate the Company’scontinuing effort to reach out to its seafarersby valuing each and every feedback received.”WebsitesOKTEXT ONLYNOLaptopdata card –Applicationaccess.odfjell.comOKURGENT ONLYCRITICAL ONLYLaptopdata card –local OutlookNONONOJan Didrik Loretnz, Odfjell’s Compliance OfficerWhat are your main tasks asCompliance Officer?Normally an employee will ask her or his superiorto settle any uncertainties on how tounderstand our Code of Conduct. However,from time to time such issues cannot besolved in the line, and the matter is escalatedto the Compliance Officer. I will then giveguidance, based on our established practicesand procedures. On formal matters I alsoseek advice from the Legal Section in theQuality Management department. Anotherimportant task for the Compliance Officer isto handle reported suspicion of malpractice.There is also a parallel role for our ships, theDesignated Person, to whom the marinersmay raise concerns about safety and environmentalissues, in line with the ISM code.What kind of malpractice are youparticularly concerned about?At Odfjell we put much effort into avoidingserious breaches to the Code of Conduct, toascertain that we are a respectable companycomplying with all relevant rules and regulations.Examples of such breaches may beharassment, exchange of sensitive informationwith competitors, attempted bribery ormanipulation of mandatory reporting.Meetthe ComplianceOfficerBy Margrethe GudbrandsenIn Odfjell we have procedures and standards for how to conduct our business in a propermanner. As part of this effort we have a dedicated Compliance Officer, to help andguide employees who may be faced with ethical dilemmas in work related situations.Meet Odfjell’s Compliance Officer, Jan Didrik Lorentz.As a general rule, you should first discuss thematter with your superior. However, if thisis deemed difficult you may consult anothermember of management whom you trust,e.g. the Compliance Officer. He has the dutyto listen and make an independent judgement,and if required also bring the matterto the attention of personnel concerned.Why is it important to raise concernsabout malpractice?Firstly, malpractice may result in dangeroussituations for personnel, environment andfacilities. Secondly, practices where individualsor the company profit from unethicalor illegal behaviour may have serious consequences.Having such matters brought toour attention enable us to carry out necessaryadjustments and re-establish the soundand decent practice that is and shall be thecornerstone of our work.Many may be concerned that reporting onmalpractice, often referred to as “whistleblowing”,will be regarded as disloyalty andtroublemaking, putting yourself at risk ofbeing unpopular. How will employees whoraise concerns within Odfjell be treated?Raising concern, in good faith, has nothingto do with gossiping or troublemaking.To the contrary, it shows integrity, solidarityand willingness to share knowledge to preventserious mistakes and individual failure.Therefore we may all rest assured that managementshall be grateful and treat honestIs it a difficult task to bea Compliance Officer?It is an honour to be trusted with this responsibility.Seniority and long experiencemakes it easier to sort out difficult matters.Have you received many reports of malpracticewithin Odfjell?No. This may indicate that we have a soundcompany culture with the ability to sort outdifficulties in the line. On the other hand, weought to be realistic and accept that theremay be underreporting here. Therefore, Iappreciate any opportunity to inform aboutthe arrangement and invite concerned colleaguesto take contact.NR.01/ 10odfjell quarterly magazine

QHSE on the Agenda ODFJELL QUARTERLY magazine Sea and shore ODFJELL QUARTERLY magazineSafety behaviour-We have always done it this wayBest Christmas present everBy Jesse C. PiadBy Drew Wharton20During incident investigations, there aresome common expressions to be heard.One of them is “We have always done itthis way”.When I started building tanks back in 1975,there was no safety. Anyone in the constructionor chemical industry at that time understoodthat the most important thing wasto get the job done. There was no fall protection,no eye and ear protection, no confinedspace programs, and very little attentionwas paid to many other safety aspectsthat we adhere to today as part of our job.Training of any kind was almost unheard ofand weekly toolbox meetings consisted ofone single sentence: “Keep your hard hatsand safety glasses on and get to work”. Theonly problem there was that very, very fewemployers supplied hard hats and safetyglasses. Those were the “good old days”.No reportingFatality and disabling injury rates were veryhigh as compared to reported injuries. Thesimple reason for this was that you just didnot report injuries back then. This attitudewas the norm. These facts are not disparagingto the supervisors and management ofthose days, and I will even include myself inthis group. Safety programs got in the way ofgetting the job done.Who are they?The other common expression in incidentinvestigations is “that is how they showedme to do it”. Odfjell Terminals (Houston)has made great strides in promoting a proceduredriven work environment. Yet, whenincidents happen, it is mostly becauseprocedures were not followed. When questionedas to why procedures were not followed,the answer is often “that is how theyshowed me to do it”. But very seldom do weever find out who “they” are.You are responsibleThe fact is that every employee should havea level of training to safely perform their jobtasks. For the most part, job tasks at OdfjellTerminals (Houston) are covered by procedures,and it is each individual’s responsibilityto read, understand and follow theseprocedures. If “they” train you differentlythan the procedures state, you have to object.Take a few minutes to evaluate the hazardsof any area you enter, and any task thatyou are going to undertake. Look at howyour actions may affect other people in yourarea. Ask how other people’s actions mayaffect you. When “they” tell you to performa task outside of, or contrary to a procedure,and it is justified by “this is how we have alwaysdone it”, you have to stop. Come andtalk to some of us who were around in the“good old days”. We can tell you that theyreally weren’t so good, and some of us havescars to prove it.The bridge “Internet Café”. From left: 3/O Piad, Ftr. Galagate, O/S Gayanelo, 2/E Alita and Bsn De LeonDuring Bow Atlantic`s call to Houston endof December 2009, we were one of the firstships to receive a new service from OdfjellHouston. A new type of wireless modem wasdelivered on board, a small black box, whichgave the possibility for up to five computersto be wireless connected to internet at thesame time. To get the best possible signal,the box was placed on the bridge and thecrew used the bridge as an “Internet Café”getting access to fresh news from home.On New Year’s Eve a lot of the crew wereconnected via msn and skype and couldget live pictures, seeing all the families happilygathered round the table, enjoying goodfood.This was the best Christmas present wecould ever get and we would like to send abig thanks to Odfjell Houston for this greatservice given us.NR.01/ 1021Qu ar ter lyCompany Magazine for the Odfjell Group - March 2009PHOTO CONTESTFollowing the success of our photo competition last year with lots of excellent photosand positive feedback, we are running another one. The idea behind is the same, to receivea lot of Odfjell-related photos for our magazine and for other purposes as well,like our annual report, brochures and other presentations. Odfjell employees all over theworld are hereby invited to express their creativity and competitive spirit by participatingin the contest for the best photo. Any photo, colour or black/white can be sent us,preferably in high–resolved solution. The best photo will be presented as the front pageof Odfjell Quarterly.The winner picture last year’s photo contest, takenby Andre Lillebø, covered the Odfjell QuarterlyMarch edition in 2009.Do you have a winning shot?Please send it to quarterly@odfjell.comFollow the written safety procedures!www.odfjell.comodfjell quarterly magazine

Sea and shore ODFJELL QUARTERLY magazine Sea and shore ODFJELL QUARTERLY magazineWalk Across Odfjell- South AmericaBy Mernie Bimslager22Bow Saga againstBow JubailBy Capt. Luisito G. Cantona.During our stay in Rotterdam in January,Mr. Jan Willem Arntzenius from NorwegianGovernment Seamen’s Service(NGSS) arranged a basket game betweenBow Saga and Bow Jubail at the Seamen’sSport centre Rotterdam Heijplaat gym.The Bow Saga team (11 crew) was led byCapt. Luisito G. Cantona while Bow Jubailteam (8 crew) was led by Chief EngineerBjørnar Henry Bjørit.It was a shaky start for both teams with theBow Jubail team scoring the first point of thegame. After half time the Bow Saga team wasleading by merely two points. When the finalbuzzer sounded the Bow Saga team wonwith a score of 54 points against 38 points byBow Jubail. All players and crew trooped tomid-court greeting and congratulating eachother for a great and wonderful game. It wasfun and excitement playing with our fellowshipmates.Special thanks to Jan and to all shipboardpersonnel who participated in the gameand those cheering on the sidelines for promotinggood camaraderie and sportsmanshipattitude.All Odfjell ships calling Rotterdam port areinvited to join similar activities and fun.Contact Jan Willem Arntzenius via e-mail:Rotterdam NGSS (ngss.rotterdam@sjofartsdir.no)or +31 10 429 2068 and +31 6 51512530 for more information.The Bow Saga winning team took home a beautifulbasketball trophy courtesy of NGSS.From left: 2M Mayol, Ftr Villasis, Mtm Compuesto, Wpr Sullivan,Msm Olaya, OS Cristobal, Capt. Luisito G. Cantona,3M Bureros, DC Alejandro, AB Maglajos and EC LazagaGoing Brazilian was the winning competitive team. They walked a total of 3,921.4 miles. Congratulations!Front row from left: Dodie Gober and Aimee Bird.Back row from left: Justin Guerra, Billy Maberry, Chris Ditto, Pat Mentzel and Roman Makosa.As part of Odfjell Houston’s Wellnessprogram on health and fitness, the WellnessCommittee started a “virtual” walkfor eight weeks. We had 72 employeessigned up to participate in the walk thisyear, which is about half of the Companyparticipating.This year we decided to do something different.Odfjell has eight associated terminalsin South America. Instead of a virtual“Walk Across Texas” like we did three yearsago, we started a new virtual walk the day ofthe Health Fair, October 7, 2009. This virtualwalk was to be “Walk Across Odfjell - SouthAmerica”.Including the familiesWe had competitive and non-competitiveteams to attract more employees. The threenon-competitive teams had to walk 30 consecutiveminutes a day for at least five days aweek. They received two points for each daythey accomplished this. If they got a familymember to walk with them, they receivedanother two points for each day the familymember walked the consecutive 30 minutes.We wanted the whole family to be healthier.The six competitive teams had to do thesame, but they were to also keep track of allthe miles that they walked each week.Improved health and knowledgeEach week we reached one of the eight terminalsand received information about that terminal.The Wellness Committee purchasedsomething that was from that country togive to each employee as they turned in theirmileage/points for that week. Besides beinga walk for our health, it was an educationalwalk to learn more about Odfjell - SouthAmerica.Boot camp after work. The time spent doing the exercisealso counted as mileage.FACT“Commit to be Fit” is OTH’s theme for 2009 and 2010. In 2010 the Wellness Committee will be workingwith Human Resources to educate employees on their health risks. They will be giving out informationand coming up with ideas to help employees stay healthier and fit.NR.01/ 1023www.odfjell.comTeam Bow Saga and Team Bow Jubailodfjell quarterly magazine

SEA AND SHOREODFJELL QUARTERLY magazineSEA AND SHOREODFJELL QUARTERLY magazineAn ordinary day at seaLifeboat training on Bow SagaNo wonder seafarers find their job interesting and exciting. Take a look at the pictures sent from our vessels.An ordinary day at sea speaks for itself.24NR.01/ 1025Deck crew painting the ship sidesof Bow Saga while at anchorage in Jebel Ali.Transhipment beetween Bow Siriusand Bow Pilot at Odfjell Terminals (Korea).Lifeboat training, abandon ship drill, free fall lifeboat launching and manoeuvring in the water while Bow Saga at anchorage in Jebel Ali.Photos by Capt. Luisito G. Cantona and Chief Engineer Dennis B. FuloBow Flower: Life boat drillat Mongstad, Norway.Photo taken by Per MeekBow Fortunein the Panama Canal.Photo by Richard JonesBow Flower duringdry docking.Photo taken by Per MeekBow Jubail in stormy weathercrossing the North Atlantic seafrom Rotterdam to New York.Photo taken by Anders PennaBow Cedar manoeuvringin port of Rotterdam.Photo taken by Arthur BoermaBow Puma passing The Turkish straitswww.odfjell.comodfjell quarterly magazine

In SocietyODFJELL QUARTERLY magazineCustomerODFJELL QUARTERLY magazineHouston Odfjell Group grantsChristmas wishesBy Sandy KokesHappy New Year from RotterdamBy Theo KruithofEach year during the holiday season, Odfjell employees give to area charities to celebratethe real meaning of Christmas. This year, the Recreation Committee chose Boysand Girls Harbor, a local shelter that provides a safe haven for children escaping fromdifficult domestic situations, to be our recipient.26First soil turning for the new health clinic.OdfjellMakana fundsbuilding ofa health clinicat EmtsheziThe Committee was given wish lists from five children, ranging in age from 4-18. Wishesfrom the children were as basic as new clothes, shoes, and bedding to new bikes, a toy kitchenetteand a digital camera. The “elves” of both Odfjell USA and Odfjell Terminals (Houston)banded together and collected every item that was asked for plus additional gifts. EvenSanta himself could not fit more gifts into his sleigh. - This was a great effort, focusing thevery generous spirit of our colleagues, remarked Odfjell USA President Dave Ellis.The recreation committee would like to thank all employees for giving from their hearts toprovide a very Merry Christmas for these special children.NR.01/ 1027By Sayed Akimu PhiriOdfjell Makana is funding the buildingof a health clinic at Emtshezi northof Durban. Construction is expected tocommence later this year, and last Decemberrepresentatives from OdfjellMakana took a trip to Northern Kwa-Zulu Natal Estcourt where the Ministerof Health and local health delegates attendedthe soil turning function.Rotterdam New Year’s Reception.From left: Thomas Pohl from Mabanaft in Hamburg, Ben Boller from Odfjell PIDand Frank Montag also Mabanaft in Hamburg.This clinic will be of great help and assistanceto the people from Emaqeleni,who currently have to travel for milesto get into the nearest clinic. The establishmentof this health care post willalso bring a lot of hope to the locals, asit will also give them a tarred road andample supply of clean fresh water andelectricity.While the Minister paid the area a visit,the local elderly were given a free medicalcheck-up as there were a lot of doctorsand nurses present. Odfjell Makanarepresentatives also took the opportunityto hand out a soccer kit and a netballkit for the boys’ and the girls’ teams respectively,which was very well received.Odfjell USA and Odfjell Terminals (Houston) employees donated gifts for local shelter, Boys and Girls Harbor.From left: Recreation Committee members Erin Smith, Aimee Bird, and Sandy Kokes.Bergen donation to Salvation ArmyThe annual Christmas lottery at the Odfjell main office, received NOK 45,800(USD 7,800). The sum, which also includes contributions from departmentalwine lotteries, was donated to the Salvation Army.Feyenoord football stadiumOdfjell Netherlands, Odfjell Terminals(Rotterdam) and Odfjell PID hosted ajoint New Year’s Reception on FridayJanuary 8, 2010.Despite the ice-cold weather conditions,well over 200 (inter)national customers,brokers, ship’s agents, barge and short-seaoperators, cargo-inspectors, Dutch andNorwegian colleagues and other businessrelations visited our event. The receptionwas conveniently held in the restaurant ofthe beautiful Feyenoord football stadium inRotterdam. Because of the large number ofguests, we also got access to the Feyenoordmuseum– the club’s Hall of Fame. A greatand exciting opportunity.At four different locations we continuouslyshowed our guests what Odfjell is all about:shipping, storage and distillation – for anythingliquid. For the occasion we produceda six minutes long photo-presentation, fullof impressive pictures of our people, ships,storage terminals and distillation hardware.With so many people from so many aspectsof our industry, the networking was plentiful.The success of the event can be measuredby the fact that one hour later thananticipated, the last guests decided to gohome. As they left, all guests received a bottleof Odfjell wine.We greatly appreciate all involved in organizingthis positive start to 2010.www.odfjell.comodfjell quarterly magazine

PersonnelODFJELL QUARTERLY magazineNEW HIRESBergenHOUSTONIn Memory ofChief Engineer Kjell-Magne Christensendied in a tragic accident on board Bow Cecil on the 08 March 2010.Ødegård, Jan OveSenior MarineSuperintendent01-01-10SAO PAULOPagan, Bert Jr.Shore Operator01-02-10Ardrey, AngelaSecurity Operator01-02-10Kjell-Magne Christensen was born in Lødingen in Northern Norway on 20 September 1951.He joined Odfjell 7 July 1976 as 3rd Engineer and has been a Chief Engineer since 1989.Christensen was 58 years old, and had worked at Odfjell since 7th of July 1976.Our condolences go out to his familyand friends as they come to terms with their loss.Jarle Kolnes15.03.1962 – 18.01.2010.It is with great sadness that we have to inform that Chief Engineer Jarle Kolnespassed away on January 18th 2010.28Felix de Souza, VanessaPurchaser Supervisor, Flumar12-01-10Gomes de Souza, Adriana (Rio de Janeiro)Crew Manager, Flumar01-12-09Chief Engineer Jarle Kolnes commenced sailing for Odfjell on board Bow Cecil as 2nd EngineerOctober 1st 2006. He was promoted to Chief Engineer on board M/T Bow Querida 6th March 2007and he has performed his work as Chief Engineer to our full satisfaction.Funeral service took place in Sola Church 9th February 2010.Our thoughts are with his family for the loss they have suffered.RELOCATIONSFrom Hamburg(Odfjell Ahrenkiel)to BergenFrom Hamburg(Odfjell Ahrenkiel)to BergenFrom Singaporeto BergenFrom Singaporeto BergenIn Service for Odfjell25yearsHeadquarters, BergenMidtun, FrodeController10-01-85Odfjell Terminals (Houston)Gore, DonRegulatory Affairs Manager01-02-85Lid, VebjørnOperation Manager01-01-10Næss, Olav HenningTradelane Manager01-01-10Nygård, Bjørn ArildTechnical Superintendent01-01-10Trulssen, GeirProject Manager01-01-10Hammer, Jan A.President /CEO25-02-85Odfjell Terminals (Rotterdam)Gerrets, Andreas PeterChief Operator04-02-85From Singaporeto BergenFrom Bergento DubaiFrom Bergento DubaiFrom Bergento Dubai30yearsHeadquarters, BergenNystad, MortenSVP Chartering13-02-80Odfjell Terminals (Rotterdam)Spek, Abraham van derProject Manager01-01-80Stornes, Frode JohanQuality Manager18-02-80Talib, Khalil Abdul JalilShip Broker01-03-10Hasselø, Trond-EirikShip Operator01-01-10Sandrud, Fredrik W.Ship Operator01-01-10Vågenes, ToreOperation Manager01-01-1035yearsOdfjell Terminals (Rotterdam)Hengel, IJsbrandStock & QHSE Coordinator01-03-75www.odfjell.comodfjell quarterly magazine

MAIN OFFICE ODFJELLOdfjell SE - Odfjell Tankers ASConrad Mohrsv. 29,P.O. Box 6101 Postterminalen5892 Bergen, NORWAYTel: +47 5527 0000Fax: +47 5528 4741Fax: +47 5527 9070 (Chartering/Operations)MAIN OFFICE TERMINALSOdfjell Terminals BVOude Maasweg 6, P.O. Box 5010Harbour Number 40403197 KJ Rotterdam-BotlekThe NETHERLANDSTel: +31 102 954 700Fax: +31 102 954 719INTERNATIONAL OFFICESOdfjell USA (Houston) Inc.12211 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 ShanghaiSuite B, 13FHuamin Empire Plaza728 Yan An West RoadChangning DistrictShanghai 200050, P.R. CHINATel: +86 21 5239 9469Fax: +86 21 5239 9897Odfjell Dong Zhan Shipping (Shanghai)Co.,LtdSuite C, 13FHuamin Empire Plaza728 Yan An West RoadChangning DistrictShanghai 200050, P.R.CHINATel: +86 21 5239 5393Fax: +86 21 5239 9897Odfjell Argentina SAAlicia Moreau de Justo 1960Office no. 202 - Puerto Madero1107 Buenos Aires, ARGENTINATel: +54 114 313 7837Fax: +54 114 313 4619Odfjell Australia 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 6695 4701Fax: +91 22 6695 4707Odfjell Durban (Pty) LtdThe Sharaf House2 Sinembe Crescent La Lucia RidgeDurban 4051, SOUTH AFRICATel.: +27 31 5834470Fax: +27 31 5834488Odfjell Tankers AS, Korea BranchRoom 1815 Gwanghwamum Officia Bldg.163 1-ga ShinmunnoJongn-gu, Seoul, 110-999 KoreaTel: +82 2 775 9760Fax: +82 2 775 9761Odfjell Korea Ltd.136, Cheoyong-Ri,Onsan-Eup, Ulju-GunUlsan, KOREATel: +82 52 227 5527Fax: +82 52 227 5567Odfjell ChilePuerta del Sol 55Las Condes, SantiagoCHILETel: +56 2 3307221Fax: +56 2 3307948Odfjell Philippines Inc.4th Flr Atlantis Beacon Tower2315 Leon Guinto St.Malate, Manila 1004PHILIPPINESTel: +6325280341Fax: +6325262256Odfjell (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 0801NCC Odfjell Chemical Tankers JLTRoom 3101-3104, Liwa HeightsJumeirah Lake TowersP.O.Box 214459Dubai, UNITED ARAB EMIRATESTel: +971 4 440 1700Fax: +971 4 441 1701REGIONAL OFFICESOdfjell Asia Pte Ltd6 Shenton Way, # 27-08/09DBS Tower 2SINGAPORE 068809Tel: +65 6349 1300Fax: +65 6224 2285Flumar Transportesde Quimicos e Gases LtdaAv. Paulista 460 - 18 andarCEP 01310-000 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5807TERMINALSOdfjell Terminals (Rotterdam) BVOude Maasweg 6, P.O. Box 5010Harbour Number 40403197 KJ Rotterdam-BotlekThe NETHERLANDSTel: +31 102 953 400Fax: +31 104 384 679Odfjell Terminals Maritiem BVOude Maasweg 5Harbour Number 40203197 KJ Botlek-RotterdamTHE NETHERLANDSTel: +31 10 2951 300Odfjell Terminals (Houston) Inc.12211 Port RoadSeabrook, TX 77586, USATel: +1 713 844 2300Fax: +1 713 844 2355Odfjell 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, Cheoyong-RiOnsan-Eup, Ulju-GunUlsan, KOREATel: +82 522 311 600Fax: +82 522 376 636Oiltanking OdfjellTerminal Singapore Pte Ltd1 Seraya AvenueSINGAPORE 628208Tel: +65 6473 1700Fax: +65 6479 4500Oiltanking Odfjell Terminals & Co. Llc.P.O. Box 369PC., 322 Fajal Al QubailSohar, SULTANATE OF OMANTel: +968 2685 0412Fax: +968 2684 7738Vopak Terminal Ningbo Ltd.No. 111 Zhaobaoshan Road,Zhenhai DistrictNingbo, P.R. CHINATel: +86 574 2769 5638Fax: +86 574 8627 5931ASSOCIATED TERMINALSGranel Quimica LtdaAv. Paulista 460, 18° andarCEP 01310- 000 São Paulo, SPBRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5832Tagsa S.AAv. Alicia Moreau de Justo 1960,piso 4 Of. 4021107 Buenos AiresARGENTINATel: +54 11 4001 9700Fax: +54 11 4001 9701Terquim 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