company magazine for the odfjell group - december 2004

COMPANY MAGAZINE FOR THE ODFJELL GROUP - DECEMBER 2004

COMPANY MAGAZINE FOR THE ODFJELL GROUP - SEPTEMBER 2004In this issue:P.O. Box 6101 PostterminalenN-5892 BergenNorwayTel: +47 55 27 00 00Fax: +47 55 28 47 41E-mail: quarterly@odfjell.comInternet: www.odfjell.comEditor:Klaus Walderhaug4Odfjell with largechemical tanker4order in Russia...5Signing ceremonyin SeverodvinskEDITORIAL COMMITTEE:Brit A. BennettTor JohansenTor JürgensenGeir MjeldeEllen SkagenCORRESPONDENTS:Manila:Kjell Johansen810New OdfjellTerminals venturein the Middle EastQuay 11 Project atOdfjell Terminals(Rotterdam)ODFJELL quarterly2Rotterdam:Theo KruithofSingapore:Atle KnutsenDeadline next issue:March 7th, 2005Design: MacBox ASCover:Wintry impression of OdfjellHeadquarters in Bergen, beforethe current reconstruction.Warm appeciation for 12 years of service to EPCA . . . . . . . . . . . . . . 9Foreign Economic Cooperation symposium in Jiangyin . . . . . . . . . . 11New Terminals Management system . . . . . . . . . . . . . . . . . . . . . . . . . 12Quo Vadis Intranet? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14Revision of MARPOL Annex II . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16The way we are organized - Flumar . . . . . . . . . . . . . . . . . . . . . . . . . . 18Safety Bulletin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19What they actually do - Port Captain . . . . . . . . . . . . . . . . . . . . . . . . 20Quality Section . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22The Hive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25Greetings from around the world . . . . . . . . . . . . . . . . . . . . . . . . . . . 26The long way back . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28Odfjell Quarterly Brainteaser . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Seasons Celebrations on board and ashore . . . . . . . . . . . . . . . . . . . 30Personnel Corner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32

Dear Colleagues...We are getting close to yet another year, and itfeels natural to summarize but also to lookahead. While I would describe 2003 as a "long"year for Odfjell, the year 2004 is harder to find asuitable term for. However, if we leave out theshipping crisis in the 1970s and the company splitsome 25 years ago, I believe it is fair to characterize2004 as the most dramatic year in thehistory of Odfjell. We have experienced threevery serious accidents on our ships, taking thelives of 24 crewmembers. Although there arevarious causes for these accidents, they all remindus that in addition to the general dangersattached to life at sea we handle many hazardouscargoes. Let it be absolutely clear: we at Odfjellcannot and will not accept that people loose theirlives in our service, and we are doing everythingin our power to bring all possible risk factorsunder control. We are reviewing all relevantprocedures, and put great effort into implementingthese both on board and ashore. At the sametime it is essential that we have the necessarycompetence and not least the proper safetyattitudes.During the year we have seen that other shippingsegments, in particular dry bulk, crude oil andpetroleum products, have had somewhat of abonanza, and we now enjoy some improvementsalso in the chemical tanker market. However,compared to other segments we still have aconsiderable upward potential. Some outsidersseem to share this view; our stock price has morethan trebled the last year.Throughout the last years' turbulence, we havestill managed to carry on developing the company.On the shipping side we have extended thenewbuilding programme in Poland to eight units.Together with the very recent contract for eightvessels plus four options from the Russian yardSevmash, and the many new chemical tankers wehave taken on long-term time-charter fromJapan, we have established a good foundationfor the renewal and extension of our fleet. Thisshould make us well prepared to face futurechallenges.Odfjell continues to extend our network ofstorage tank terminals. We have established ajoint venture with Chinese interests, to build anew terminal in Jiangyin near Shanghai. Thedesign work is well under way, and we aim atopening the terminal in the first part of 2006. EndNovember we also agreed with our long-termpartners Oiltanking to establish a joint venture inOman. There is also a lot going on at our existingterminals, to increase capacity and to makeoperations even more safe and efficient.The Ship Management Department is now busytaking over management of vessels previouslymanaged by Ceres Hellenic. Change of managementmay in itself be complicated, because itautomatically revokes the necessary oil companyvetting approvals. When we in addition haveintroduced a new department in Singapore thatwill manage some of these vessels, the task getsparticularly challenging.Within Odfjell Seachem, the decision to centraliseauthority in Bergen has affected the organisation,in particular those who had to relocate fromHouston. On the short-sea side, 2004 has beenthe first year of operation for our new Europeanunit, Odfjell Ahrenkiel. We have also establisheda joint venture with a Chinese partner for a regionalshipping operation in China.Other units and staff functions have been equallybusy, to meet market demand, respond toexternal requests and to serve internal needs. Allin all, we can easily say that it has been a veryeventful and active year for the company and forus who work here.Finally I would like to thank all of you for a jobwell done for Odfjell. I wish you all nice andpeaceful season's celebrations, and I amconfident that you will join me in wishing that2005 will be a prosperous, friendly and safe year,for Odfjell and for each and everyone of us.Terje Storeng, President/CEOODFJELL quarterly3

Odfjell with largechemical tanker orderin RussiaEnd October we could finally announcethe order for eight advanced chemicaltankers to be built by theRussian shipyard Sevmash. The orderincludes options for another fourunits. The ships will be IMO type IIfully coated vessels of about 45,000DWT, for delivery 2007 onwards on asemi-annual basis.With this large order Odfjell entersinto a new phase in its fleet renewalprogramme. During the last ten yearswe have added a large number ofstainless steel parcel tankers to thefleet, further strengthening Odfjell'sposition in the sophisticated end ofthe chemical tanker market. The tankersfrom Sevmash will both replacesome of our older coated chemicaltankers as well as strengthen our positionin the easychem segment. Thesenew ships will be very suitable also forthe transportation of vegetable oils,petroleum products and certain otherbulk liquid products. Odfjell expectsan increased commercial demand forthis type of ships due to recently enactedstricter IMO rules and regulationsfor carrying such products bydouble-hull chemical tankers.The first eight of the Sevmash vesselswill cost on average about US$ 41 millioneach. The optional four vesselswill be priced according to a mutuallyagreed market-related formula.Sevmash is a large, competent andresourceful shipyard, and we see adefinite potential for a long-lastingshipbuilding partnership in similarmanner as we have experienced withthe Kværner/Kleven yards as well asthe Stocznia Szczecinska yard inPoland. Through a close and efficientworking relationship with Sevmash,we are confident that the outcomewill be a success for both parties.Ready for friendship and cooperationODFJELL quarterly4Odfjell representatives visiting the yard in a preliminary phaseof the negotiationsDan Odfjell signing the visitors' protocol

Signing ceremony inSeverodvinskOur important contract with Sevmashwas officially signed on FridayNovember 5th, a day many of us willremember with joy. Our new Russianfriends and partners had done theirutmost to make this an eventful andmemorable occasion, but most appreciablewas their obvious and sinceredesire to embark on this business venturefounded on friendship and trust.Of course the language differencespose a challenge in this project, butculturally we seem to be very close.We are after all “next door” neighbours,although politically havingbeen separated for many years.Before lunch, an excursion was arrangedto the town museum, where weamongst others also met with asecond grade school-class. Then wewent on to Severodvinsk's mainbakery, for a tour of the premises anda taste of its delicious produce. Wewere also introduced to one of theregion's bee-keepers, who had travelledsome 600 km from the south topresent his activities. Obviously, thisturned out an interesting and amusingsession, not least including ourbee-keeping Chairman. We were alsotaken to the city's naval museum for alook at its most interesting exhibitions.In addition we had time to seethe White Sea beaches and some ofthe memorials, one of which tohonour the 13 locals killed in theKursk accident.After an excellent lunch, the eventsstarted with a tour of the Sevmashshipyards, followed by the official signingceremony and subsequent pressconference. Two nationwide and onelocal TV-station and a lot of journalistspresented a number of questions onthe project. Their presence illustratesthe novelty and importance of thecontract, not only for Sevmash andthe city of Severodvinsk, but for theregion as well. When the officialduties were concluded, our Russianhosts invited us to an hour of impressiveentertainment at the concert hall,including music, song, dance andacrobatics, mostly performed by localchildren and youth.In the evening, as the grand finale, wewere treated to a wonderful banquetdinner where the food, drink,speeches, jokes and toasts furthercemented our good relationship.From the press conference. From left: Nikolai I. Kiselev (Chief ExecutiveArchangelsk region), Vladimir P. Pastoukhov, Dan Odfjell and ØyvindNordsletten (Ambassador of Norway in Russia)Signing the contract.From left Vladimir P. Pastoukhov(Director General of Sevmash) andDan Odfjell (Chairman of the BoardOdfjell ASA)Memorial visitODFJELL quarterly5

Sevmash- Our Russian shipbuilding partnerSevernoye Mashinostroitelnoye Predpriyatie,in short Sevmash, was establishedin 1939 in Severodvinsk on theWhite Sea, just 35 kilometres southwestof Archangelsk. It started off as amilitary yard, building war-ships andsubmarines for the Soviet navalforces. During the 1950s and 60sSevmash became the centre forconstruction of nuclear submarines,and to date the yard has built morethan 100 such units, the fastest onebeing able to do about 45 knots submerged.In the 1990s Sevmash also venturedinto civil projects, and has since built anumber of tugs, barges and othersmall ships for both Russian owners aswell as Western companies. In recentyears the yard has also taken up constructionof large offshore platformsand modules for the oil and gasindustry.Today Sevmash employs some 30,000people, and is as such the main economicbasis for the city of Severodvinsk.The ship-yard has the largest buildingslipways in Russia, with atotal area of 100,000 m 2 .Currently it may build shipsof 200 metres length, up toabout 100,000 DWT. Due tothe hostile winter climateon the White Sea, allconstruction facilities arein-doors.The order for eight to twelvecoated 45,000-tonnersfor Odfjell is Sevmash's firstentry into the tanker segment.Considering the need for renewal ofthe world's tanker fleet, this shouldoffer a promising new line of businessfor the yard.Sevmash is also involved in civil shipbuildingODFJELL quarterly6One of the many submarines built at SevmashFrom the city of Severodvinsk

Introducing the S-Class- The new state-of-the-art chemical tanker”Chemical tanker for carrying chemicalproducts of IMO type II includingtoxic cargoes as well as refined petroleumproducts” is what we will getfrom Sevmash in 2007 and onwards.Let’s take a look at the details.Just by looking at the size of thevessels, 45 000 DWT, and the choice ofyard, one would think that Odfjell hasordered a series of product tankers.Then take a look at the followingdescription, and you will see that wehave actually ordered state-of-the-artchemical tankers – fit to serve ourneeds as high-end transporter of bulkliquids.Acquiring such versatile vessels naturallystarts on the drawing boardwhere all wishes must be merged intoa consistent design. In order to pleaseour customers and of course to makean acceptable return on our investments,we have paid much attentionto efficiency, optimal stripping andcleaning, the relation between power,propulsion and hull form and finally30 years lifetime achieved by easymaintenance, and anticipation offuture legislation and industrydemands.Cargowise, a longitudinal cofferdamwill offer enhanced cargo protection,and two 300 Cbm. stainless steel decktankscan carry more specialisedproducts. Dedicated lines and pumpsensure full segregation. The advancedepoxy and zinc silicate cargo tankcoatings offer superb resistance tochemical and CPP cargoes. Furthercargo care is achieved through a highcapacity cargo tanks dehumidifier anda high capacity inert gas generatorcombined with a high purity nitrogengenerator.Safety and protecting the environmenthave been core elements of thedesign. The design of tank internals,lines and pumps, with vacuumdraining, minimises pre-wash residues,which together with fixed tankcleaning machines secure very efficientcleaning. Controlling cargovapour emissions is also given a lot ofattention, and on the S-class (S forSevmash...), also the fuel tanks havedouble hull protection.The “super-long stroke, slow speed”main engine is de-rated to be as fuelefficientas possible and the electricalpower is supported by a shaft generatorand auxiliary diesel generators ofproven design.Commercially, the vessel’s 52,000 Cbm.capacity can be utilised either forhomogeneous cargoes or up to 22different grades. A cargo unloadingrate of 3,600 Cbm. per hour allowsunloading down to 14 hours. Cargotanks are designed to allow cargo specificgravity as high as 1.5 mts/Cbm.Finally, the favourable DWT to cargocubic relationship and the long servicerange of 14,000 nm should make theS-class a dream to operate.Karsten Sævik, Vice President Project/Newbuilding, at a visit to SevmashS-class particularsLength over all 182.72 m.Length betweenperpendiculars 175.22 m.Breadth, moulded 32.20 m.Depth, moulded 18.35 m.Draught design 11.70 m.Draught scantling 12.50 m.Service speed14.50 knots# tanks, including deck tanks 22Deadweight at scantling draft 45,000 DWTDeadweight at design draft 40,750 DWTCargo tank volume (98%) 51,800 Cbm.Unloading capacity3,600 Cbm. per hourODFJELL quarterly7

New Odfjell Terminalsventure in the Middle EastBy Siri-Anne Mjåtvedt and Svein-Gustav Steimlerin the Middle East, the most importantpetrochemical production area inthe future due to the inexpensivefeedstock.On November 30th, Odfjell ASA andOiltanking GmbH signed a contractwith the Sohar Industrial PortCompany (SIPC) for the exclusive operationof the liquid berthing facilitiesand the possible development of astorage terminal in the Port of Soharin Oman. SIPC is a joint venturebetween the Sultanate of Oman andthe Port of Rotterdam for theconstruction of a world-class portincorporating oil, gas and chemicalinvestments. Odfjell and Oiltankingwill also operate through a jointventure, the details of which are notyet finalised.Our joint venture will initially operatethe multi–purpose marine jetties, consistingof seven deep-water berths forvessels up to 100,000 DWT. This will bethe second Odfjell/Oiltanking projectSohar is experiencing a tremendouspetrochemical development. DowChemical and local interests are planningto build and operate a downstreampolyethylene plant. Otherplans include an EDC plant involvingNPC of Iran and a 2 million tonnesannual methanol production unit. Theplants will come on stream 2006-2008,and the output is in general targetingthe Asian markets. The petrochemicalindustry in Oman is starting fromscratch, but the volumes of theprojects are significant.Oiltanking is the second largest independentstorage provider worldwidefor petroleum products, chemicalsand gases. The company owns andoperates 71 terminals in 19 countriesin Europe, North and South Americaand Asia, with an overall capacity ofover 10 million cbm. Our coopera-tionwith Oiltanking started in 2001 withthe agreement to develop OiltankingOdfjell Terminal Singapore.Port of Sohar during construction(Source: Port of Sohar web-page).Launching of M/T Bow SkyThe fourth ship in our series of 40,000 DWT stainless steel chemicaltankers from Stocznia Szczecinska Nowa was launched on November 6th.The vessel, which you see will be named M/T Bow Sky, was set afloatnicely without any difficulties whatsoever. According to plan she will bedelivered March 2005, to take up her service in the Odfjell Seachemdeep-sea fleet.ODFJELL quarterly8

Olav Tangerås receives warm appreciation for12 years ofservice to EPCABy Jan A. HammerThe European Petrochemical Association,EPCA, is an international nonprofitassociation with purpose tobring petrochemical business peopletogether, provide exchange of informationand to promote projects ofinterest to the petrochemical industry.The association is headquartered inBrussels and has a full-time staff of 10people. EPCA’s mission is achievedpartly by organising conventions suchas the Annual Meeting (end ofSeptember) and the Logistics Meeting(end of October), events that many ofour chartering and marketing peopleattend and as such, are familiar with.Full member-ship to EPCA is onlygranted to manufacturers of petrochemicals.As a service provider,Odfjell has been an associated memberfor many years.EPCA has a Board of Directors and aLogistics Committee. Our former executive,Mr. Olav Tangerås has since1992 been representing Odfjell as amember of the Logistic Committee.As from 1998, as the organisation’sTreasurer, he has also been a memberof EPCA's Board of Directors. Duringall these years Mr. Tangerås has proudlybeen a good ambassador forOdfjell.But time goes by and since Mr.Tangerås already has reached thenormal age of retirement, it was timethis year for Olav to say good-bye toEPCA. On Mr. Tangerås' recommendationsI was elected his successor toEPCA, and thereby the one to continuehis duties. This fall I had theprivilege therefore of attending anumber of functions and good-byeceremonies, and not surprisingly, Olavreceived plenty of good words for ajob well done. It was nevertheless aneye-opener for me as the new Odfjellrepresentative in these circles, towitness his high standing in the organisation.I believe few of OdfjellQuarterly’s readers are aware howinfluential Olav has been, and alsohow strongly involved he has beenwith the full-time staff in Brussels. Asmentioned in several speeches, Olavhas handled these duties with enthusiasm,respect and understanding, andas you can imagine therefore, thewords of appreciation, gifts and hugswere warm and plentiful. OlavTangerås is most definitively going tobe missed in the EPCA environment.It is with great humbleness therefore,I take on the task to follow in his footstepsat EPCA, an assignment that Inow realise is far more challengingthan first anticipated.The new Odfjell representative to the EPCA Board of Directors, Mr. Jan Hammer together with his predecessor,Mr. Olav Tangerås.ODFJELL quarterly9

Quay 11 Project atOdfjell Terminals (Rotterdam)- Well on its wayconcentrating their activities inRotterdam.The Quay 11 Project Team, from left: Hans Meijvis (E&I engineer),Dick Vrolijk (mechanical-piping engineer), William Anker (process engineer),Aad Bardelmeijer (lead engineer mechanical), Nils Wiering (CAD pipingdesigner), Dick Roubos (senior engineer mechanical/piping) andMarc Boelhouwer (project manager).Odfjell Terminals (Rotterdam) is wellon the way in developing our fifthberth for deep-sea vessels. At presentOTR has four jetties for sea-goingtankers, handling both mineral andchemical products. In the last yearsOTR, in line with other terminals inRotterdam, has seen a significantincrease in the traffic of ships andbarges. This has given a considerablerise in berth occupancy, which againleads to congestion and thus, to morewaiting and increased costs. OTRrecognised the need for anotherberth to improve the situation, andthe Quay 11 Project was initiated.However, finding space in the crowdedRotterdam Harbour turned out tobe a difficult task. Having evaluated anumber of possibilities, we concludedthat the best alternative for all theparties involved was the relocation ofa neighbouring company, PortContainer Services (PCS). PCS will soonmove to another location nearanother of their facilities, thusFor OTR this is the perfect solution,enabling us to construct a new quayon the (former) PCS location justsouth of OTR. This will be OTR's firstquay, since the existing four berthsare jetties. The new quay will have alength of 460 metres, of which 250metres will have a draft of 12.65metres for sea-going vessels. The restof the quay will be built for coastersand barges. The project includes developmentof all substructures, e.g. quayand jetty, and also all superstructuressuch as hose towers and pipingbridges. As part of the project we willalso rebuild Jetty # 10. An additionalplatform will be constructed togetherwith a new access walkway, whichrequires the demolition of the presentwalkway.According to the projects schedulethe first construction activities willstart in September 2005 and theproject is targeted for completion inSeptember 2006. During the constructionperiod business must go on “asusual”, requiring close liaison withour Operations and PlanningDepartment for optimal performance.We have a busy time behindus and still ahead of us. The projectteamis now under full power, spiritsare high, and we look forward toreceiving the first ship to the newquay.ODFJELL quarterly10In close cooperation with theRotterdam Port Authorities, theowner of all land in the RotterdamHarbour, we have developed a planfor how OTR may expand our berthcapacity for ships and barges.Quay 11 drawings

Odfjell Terminals participates inForeign Economic Cooperationsymposium in JiangyinBy Siri-Anne MjåtvedtOctober 18th 2004 Odfjell Terminalswas invited to attend the ForeignEconomic Cooperation symposium inJiangyin, together with GarsonGroup, our joint venture partners inthe new Odfjell Terminals (Jiangyin).Jiangyin is situated in the middle ofthe Yangtze River delta, covering anarea of 988 km 2 and with a populationof 1.2 million people. Ever sincereform and opening up, Jiangyin hasbeen one of the main growth centresof China. The people of Jiangyincreates 1/250 of the total ChineseGDP, with just 1/1000 of the total areaand population. In 2003, the cargohandling capacity at Jiangyin Portexceeded 21.8 million tons, thusbecoming the most important cargocollection and distribution base onthe lower reaches of the YangtzeRiver.Many delegates from differentcountries attended the symposium,together with important politiciansand Party members from the region.In connection with the symposium,Garson and ourselves were invited tothe City Hall for a private meetingwith the Party Secretary and theDeputy Mayor of Jiangyin. TheSiri-Anne Mjåtvedt and Gudmund Valen at the Huangshanhu Parksymposium itself was held atHuangshanhu Park, where all theparticipants were met by thousandsof children with flowers and balloonssinging ‘welcome, warm welcome. Aspecial invitation was granted to ourSenior Vice President, Mr. Svein-Gustav Steimler, as one of the fewguest speakers at the symposium.At the reception banquet held in theevening we received very positivefeedback on Mr. Steimler's speech aswell as much interest for our Jiangyinterminal project.Svein-Gustav Steimler delivering his speech at the symposiumODFJELL quarterly11

Odfjell Terminals to developNew Terminal ManagemBy Tor JürgensenOver the last fewyears our terminalbusiness has grownfrom a single owned/-operated terminal inHouston to become abusiness area with sixfully or partly ownedterminals. As of todaywe manage four ofthe terminals, but welack a set of common ICT applicationsin use at these. Our two largest terminalsfor instance, have different ICTmanagement systems that both willhave to be modernized and/or replacedwithin some years due to thegeneral technology development.Odfjell has ambitious plans for furthergrowth through investment in newfacilities, and new projects are alreadyinitiated. Accordingly, it is now importantto apply ICT in an appropriateway.In order to ensure a stronger degreeof know-how transfer and bestpossible use of our resources, Odfjellhas formulated a strategy for developmentand implementation of ICTsolutions. The most importantelement of the ICT strategy is themaking of a new common TerminalManagement system. This will be animportant tool to structure the waywe want our terminals to be managed.The idea is that it shall preserveknowledge, ensure transfer of experienceand reduce dependency on individuals.The new system shall be a toolboth for the individual terminal butalso for easier (stan dardized) controland supervision at a corporate level.The vision statement for the newTerminal Management system says:A new user-friendly OdfjellTerminal Management system isbuilt on optimized work processesand proven features from replacedapplications.The system should accomplishsafer operation, increasedadministrative efficiency, bettercustomer service, regulatorycompliance and reduced probabilityof mishaps, leading to lowercosts, higher revenues andincreased customer satisfaction.The new Terminal Managementsystem will be a robust andflexible platform to build on,thereby driving Odfjell Terminalsto business excellence bysupporting and swiftly embracingfuture business requirements.Tom Hagesæther of UlrikenConsulting, leading the work withthe first phase of the project.The Terminal Management systemwill facilitate planning and schedulingof the work at the terminals, toachieve better resource utilisation andimproved reliability. Flexible contractmanagement is another essentialelement to enhance customer service.The system must also facilitate e-capabilitiestowards the customers andconstitute a robust platform forimplementing local or universalcustom-made services. Single-pointdata entry and consistent data validationwill ensure the quality of routineswithin the system as well as that ofprocesses interacting with othersystems.ODFJELL quarterly12The new Terminal Management systemwill also contribute to safer operation,in terms of both personnelsafety and environmental protection.By validating new work-ordersagainst the status of other workordersand resources known to theAn overview of the new TerminalManagement system.

ent System2. Based on above, decide whetherto purchase an "off-the-shelf"product or to develop our ownsystem .3. Implementation of the newsystem at the terminals.The work on Phase One is led byexternal consultant Tom Hagesætherfrom Ulriken Consulting, who knowsOdfjell well from several other developmentprojects. The rest of theproject team consists of Marcel vanden Nieuwendijk (OTR), Paul vanHerrewegen (OTR), Sam Dufilho(OTH), Larry Pipkin (OTH), ErikAndreassen (OTH), Morten Albriktsen(OT Bergen) and Jan Peder Arnesen(Odfjell ICT Bergen).To direct the work there is appointeda steering committee under the leadershipof Svein-Gustav Steimler,Senior Vice President OdfjellTerminals. It's other members areBernt Netland (OTH), Zeger van Aschvan Wijck (OTR) and Tor Jürgensen(Odfjell ICT Bergen).We will follow up with more informationas we proceed with this new andchallenging task.system, through a set of soft and hardrules (breakable and unbreakablerules), the system will reduce the probabilityof mishaps and suggest rectificationof inadequate procedures.Better data presentation and dataquality supporting the resource utilisationsplanning processes, will giveenhanced asset utilization. In general,we will gain reduced operating costsat the terminals as well as reduced ICTcosts due to centralization of administration,competence and optimizedwork processes.As you can understand we have establishedan ambi-tious project, whichwill take at least 24 months to complete.The decision to develop a newterminal management system wastaken already in 2003, but due to variousreasons the actual work didn'tcommence until June 2004. The developmentproject will be carried out inthree main phases:1. Mapping business, user,operational requirements andfunctional features.ODFJELL quarterly13

Quo Vadis Intranet?The Matrix is the Future!By Frode Bjørklund, Infomaster of Odfjell IntranetTo me the word"portal" soundsrather science fiction,but it is really,by definition,just “a site featuringa suite ofcommonly usedservices, servingas a starting pointand frequentgateway to theWeb (Web portal)or a niche topic(vertical portal)”. B2E (Business toEmployee) indicates that the servicesworks within the enterprise. Like ourIntranet, portal services have ingeneral become both important andpopular. Online banking and stockbroking, travel booking, eBay andGoogle are some of the services uponwhich we to an increasing extentdepend, and we must expect a steadydevelopment of new and betteroffers.Seven years ago, when joining Odfjell,I was proud to receive an e-mailaccount (a tool not previouslyenjoyed). Our old mail system evenhad an electronic notice board thatactually grew as people saw the valueof sharing information. In 2001, businessand staff units agreed to let this“Intranet” have a try, but the systeminitially just replaced our old noticeboard as a nice place to archive shareddocuments. Next, messages of corporateor general character carried bybulk e-mail were instead displayed onthe Intranet “front page”. Informationwas accordingly the firstIntranet element and it has grown inmagnitude and sophistication.Corporate news, Market news andPersonnel information are the dominant“dynamic” services, whilst themenu points contain information ofmore “static” kind. The information isthere to help us make better decisionsand ease tasks and processes.The last year has introduced moreelements to the portal. Firstly we nowfind Applications, both business unitspecific and corporate ones. TheHuman Resource and ICT departmentshave nicely integrated the Agresso HRWeb and the Competence Centre,both good examples of B2E interactivity.Further, we have tried tomake the system in general moreuser-friendly both in performance(speed), browsing and design.Regarding the latter, the “split” of theIntranet in three layers – Corporate,Business Unit and My Page allows ahigh degree of personalisation of thecontent. The idea is to add morespecific content, applicable for thevarious business units and/or officesODFJELL quarterly14

only. The Corporate (Front) page willbe a mix of corporate and local officenews. The Business Unit page willenable all employees in the samedivision, like Odfjell Terminals orOdfjell Seachem, to browse the samecontent, whilst My Page will be a mixof local/office information and yourown “pick and choose” of variousnews channels and other features.Regrettably, there are currently somelimitations to the Intranet. The vesselsdo not have access, and shore-basedcolleagues without a personal office-PC may find it less relevant. Further,many abroad offices must depend onbrowsing by logging on to HQ terminals,thus reducing performance.Hopefully, in the not so distant futureall systems will be easily available toall Odfjell units and employees.The potential of the Intranet is actuallyhuge, and I believe the true benefitsof operating the portal will revealitself if or when we come to the stageof using the Intranet as a tool forCollaboration. The technical platformis quite flexible and may allow bettercommunication both across and withinthe locations and business units,also known as matrix structure. Wehave a great oppor-tunity to buildbasic systems for immediate knowledgetransfer regarding:customers and opportunitiesproducts and handlingoperational and administrationalbest practicestechnical know-howsuppliers and performancesupply chain coordinationteam/project workspaceTaking this step does however requiredemanding organisational efforts liketop management involvement andpromoting a culture for informationand knowledge sharing. The goodnews is that the tool is already acquired,it just takes the determination todevelop and use it. Thus touching thefield of Organisational Learning, letme cite Sir John Brown, the CEO ofour valued customer/supplier BP:“No matter where the knowledgecomes from, the key to reaping a bigreturn is to leverage that knowledgeby replicating it throughout thecompany so that each unit is notlearning in isolation and reinventingthe wheel again and again.”The last portal element to be desired,at least from an analyst’s point ofview, is Enterprise Reporting. Such afeature will allow pulling statisticsfrom the various financial and operationalsystems, either by selectingamong standard reports or by providingthe parameters necessary totailor reports. Anyhow, decisionsupport would be a few clicks away -anytime.We strive to make the portal userfriendlyand outline the potential forexpanding the use. The future of theOdfjell Intranet is now in the hands ofthe users. To create more value, allunits should ask “How can we workand share better” and subsequently“Do we want the Intranet to be a partof this”. There are many answers tothe first question, to the second onlyone: YES!Insert: The Intranet is a great tool tosupport our organisational principles,as these are stated in the OdfjellCommon Competence course.Intranet services:SIN 2003 - a powerful shipping information toolClarksons' Shipping IntelligenceNetwork (SIN 2003) is available to theentire organisation. SIN 2003 is aweb-based tool, located atwww.clarksons.net. This comprehensiveapplication provides lots and lotsof shipping-related information,amongst others:Publications, including the wellknown“Shipping IntelligenceWeekly”Vessel specific dataRates, earnings, bunkerprice,S&P transactions, etc.Odfjell holds a global license for thisservice. To launch this website, justpress the "C" icon on the upper rightcorner of the Intranet. For furtherdetails on use and access, type “SIN2003” in the Intranet search engine.Good luck!ODFJELL quarterly15

Revision of MARPOL Annex II- Just another change?By Svend Foyn-Bruun and Klaus WalderhaugODFJELL quarterly16A revision of current cargo categorisationhas come into effect. As from2007, many products previously beingtransported by product tankers will,in effect, be reserved for chemicaltankers. This includes all vegetableoils, but also a number of other commoditiesmoving in large volumes.However, there are also features ofthe revision that moderates theconsequences. In this article we lookat the regulation changes.IntroductionIn the Odfjell Quarterly October 2004issue we discussed how severe oilpollution, following the shipwrecks of'Erika' and 'Prestige' led to stricterregulations including double-hullprotection. To minimise the risk of oilspills in case of collision or stranding,single-hull tankers were to be phasedout for trading in oil and oil products.The phasing out of single-hull tankersapply to ships carrying mineral oilsregulated by Annex I of MARPOL, theinternational convention for theprevention of pollution from ships.However, the International MaritimeOrganisation (IMO) worked in parallelon a revision of the so-called Annex IIof MARPOL, regulating the transportationof chemicals in bulk. Thereason for this revision was to adaptthe IBC code (the international codefor transportation of hazardous bulkcargoes) to an international overallstandard for product classification. Asa result of this process, most productscurrently listed in the IBC code hasbeen reassessed and reclassified. But afew still remain.Revision of the IBC code and MARPOLAnnex IIIMO's Marine Environment ProtectionCommittee (MEPC) adopted the finalversions of the IBC code and MARPOLAnnex II during the October 13-15meeting, effective as from January 1st2007. The most important changesare:As from 2007, many of the cargoescurrently unregulated, e.g. methanol,MTBE and ethylene glycol, willbe covered by the new IBC code,hence these products can thereafteronly be carried by chemicaltankers. Today such products maybe transported by product carriersas well as other tankers dedicatedfor such purpose.All vegetable oils and animal fatsare reclassified, and will requiretransportation in tanks of shiptype2, meaning, double sideprotection of at least 760 mm, inaddition to the double-bottomrequirements of 1/15 of the vesselwidth. The reason, for includingvegetable oils and animal fats inthe revision, being that theproducts have been found torepresent an equal threat to themarine environment as that ofmineral oils. Thus, the revisionreflects the conclusion, thatcomparable protection is required.So-called "oil-like substances",among which toluene and xyleneare the most notable, will cease toexist as a separate productcategory allowed to be carried byproduct carriers. Following therevision, these products can onlybe carried by chemical tankers.The revision will thus impact thedemand for chemical tankers.Preliminary calculations made byIntertanko indicate that the volumesrequiring ship-type 2 cargo space willmore than treble, from 2003 to 2007,to some 93 million metric tonnesper year. Nevertheless, the world'schemical carrier fleet seems sufficientto cover this increased demand. Basedon "normal" trading patterns as wellas utilisation rates, still there seems aslight overall supply surplus, when theregulations come into effect in 2007.However, this excludes or leaves littleroom for the considerable volumes ofclean petroleum products that thechemical carrier fleet is currentlytransporting.Compromising on the vegetable oilsDespite calculations indicating thatthe market would be able to absorbthe consequences of the now adoptedrevision, there were and still is someconcern, voiced in particular by vegoilproducers and their clients, thatthere might develop a transportationcapacity shortage. Consequently, toensure sufficient tonnage availablefor vegetable oils and animal fats,

MEPC in the final round agreed on acompromise proposal by TheNetherlands, Panama and the US. Thecompromise opens for allowing, ifindeed a shortage can be demonstrated,to exempt certain ships fromthe basic requirements (ship-type 2)meaning vegetable oils and animalfats could thus be carried, providedthe vessel complies with the followingconditions:The tanker shall meet allrequirements for ship-type 3 asper the IBC code except for cargotank location. This means that itneeds a chemical code certificate,which again demands certainsafety equipment, revised/enhanced operational proceduresand arrangements, and crewtraining/certifying.Width of double side (or tanks notused for such products) has to beat least 760 mm.At first sight it may appear that thecompromise opens for letting thebulk of ship-type 3 tankers continuetrading in vegetable oils. In fact, mostmodern product carriers and chemical& oil tankers built after 1993 docomply with the requirements for hullprotection, i.e. double sides anddouble bottom. Even quite a few pre1993 ships qualify.New stripping requirementsHowever, as from 2007 new andstricter stripping requirements,warranting the maximum acceptableamount of cargo left in the tank andvessel cargo lines, following discharge,will apply for all regulatedchemicals, including vegetable oils.The new limits for the transportationof vegetable oils are 150 litres for existingtonnage and 75 litres for tankersbuilt after 2007, quite a challenge.Product carriers with separate pumproomswill hardly be able to comply,and a large number of other ships willhave to install more efficient pumpsand/or rearrange the tanks sumps toachieve sufficient stripping capacity.The real impact on the market willprobably be less than what at firstassumed. Already a majority of thevegetable oil imports to Europe andvegoil trade to and from the US aremoving by chemical tankers. In otherregions, e.g. exports from SouthAmerica and Inter Asia, the productcarriers have a more dominating position.It remains to be seen howeverhow the flag states will enforce thenew regulations, in particular thestripping requirements.The revision of the IBC code andMARPOL Annex II, together with theaccelerated phasing out of single-hulltonnage, have received much attentionand caused a considerableamount of debate. From experiencewe know, that the market has aremarkable ability to absorb andadapt to changes. Thus, the impact onthe chemical carrier market is far fromclear, the more so since scrapping ofold ships currently is deterred by ahealthy market for oil products. Andthere is of course the evolution ingeneral of the supply and demandside in the interim.We can conclude that environmentallythe MARPOL revision is welcomenews, and tentatively that is commerciallygood news to our industry.ODFJELL quarterly17

The way we are organisedFlumar– a genuine Brazilian shipping companyBy Roberto FerreiraAs a result of the intensive work andinvestments applied by the OdfjellGroup in South America during thelast four decades, we have nowreached a leading market position inthe region, both in sea transportationand storage services. The serviceswe offer have become increasinglyimportant components in the logisticschain of our customers engaged inimports and exports of bulk liquids.In 1999 Odfjell entered into a newregional venture through the acquisitionof 50% of Flumar, a Brazilianshipping company. The remainingshares were held by the groupsKristian Gerhard Jebsen of Norwayand Louis Dreyfus of France. Byadding the Brazilian cabotage intoOdfjell’s service network, a new linkwas made available for our logisticsoffer. Since this trading is restricted toBrazilian flag vessels, Flumar openedthe access to this activity, allowingnew commercial possibilities to serveour customers.In 2002 the Flumar headquarters wasmoved from Rio de Janeiro to SãoPaulo, joining the premises of OdfjellBrasil, Granel Quimica and Hoyer-Odfjell. The move hascontributed to improveinterchange between thedifferent business teams,to increase the knowledgeabout the needs ofour common customers,as well as to identify newcommercial opportunities.In this sense, the conclusionof a long-termcontract for the transportationof clay slurry fromMunguba (north Brazil)and the storage of theproduct at the GranelQuimica terminal inSantos, constituted onepractical case involvingthe negotiation of combinedservices.The Flumar organisation presentlyconstitutes of 15 people ashore andabout 160 at sea. Commercial chartering,ship operations, accounting andfinances are handled from São Paulo,whilst technical management andcrewing activities are outsourced toV-Ships of Norway.Flumar operates four chemical tankerson the Brazilian coast, from whichA warm smile of welcome to Braziltwo are fully owned (Angelim andAraucaria) and two are bare-boatchartered (Jacaranda and OWLTrader). In addition we operate twogas tankers, the Jatai (owned) and theAragas (time-chartered). The averagecarrying capacity of the vessels operatedby Flumar is about 9,500 DWT,some 1.2 million tons (excludingAragas) are expected to be transportedthis year, and the average sailingtime between ports is only three days,illustrating how hectic our activitiesare.ODFJELL quarterly18The Flumar staff.From left: Ederlan Lacerda, Thiago Rocha, Otacilio Borges, Sandra Adolpho,José Francisco, Monica Pereira, Amilcar Gonçalves, Alex Diez, EdsonRodrigues, Elaine Modesto, João Barros, Isabel Areas, Kaare Endresen,Roberto Ferreira, Knut OvreboA main challenge for the near futureis the development of a newbuildingproject to provide the necessary fleetrenewal. According to prevailingrules, in order to benefit from theexisting official financing system andto obtain the Brazilian registration,the vessels must be built in Brazil.Flumar is already engaged in such aprocess, which besides the technicaland economical details is quite dependenton political issues. We expectthat a considerable amount of timeand effort will be required, and thiscertainly demands full support fromall colleagues at Flumar, to assurea long and healthy future for thecompany.

Safety BulletinYEAR END– status & challengesBy Toralf SørenesTo make safetyand safety improvementaprimary issue ineverything weare doing, fromthe very top andthrough-out thewhole Odfjellorganisation,will be animportant challengeand goalin the coming year. Our Chairman, Mr.Dan Odfjell addressed the aforementionedin a letter to all ships mastersin August this year. In 2004 tragic andserious accidents related to the cargowe carry and its handling have occurred,both within our own companyand in our industry. As this article isbeing written, we received the sadand shocking news of yet anotherchemical tanker, the Chilean ownedM/T Vicuna, that exploded violentlywith catastrophic results; loss of lives,cargo, the ship and significant environmentaldamage. This is anothersharp reminder of the risks our seafarersand ships are exposed to.As part of our loss prevention workfollowing the accidents we have sufferedon ships in the Odfjell fleet thisyear, the class society DNV was taskedwith doing a risk assessment of ourtank operations. The process includedreview of ship and shore-side systemsand personnel involved in tank operations.It also covered relevant operations,equipment and tasks, from acargo is booked to it is off the shipand the tank(s) used are ready for anew cargo. The report was completedlate October 2004 and will be a veryhelpful instrument for Odfjell in ourefforts to improve our procedures andoverall safety performance.New shipboard procedures have beenmade and existing ones revised. Ourmain focus with regard to correctiveactions and loss prevention this timehas been on tank cleaning. We havemade our procedures clearer andmore in line with the guidelines inInternational Safety Guide for OilTanker & Terminals, ISGOTT, andTanker Safety Guide Chemicals, TSGC.Most significantly, we have made itmandatory to bring a flammable tankatmosphere into a controlled state,either gas free or too lean, with minimumuse of time and “activities” inthe tank. We have also incorporatedother important elements found inindustry guidelines like ISGOTT andTSGC into our internal procedures, toreduce the need for cross-referencesand subsequently the complexity andpossibility for failure.Effective implementation of new andrevised procedures is equally important,and we will strengthen our focusand efforts on work related to operationalRisk Management issues. Fournew marine superintendents are inthe process of being employed, andalthough the positions will be placedunder the line management they willwork closely with our experiencedRisk Management inspectors andauditors. The main objectives andtasks connected to these new positionsare to enhance safety andquality standards. Vetting and auditreports have shown room forimprovement. Preparation and otherwork related to vetting will be anotherpriority task for these new positions.In addition we will put focus oncontrol with ships on time-charter orotherwise employed by Odfjell.We will also enhance “hands-on”superintendence of the fleet we operate,and are transferring managementon 15 owned ships back toOdfjell. This will bring ships managedby Odfjell up to about 50. This fleetwill be divided into four sections andone of these, counting some 15 plusships, will be located in Singapore. Asthe main chemical hub in South EastAsia, Singapore is frequently visitedby most of our ships. The movewill therefore bring us in ShipManagement closer to the ships weserve. This change of managementplaces significant burden on everyoneduring the transition period because,amongst others, such a changenormally influences vetting approvals.At the end of the day we areconfident that the result will be good.A goal for next year is to avoidaccidents by improving awareness andcompliance.At Risk Management we have justcompleted our internal report on theNCC Mekka accident and submitted itto the ship’s Flag State Authorities,Norway. Their official investigationreport is still pending. We are alsoexpecting the Bow Mariner report tobe completed by the US Coast Guardand submitted to the ship’s Flag StateAuthorities, Singapore, in the nearfuture.ODFJELL quarterly19

What they actually doPort Captainfor Odfjell in the Middle EastBy Willy Thorsen, Port CaptainFrom mariner to Port CaptainIn March 1998, I decided to go ashoreand accepted the job as Port Captainfor Odfjell in Saudi Arabia andBahrain. In Saudi my position wassplit: the bulk part of my tasks wasrelated to the operational side ofthings, but I also assisted in commercialmatters. At that time the officewas located in Riyadh in the inland,and I had many a long drive to andfrom the port city of Al-Jubail to serveour ships, about 480 km each way.Al-Jubail is our main port in SaudiArabia, located on the east coast ofthe country.In September 1998 my family joinedme, and we had almost five goodyears in Riyadh until the unfortunatebombings in May 2003. We lost somefriends in these attacks, and to ensurethe family's safety we decided toleave the kingdom. Since Odfjellalready had an office in neighbouringDubai, it was natural for me to moveWall-wash on board Bow Pumathere to continue my duties as PortCaptain for the Middle East region. InDubai my tasks have changed a little.I now work only on operational issueswith responsibility for Saudi Arabia,Bahrain, Iran, Oman, Qatar and theUnited Arab Emirates. However, ifneeded I can of course also assist onthe commercial side.ODFJELL quarterly20NCC Yamamah discharging in Bandar Imam Khomeini, Iran

The main duties of a Port CaptainThe overall responsibility of a PortCaptain is to ensure that the vesselscalling our area have as quick, smoothand safe operation and turnaround aspossible. Time is money, both forowner and charterer, and there ismuch to gain by minimising time inport. It is important that each ship hasreceived all necessary information foran efficient cargo operation, likedensity of cargo, correction factors,loading temperatures and wall-washrequirements, in order to be 100%prepared to do the job expected ofthem. Another crucial issue is thecommunication between ship, agent,port and terminal; everybody involvedshould be kept well advised of thevessel’s progress at all times, to avoidany delays and to make sure cargoand vessel tanks are ready. My job isto advise and assist the ships, and ifrequired I also go on board to help. Inthis part of the world it is not alwayseasy to have vessel tanks ready to loadsome sensitive cargo, e.g. methanol.To be on the safe side we need tocheck the cargo tanks 3-4 times, sometimeseven more, prior to arrival. Weare talking about 100 to 180 wallwashesbefore we can present thevessel ready for loading. It goeswithout saying that climbing in andout of cargo tanks in 40-50 degreesCelsius is not an easy thing, but it isdefinitely good exercise. However, wedo what is necessary to make surethat we transport any cargo from A toB and deliver it in the same conditionas it was loaded.It is very important to establish goodand regular contact with the localagents, port authorities and surveyors.This makes it much more easyto solve problems locally in a quickand efficient way, so that all involvedparties are happy. As one of thelargest players in the global bulkliquid petrochemical transportationand terminals market, Odfjell candraw on our many years of experiencefrom the rest of the world to showhow we can improve the efficiency inthis region. There is always room forimprovement:although doing a good job, we can doit even better next time. If we try tobe one step ahead all the time, wewill in my opinion always be betterprepared to handle challenges andtake care of opportunities.The commercial and operational sidesof our business go hand in hand, andit is crucial that we do our best to allocatethe optimal hardware for the jobin hand. If we select the appropriatevessel in respect of ETA and lastcargoes to start with, we will minimizeor even avoid any unforeseendelays. Odfjell has about 150-200port-calls to the Middle East regionper year. I have to say that I'm proudof our vessels' performance. As anexample; in 2003 we had no tankrejection on any of our ships loadinghere.Future challenge in the Middle EastThe petrochemical industry in theMiddle East is going through a rapidand extensive development, and thevolumes of chemicals to be shippedout of this region will be more thandoubled in three years time. From alogistics point of view, the mostimportant thing will be to developthe necessary storage and shippingfacilities to make sure that each portcan handle as many ships as possible.After all, it is in the best interest of allparties to ensure the quickest andsafest turnaround of the vessels.Finally, I would like to take the opportunityto thank all of you – on boardand ashore - for good co-operationand splendid performance in this partof the world. Keep up the enthusiasm,resolution, drive and good mood, andwe will succeed in the future as well!WillyThorsen wasborn in 1968,and grew upin a fisherman'sfamilyin the smallvillageRørvik inbeautifulTrøndelag(mid Norway). He started hisshipping career as Deck Cadet ona deep-sea vessel in 1989. JoiningOdfjell in 1994 as First Mate, hesoon was promoted to ChiefMate. Since 1998 he has beenPort Captain for Odfjell in theMiddle East. Willy Thorsen ismarried to Anne Merethe, andtogether they have two sons,Georg, aged 8, and Ole,5 years old.ODFJELL quarterly21

Quality SectionQuality Renaissance ProjectPhase 2 HighlightsBy Freddie Fosse, Corporate Quality ManagerBy mid October, allOdfjell business unitshave submitted theirfeedback to ourCorporate Qualityassessment request,providing status asto customer focus,business processes,business process risk, measurement ofquality and supplier quality. The feedbackis considered an important basisfor the next QRP priorities.The main project efforts are currentlywith Odfjell Seachem and OdfjellTerminals.Odfjell Seachem has defined its maincore business processes as fleet planning,chartering and vessel operation,backed by customer follow-up andvarious support processes. The charteringand operations processes are thekey processes currently being reviewed,as they are critical to customersatisfaction, service reliability, profitand safety. The chartering proceduresare now being detailed by a dedicatedtask force headed by MortenNystad. Having recently concluded anextensive internal review, the proceduresfor spot cargo fixtures and contractsof affreightment procedureswill be implemented in the nearfuture. A similar team led by Mr. KnutHolsen is currently detailing theoperational procedures.Feedback from Odfjell Terminalsinvolved the terminals in Rotterdamand Houston. Based on conclusionsfrom the 2004 terminals summitmeeting, the business processes areidentified as “Selling of Tank Space”,“Planning - and Execution ofServices”, “Maintain Facility“, “Secureand Maintain Attitude and RightCompetence” and the “RegulatoryCompliance Process”. Odfjell Terminalswill develop a common businessprocess model to harmonise standardsand practises across the terminals. TheTerminal division will further developand harmonise their Key PerformanceIndicators for subsequent terminalwideimplementation, to identify bestpractises for benchmarking and experiencetransfer purposes across theterminals.The challenge with a project like thisis to break down the project objectivesinto workable and operationalelements for individuals that providesfor harmonised practise and highlevelquality behaviour across thebusiness units.Quality ToolsManagement ReviewODFJELL quarterly22Harmonisation of our quality tools is akey task for the Quality RenaissanceProject. Management Review (MR) isan important tool to enhance organisationalperformance, and we arecurrently focusing on this to harmoniseand improve our practise acrossthe organisation. I know for sure thatvarious parts of the organisation carryout MRs and have been doing so forquite some time. Even so, a harmonisedpractise will be beneficial forseveral reasons: it will provide for anefficient review process as well assupport you in complying with therequirements of the quality andenvironmental standards you are orwill be working in accordance with.To utilise MR as the dynamic tool it isintended to be, MR’s should becarried out on a frequent basis. Pastexperience indicates that semi-annualintervals or even more frequentreviews lead to better progress on theefforts and actions decided.Value adding MR’s require planningand preparations, it is a formal reviewwith a pre-defined agenda followedby documented minutes includingactions, deadlines and responsibilities.The content of an MR will vary basedon the type of business and standing.However, there are some issues thatare important to achieve a successfulreview, among which some of themost important include customerfeedback, audit results, processperformance, action status, resourceneeds, and changes affecting thequality management system. Welldevelopedorganisations measuretheir performance through KeyPerformance Indicators that providevaluable information about the stabilityof the business processes and theimpact of an effort towards sustainableand improved performance.The MR is also an important follow-uparena to make sure decisions are actuallycarried out and completed.Remember: a decision is not a realdecision unless it is followed by realaction!The Corporate Quality Section is morethan willing to assist the various businessunits and to support you in yourwork. Consequently it is my intentionto involve myself in future managementreviews on an annual basis.

Officers Safety Seminar in ManilaBy Kjell Johansen, Odfjell ManilaTo follow up on Odfjell's focus onsafety awareness, Odfjell Manila hasfor the last six months arrangedseveral workshops with topics solelyrelated to safety. This enhancedsafety initiative culminated with asafety seminar for vacationing Filipinocrew in Manila on November 16th and17th.During the seminar a number ofsafety topics were discussed; Odfjellpolicies, culture andawareness, operationaland administrationalprocedures and performancestatistics. Thespeakers included Mr.Jan D. Lorentz, SeniorVice President ShipManagement and severalother Bergen andManila managers. Ourvalued customer BPalso contributed onproduct handling.The seminar stressedthe importance of ensuring thateverything is taken into account anddone to guarantee a safe operation.This includes the following keyelements:Instructions given are understoodProcedure(s) are followedChecklist(s) are properlyused/filled inPPE and safety equipment is usedEquipment/ tools are in goodworking conditionThe seminar gathered a large and attentiveaudienceFirefighting and/or pollutionprevention equipment ismaintained on stand-byWhenever a task categorized ascritical is carried out, anexperienced officer shall supervise.However, it does not stop here:safety will always be at the top of theagenda during future workshops andseminars.The participants contributed actively withquestions and commentsOdfjell Terminals (Korea) -380 days with zeroaccidentsThe zero-accident recording board.On October 16th, Odfjell Terminals(Korea) reached the target stipulatedby the Korean Industrial Safety regulationsof operating for 380 consecutivedays without any accidents. This isthe second time since the start of theterminal that OTK has achieved thisambitious feat, the first time being onJuly 11th 2003.To celebrate our outstanding safetyperformance, the company presentedeveryone with a letter ofgratitude from the CEO,Mr. Rob Meijboom, and agift-certificate as an award.At a particular ceremony,Safety Health EnvironmentReceiving the Safetyaward. From left: RobMeijboom (President/CEO),YC Gill (Safety HealthEnvironment Officer),SK Lee (ManagerTechnical/MaintenanceDepartment)Officer Mr. YC Gill received a safetyaward from the Korean Ministry ofEnvironment.OTK always emphasizes the importanceof safety, not only for theemployees but equally essential fortheir families and the community as awhole. We will keep up our safetywork procedures as well as the outstandingperformance as a continuousaim for the future, to further developour terminal to an even better andsafer place to work.By end November Odfjell Terminals(Korea) has continued avoiding anyaccidents, hence actually reaching 424consecutive days without Lost TimeInjuries.ODFJELL quarterly23

Bow Hunter receives BP safety recognitionBy Dave EllisOn October 12th, Capt J. P. Asenciaccepted, on behalf of the officersand crew of Bow Hunter, an awardfrom BP Chemicals. The award wasprovided by BP’s Luis Sierra, RegionalVice President Marketing and JeffFoshee, Director of Logistics, in recognitionof Bow Hunter's attention tosafety during her handling of BPcargoes while loading at OdfjellTerminals (Houston). BP was not ableto attend on board the vessel duringthe recognition, so Odfjell's SveinAage Daae, Dave Ellis, Knut Dybvikand Peter Waugh presented theaward and extended congratulationsto the Captain.From left: Svein Aage Daae, Knut Dybvik, Capt. J. P. Asenci,Dave Ellis and Peter Waugh.Odfjell Terminals (Korea)Celebrates the 500th vessel callingBy Trond Garshol, Odfjell KoreaOn October 5th 2004, our Odfjell Asiaemployed vessel Bow Pilot calledOdfjell Terminals (Korea) for loadingdimethyl cyclics (DMC) as vesselno.500 to berth at OTK since the openingof the terminal.The terminal arranged a ceremony onboard the vessel, with OTK’semployees and the crew. CEO of OTK,Mr. Rob Meijboom, presented CaptainRogelio H. Posing with flowers, OTK’sbanner and a bottle of OdfjellVineyards Armador. While Bow Pilotwas staying at OTK, Capt. Posingshowed all visitors around his nice andtidy vessel.Bow Pilot at OTK.From left: Eric S. Cruz (Chief Officer), Robert D.D. Cuenco(Chief Engineer), Rogelio H. Posing (Captain),Rob Meijboom (CEO OTK)ODFJELL quarterly24

The HiveWe all know we have an industriousChairman “busy as a bee”. DanOdfjell in fact is a devoted hobbybeekeeper who shares with us, fromtime to time, from his surplus honeycrop. In the picture to the left we seehim next to a strange-looking woodcarvingwhich calls for some explaining,of course... At a dinner banquetfollowing the naming of M/T BowSpring, Stocznia Szczecinska, ourlong-time and excellent shipbuilders,presented Mr. Odfjell with a most surprisinggift, this wooden figure. Sowhat is the story?We must realize, first, honeybees havebeen known and useful to mankindfor honey, wax, propolis, pollen andpollination since times immemorial.Bees have been ascribed mythicalqualities, their products serve medicalpurposes, and many a thesis aboutbees have been written and rewrittenup through the ages, since Aristotle(384-322 B.C.) and even before. Inmost pre-capitalist societies wherebeekeeping has been prevalent,honey has been used in the paymentof taxes and tithes. As recently as inthe 1980s, when the vicious Mujahidinstill ruled Afghanistan, would takeone-tenth of the beekeepers' honeyharvest.In any event, the magical thing aboutbees is that, even after some 8000years of attempts to domesticatethem, they never really do work formen. It is impossible to enslave them.You have to work “along with them”and, only to a certain extent may youmanipulate them.way, bees would live in a human body,flying in and out of the chest or thenavel, as can be seen in our picture.These human hives were made elsewherein Europe too, and sometimestook the form of the body of theVirgin Mary.The favourite drink of the Vikingsincidentally was mead, an alcoholicbeverage made from fermentedhoney. Most of the mead and honeyconsumed by the Viking times came infact from Poland, and neighbouringcountries.A further curiosity, some believe theword “honeymoon” refers to theancient Viking custom in which thebride and groom would eat honeyedcakes and drink mead for the firstmonth of their betrothal. Till this day,in Morocco the newly married groomis supposed to feast on honey for itsaphrodisiac effects.In conclusion, perhaps we can say ourChairman seems to be on to something."The Hive" is also the title of a bookpublished this year, with the subtitle"The Story of the Honeybee and Us".Stone-age men hunted down wildbee nests in the woods. The earliesthives in Poland were of the so-calledupright-log type. Being a heavilyforested country, Poland’s honeyhuntersnaturally associated bees withthe hollowed-out trunks where thebees usually made their homes. Whenthe Poles graduated to the first primitiveform of hive beekeeping, theyhollowed out their own tree trunksand set them, upright, in rows tomake an apiary. In early times, thiswas all that they did. But Polishbeekeepers, and they are renownedfor having contributed greatly tomodern-day beekeeping, grew veryfond of bees, and sometimes wantedto express this fondness. So occasionally,before settling a swarm, theywould carve out the hive log into theshape of a giant human being. In thisHere is HAJDUK.ODFJELL quarterly25

from aroundthe wolrd26GreetingsODFJELL quarterlyOdfjell sponsors «UnderstandingShipping» bursaries By Mel PinksOn Monday September 13th I had thepleasure on behalf of Odfjell Seachemto award students at Tisand HighSchool in Esikhaweni with diplomasfrom the Institute of ChartereredShipbrokers (ICS), for successful conclusionof the course "UnderstandingShipping". In 2003 Odfjell Seachemsponsored seven students with bursariesfor the ICS course, and in 2004 thisnumber has been increased to ten.Odfjell pays monthly visits to theschool giving lectures on various areasof shipping, e.g. ship chandlery,Headmaster Dennis LeRoux, MelPinks, Slindokuhle MzoneliOdfjell has been involved in terminalbusiness in South America since 1968,and is today operating a total of ninetank terminals in the region. The shippingactivities, in addition to ouragency, voyage calculations,etc. When possiblewe also arrange visits onOdfjell ships callingSouth Africa.The maritime studiesform a valuable part ofpre-matriculate education,especially in schoolslocated near ports.Tisand is just some 20 kmfrom Richards Bay, andsuch courses make thestudents aware ofcareers available in themaritime sector prior toelecting their field fortertiary education.South America Summit Meetingin Buenos Aires By Ronaldo Gimenes, Odfjell Brasildeep-sea operations, include OdfjellVapores and Flumar.In connection with the APLA (LatinAmerica Petrochemical IndustryThe participants of the South America summit.Front row from left: Roberto Ferreira, Bjorn Baug, Ronaldo Gimenes, MarceloPedriel, Adrian Zocchi. Back row from left: Ary Serpa Jr., Bruce Clark, CarlHenrik Odfjell, Knut Ovrebo, Arturo Sciaroni, Horacio Marquez, AndresContador, Arild Viste, Carlos Bussoli, Alessandro Pereira de Souza.Maureen Stilwell, Terrence Mzimela, SphamandlaMpanza, Freedom Dube, Gordon Oxley,Slindokuhle Mzoneli,The general behaviour, manners andenthusiasm shown by the Tisandstudents are exemplary, and it is anabsolute pleasure for us to play a role,albeit small, in the furtherance of theeducation at Tisand. It is quite remarkableto see the level of devotionshown to the Maritime Studies Courseby Tisands' resident lecturers CaptainGordon Oxley and Maureen Stilwell,whom together have a wealth of seagoingand land based maritime industryexperience. Odfjell would alsowish to pay tribute to the SchoolHeadmaster Mr. Dennis Le Roux forthe very tight and well-structured shipthat he runs. It is our hope that theeducational authorities continue toavidly support maritime studies, bothat Tisand and other schools offeringthe subject.Association) Conference in BuenosAires November 7th to 9th, we arrangedon November 10th an internalmeeting with colleagues from shippingand our terminals in SouthAmerica. The main purpose of themeeting was to focus on cooperationand to further facilitate logistics solutionstowards our customers. Theparticipants presented statistics andstrategy plans for their respectiveareas, shipping and terminals. Anumber of fruitful suggestions wasdiscussed, and we have prepared anaction plan on how to proceedfurther.This kind of meetings is an importanttool to further enhance the day-todayrelationship between shippingand terminals. We thank all participantsfor taking the time to preparematerial, and we look forward to thenext gathering. Our special thanks toour Argentinean friends responsiblefor organising both the APLA attendanceand our subsequent meeting.

Acrylonitrile handling seminarin SingaporeBy Einar SamsetOn November 16th, Odfjell Singaporehosted a "train the trainer" seminaron the precautions and proper handlingof acrylonitrile. Odfjell is shippingabout 340,000 mts. of acrylonitrileannually, a product that needs to behandled carefully to avoid personnelboth on board and ashore beingexposed to toxic gases or liquids. Theseminar took place at Odfjell'spremises in Singapore, and we werepleased to get Mr. Vern Shirley of BPChemicals to do the training. Inaddition to our own staff inSingapore, there were invited participantsrepresenting ship managerswith vessels on time-charter to OdfjellAsia, as well as representatives fromOiltanking Odfjell Terminal Singaporeand Odfjell Korea. The seminar wasdivided into four blocks, where Mr.Vern Shirley focused onthe hazards of acrylonitrile,signs, symptoms and medicalresponse to acrylonitrile exposure,marine incidents, andloading/unloading of acrylonitrile.The feedback from the participantsafter the seminar was very positive,and many expressed the value offurther training also in similar issues.We have not yet decided the agendafor our next bi-annual meeting, butfor sure, it will include some topicrelated to safety - closely connectedto our business.The attentive audience.Odfjell Freshwater FishingBy Torgrim Jensen, Chief Mate Bow CedarThis is the tale of the deep-seaseamen who went freshwater fishing.The idea and plans for the expeditionwere born more than one year ago.Colleagues and acquaintances, intotal eight brave men including Capt.Gunnar Ove Kortsen, Capt. JohnnySolbakken and my father, ex. PumpmanRolf Magnus Jenssen, wererecruited, and on August 23rd we setoff.The trip from Storbørja to Borkamoennear Brønnøysund turned out a verytough trip with hours and hours ofwalking, but also a magnificentexperience. The first day started on afishing boat to reach the startingpoint, and after some seven hours ofdrudgery we reached our first camp.The next day we walked intoStrompdalen, a valley with anamazing wild nature and even wilderriver. The weather improved frompartly clouded with a few rainshowers,to clear blue sky with the sunshining in the mountains, and encouragedby this we finally reached thewaterfall Breilifossen. The uphillahead was something we didn’t lookforward to, so a good rest with freshcoffee was important. Three hourslater, and after being convinced atleast a hundred times that we werethrough, we finally reached the topand soon camped at lake NedreBreivatn. After a quick celebrationwith our shot-glasses, tents were putup and the fire made, and after agood meal we prepared the fishingrods to get down to "business".The next days were spent fishing,eating fresh trout, telling firesidestories and just enjoying the beautifulweather in the spectacular nature.The sun was shining and the temperaturewas much higher than expectedat this time of the year. On the fourthday, when reaching our final destination,I think we were all exhaustedbut happy to have been a part of thisadventure.The Odfjell team with some of today'scatch. From left: Rolf M. Jenssen (exPump-man), Johnny Solbakken (Capt.Bow Cedar), Torgrim Jenssen (ChiefMate Bow Cedar) and Gunnar OveKortsen (Capt. Bow Flower).ODFJELL quarterly27

The long way back- Kenneth Sandmo returns to seaWith one of the doctors at thehospital in SalvadorIn July 2003 Deck Cadet Kenneth Sandmo was severelyinjured during a working accident on board Bow Cecil.Despite his serious injuries he managed to fight his wayback through strong will-power and dedicated training,and only twelve months later Kenneth Sandmo was ableto go on board again and return to active duty. OdfjellQuarterly has met with this determined member of ourseafaring colleagues during a safety course in Bergenearly November.By Klaus WalderhaugODFJELL quarterly28The accidentOn July 12th 2003 Bow Cecil was atthe TGL terminal in Aratu, Brazil.Among the crew was Deck CadetKenneth Sandmo, aged 24 at thetime. 'I had completed four months ofmy cadet period on board with justone week to go before returninghome', he says. Early in the afternoonthat day he took part in a routine testof the MOB-boat lowering system. Itwas when they had let the boat sometwo to three metres down that thehydraulic accumulator tank cameloose from the davit and hit the deckbefore crashing into the MOB-boat.The cylinder, which weighs about 150-200 kilos, hit Mr. Sandmo on his rightside and arm and he was thrown intothe water. 'All went black when it hitme', says Mr. Sandmo to OdfjellQuarterly. Luckily two crew-mates onthe main-deck saw what happened.They threw two lifebuoys after himbefore jumping overboard to assistand rescue him. With a crushed pelvisand a severely injured arm he wastaken to hospital in nearby Salvador.'Being hit by the cylinder was a strokeof bad luck', he comments soberly,'but I was also fortunate. If it hadstruck me in my back I would probablyhave been crippled for life'.The recoveryKenneth Sandmo was operated inSalvador, and the extensive surgeryinvolved piecing together his crushedpelvis like a jigsaw puzzle. Odfjell didthe best to mitigate his hardships andarranged for his fiancé and closestfamily to visit him at the hospital.'I am very grateful for Odfjell'ssupport during this difficult period',he says. 'In particular GerdKristiansen, who really went out ofher way to help me and my family'.After one month hospitalised in Brazilhe was flown back to Norway. First hestayed one month at the hospital inTromsø, followed by three months inTrondheim, before he could returnagain to his hometown of Tromsø tostart the convalescence.His determination to achieve a fullrecovery was apparent even from hisinitial hospital stay in Brazil. ‘Thedoctors made it clear to me that Ineeded to train hard to be able to getup and be functioning again', Mr.Sandmo remembers. 'But in thebeginning I underestimated the injuriesand expected to recover muchsooner'. He could be awake at nightfrustrated with not being able tomove his arm properly. When beingtold that he probably would be in awheelchair until Christmas, he simplyrefused to accept it. The training waslong and hard. He recollects: 'First Imoved around with a rollator, then oncrutches, before I was able to startwalking again without any aid'.The returnDespite the injuries and the pain,Kenneth Sandmo was never in doubtthat he would return as a mariner.The trial was to pass through the"needle's eye" to get his health declarationallowing him to go to seaagain, but he got this without muchado. And in July this year, only twelvemonths after his accident, at last hecould embark Bow Century where heis now Third Mate. 'It felt very goodand natural to be back, and things areworking just fine now', he says.His hip is still a bit stiff, and he isexperiencing some nerve problems inhis left leg. 'So I'm not able to move asfast as I used to, although things haveimproved remarkably only during thefour months since I started workingagain'.Odfjell Quarterly wishes KennethSandmo all the best in the future,with his words of advise to anyoneexperiencing similar difficulties well inmind: 'It's all about thinkingpositively'.Back to work, during an onshorefire-drill in Bergen. No, the photoisn't blurred, but there sure was alot of smoke in the room...

Odfjell Quarterly BrainteaserBow Tricky has a crew of 24 officersand rating, twelve Filipinos, sevenGreeks and five Norwegians. Duringtheir off-duty hours, five crewmembersplay in the ship's rock'n roll band,half the crew are members of the BowTricky karaoke club and one third playin the basketball team. Among the 18crewmembers participating in at leastone of the three activities, none do allthree and only seven crewmembersdo more than one. None of the latteris Greek, but at least all the Greekstake part in some activity. The activeones among the Norwegians all participatein more than one pastime.There are twice as many Greeks asNorwegians in the band. If fourFilipinos do neither, one Greek playsbasketball and three times as manyFilipinos as Norwegians sing karaoke;how many Filipinos are in the rock'nroll band? How many Greeks singkaraoke? And how many of theNorwegians belong to the basketballteam?Off-duty activities onBow Trickyvery latest. The winner will, in additionto the honour of being reckonedamong the brightest brains in thecompany, be awarded the prestigiousOdfjell Quarterly Brainteaser prize,which is a very nice Cross ballpointpen. Good luck!We await your suggestions for solutionsbefore March 10th 2005 at theSolution to the previousOdfjell Quarterly Brainteaser:In the previous issue we asked thereaders to help our hero Fan Oddbowestablishing in just one single questionwhether or not there really is atreasure on Wabble Island, withoutknowing whether the respondent is atruth-telling wibbler or a lyingwobbler, and which of 'zil' and 'ding'means 'yes' and which means 'no'.There are probably several solutions,but one way to do it is to have Fan askthe question: "If I asked you if there isa treasure on the island, would youthen answer 'zil'"? Let us say thatthere really is a treasure on the islandand that the respondent is a truthtellingwibbler. If 'zil' means yes, 'zil'would be the response to whetherthere is a treasure, and thus, 'zil' (yes)would be the truthful reply towhether he would answer 'zil' to thator not. If 'zil' means no, then 'ding' (inthis case yes) would be the trueanswer to whether or not there is atreasure, and, when asked if he/shewould answer 'zil' (i.e. no) the truthtellingwibbler would say 'zil'.What if the respondent is a lyingwobbler? If 'zil' means yes, and therereally is a treasure, then the wobblerwould lie and answer 'ding' (no) towhether there is a treasure. But whenasked whether he would answer 'zil'he would lie again and say 'zil' (yes). If'zil' means no, the wobbler's responseto whether there is a treasure wouldbe 'zil', but when asked whether hewould answer that he would lie againand say 'zil'. Hence, no matter if therespondent is a wibbler or a wobbleror whether 'zil' means yes or no,provided there is a treasure on theisland the answer to Fan's questionwould always be 'zil'. Based on thesame argument, if there is no treasureon the island the answer wouldalways be 'ding'.Unfortunately, and to my great disappointment,we have only receivedtwo suggestions to solutions this time,thus bringing the response rate downto less than 0.03 % or something likethat. And I thought this was a fun andinteresting puzzle. The respondents,both ladies based east of Suez andwest of Panama, suggest trying tomake the wabbler show where thepossible treasure is hidden, if necessaryby promising a cut in the riches.Although perhaps an effectivestrategy in other parts of the world -money is indeed a strong incentive -I'm afraid it wouldn't work onWabble Island. A wibbler wouldalways tell the truth whilst a wobblerwould always lie, no matter what. It'ssimply in their nature.To conclude, no prize will be awardedthis time.ODFJELL quarterly29

SEASONS CELEBRATIONS OChristmas at seaBy Captain Otto Vollan, NCC MadinahLast year NCC Madinah leftRotterdam on December 23rd for avoyage to Durban. With two ladiesand the Catering Superintendent onboard, this sure looked to be a niceChristmas in open sea. However, thebeginning of our journey could havebeen better. Radar no. 1 broke downwhen the Maas pilot disembarked,and radar no. 2 said goodbye in DoverStrait, with no possibility for the ship’screw to do the repair. Luckily wedidn't have one single hour of poorvisibility during the entire voyagedown to Durban, but we had to makesome adjustments to the passage-planto avoid the most densely used sealanes.Our lady passengers did an excellentjob preparing for the celebrations,and nobody could have decorated forthe holiday season better than them!Their presence also further improvedthe already good tone on board; it isremarkable how “rough sailors”change their behaviour when ladiesare around.Father Christmas and his brotherhanding out the presents.Captain Vollan and his wife GudrundancingThe Christmas Eve in the Bay of Biscay,with flat sea and bright, starry sky,brought a warm and friendly atmospherewe'll never forget. The ChiefSteward and his crew had preparedan excellent Christmas dinner, andafterwards it was time for someChristmas merriment. It sure wasappreciated when the ladies dancedwith each and every one of the crew.Crew from all departments helpedserving behind the bar. The Christmasgift, the sunglasses already in use.Of course, Father Christmas (and hisassisting brother) came to present theChristmas gifts from the Company.Indeed, a night toremember.Sinterklaas celebrations in RotterdamOn November 27th, Odfjell Terminals(Rotterdam) arranged the traditionalSinterklaas party for the staff andtheir children, to celebrate the returnof Sinterklaas and his servant ZwartePiet from their retreat in Spain. Alongwith them they bring plenty of nicegifts and sweets for the good children.Naughty kids gets smaller presents,or, if really bad, may be takenaway in Zwarte Piet's bag back toSpain. We are confident that none ofthe OTR offspring suffered such afate.ODFJELL quarterly30Sinterklaas is also friendly to thesomewhat older childrenWho's afraid of Sinterklaas?Zwarte Piet finally released afterbeing stuck in the chimney

N BOARD AND ASHOREChristmas preparations on Bow PilotEager crewmembers on Bow Pilotwere putting up the Christmas decorationsalready 34 days beforeChristmas eve, to get the wonderfulChristmas Spirit of joy and peace.Hopefully they have secured itproperly, to ensure it makes itthrough to Christmas.Christmas in ManilaChristmas in the Philippines revolvemainly around the spirit of giving andmerry-making. Manila serves as a hubthat blends the diverse FilipinoChristmas traditions, and thus, iscapable of illustrating how thisblessed occasion is celebrated throughoutthe 7,000 plus islands that composethe Philippines.After 350 years of being the centre ofthe Spanish colonial rule in Asia, it isnot surprising that the city of Manilacelebrates Christmas with muchresemblance of what was the practiceat that time. Misa de Gallo, for instance,is the pre-dawn mass celebratedduring the nine days precedingChristmas. We also have severalinternational customs, like theChinese Ampao (red envelopescontaining bills for the children) andthe US/European traditions of SantaClaus, the Christmas tree and socks bythe door and window sills.As early as September, public areaslike shopping malls and bus terminalsstart setting up their decorations andbegin playing Christmas songs. Theold city of Manila, Intramuros, has allchambers, gates and dungeonsturned into leisure parks and venuesfor public performances. The WorldHeritage San Agustin Church, theoldest stone church in Manila, offers asolemn mood within its premises,with the scenic decor made ofPhilippine handicrafts from variousregions.A few metres away from theIntramuros’ walls is the famousManila Tourist Belt. This area iscomposed of the Ermita and Malatedistricts, where also Odfjell Manila'soffice is located. Both districts offerantique and art galleries, souvenirshops, cafés, music and karaokelounges, and performance theatres.Restaurants and bars are busy withvarious corporate, personal, familial,and ad-hoc gatherings in celebrationof the season.Shopping expeditions, being thefavourite pastime of Filipinos in generaland even more so at this time ofthe year, add spice to the Christmascraze. Countless bargain opportunitiesare offered in malls andtiangge (flea markets) where a lot ofaffordable items can be bought foreither exchange gifts or corporategive-aways.Another significant part of theChristmas craze in Manila is thetraffic. Major streets and side roadsare clogged up even outside rushhoursduring this season. As everybodyis out for their usual last-minuteshopping and social gatherings, andvendors are everywhere, the trafficsituation is chaotic. Indeed Manilaturns itself to an urban jungle duringthe most important holiday of theyear.Although experiencing growing socialproblems, the Philippines still manageto maintain the reputation as theland of smiles. While Christmas songsand stories mention of snow, sleighs,jingle bells, and reindeers, Christmasin the Philippines has gone beyondthe usual holiday celebration.Christmas has become a state of mindshared by the entire nation, cherishedby the people, and celebrated with alltheir hearts.ODFJELL quarterly31

The Personnel CornerNEW HIRESHeadquarters BergenMona EllingsenEkerhovdShip Operator01.11.2004Ronny JohansenShip Operator01.11.2004Anne-Kristine ØenInformation Officer01.11.2004Ole Kristian AarnesShip Operator15.11.2004Odfjell Terminals (Rotterdam)Per Ove SjåstadShip Operator15.11.2004Dag NesfossenPMS Surveyor01.12.2004Sofie DemeulenaereDemurrage Analyst01.12.2004Jeroen KensmilAssistant HeadProduction PID01.09.2004Arthur BoermaManipulationCo-ordinator01.09.2004Huub van VeggelQuality Manager01.11.2004Odfjell SingaporeRELOCATIONSTineke Haazen-BroekhuizenDesk Co-operator08.11.2004Frank PensonDayshift-operator01.12.2004Priscilla Chew LianCheeShip Broker01.10.2004Helge OlsenRelocated toSingapore15.11.2004Ove NormannTemporary relocatedto Singapore15.11.2004IN SERVICE FOR ODFJELLODFJELL quarterly32Frits ForselCustomer RepresentativeOdfjell Terminals (Rotterdam)01.11.1979Harry van KapelAdministrator BOdfjell Terminals (Rotterdam)05.11.197925YEARSJurgen SchrageC-operatorOdfjell Terminals (Rotterdam)01.12.1979

Impressions from theBergen headquarterdockingThe upgrading and reconstructionof the Bergen office buildinghas been going on since thissummer, and we are happy tosee that the project is well on itsway. Adding a fourth floor tothe building, while keeping businessgoing at the same time, is achallenge. Needless to say, as aresult we have some noise, dust,disturbances and even at onetime leaks, although the OdfjellBuilding Team and the workersdo their utmost to mitigate anyproblems. We still have a longway to go before the project iscompleted, but anyhow wewould like to present somepictures giving an impression ofthe process and how the buildingis going to appear.Haakon Ringdal and GunnarMjaaseth, inspecting theprocess at an early stage ofthe project.What will soon becomeoffice space.Editor’sCornerAt this time of year I tendto dream of warmer latitudesand a far moreagreeable climate thanwhat the Bergen weather-godscurrently haveto offer. Having lived all my life inScandinavia, it is tempting to imagineChristmas somewhere on the southernhemisphere as something of a bliss. Wakingup to eternal sunshine, going to work inshorts and t-shirt, popping out duringlunch-break for a stroll along the beach,maybe even a short swim. In the afternoonit's time for barbequing and drowsing inthe shade, while waiting for Santa Claus (nomore puns, please! I've heard them all) toshow up dressed in his red hot-pants andHawaii shirt with Rudolf and his reindeerfriends donning their Ray-bans. And afterhaving opened the gifts, a dip in the poolbefore it's time for food and then to bed.Well, before all you colleagues down therestart sending angry e-mails; I know that it'sprobably not like that all the time. Butwouldn't it be nice? Still, wet and miserableweather has its few but definite advantages.Except avoiding any danger of gettingsunburnt, it's quite stimulating to theproductivity; when it's so unpleasant outsideyou may as well work.The attentive reader will have noticed thatwe have made some substantial changes tothe layout of the magazine this time. This isthe very first issue of Odfjell Quarterly to beproduced by MacBox AS, and we havetaken the opportunity to brush up thedesign. The Editorial Team is happy andsatisfied with the new look, and we hopeand trust you will agree with us that thenew Quarterly is even fresher and nicerthan the old one. Although the layout isaltered, we work hard to maintain theeditorial line and quality of the content.However, as mentioned many times before,for us to be able to continue producingOdfjell Quarterly, we simply have to havemore interaction with and contributionsfrom our readers. Remember that all of ushave a responsibility to submit material tothe magazine, thus we expect everybody tobe more active in sending articles andpictures.Finally I would like to send season'sgreetings to all our readers. And if youhappen to be short of New Year's wishes, inaddition to quit smoking and startexercising; how about having it as a goal toprepare something for each issue of OdfjellQuarterly? It sure would be appreciated!RegardsKlausODFJELL quarterly33

Fleet, terminal and container overviewODFJELL quarterly34GLOBAL TRADESTAINLESS NUMBERSHIPS BUILT DWT CBM STEEL,CBM OF TANKSOwned: Bow Spring* 2004 39 942 52 126 52 126 40Bow Star * 2004 39 832 52 126 52 126 40Bow Sun 2003 39 842 52 126 52 126 40Bow Firda * 2003 37 427 40 515 40 515 47Bow Chain * 2002 37 518 40 515 40 515 47Bow Favour 2001 37 438 40 515 40 515 47Bow Century 2000 37 438 40 515 40 515 47Bow Fortune 1999 37 395 40 515 40 515 47Bow Cecil * 1998 37 345 40 515 33 236 47Bow Flora 1998 37 369 40 515 33 236 47Bow Cardinal 1997 37 446 41 487 34 208 52Bow Faith 1997 37 479 41 487 34 208 52Bow Cedar 1996 37 455 41 608 34 329 52Bow Fagus 1995 37 375 41 608 34 329 52Bow Clipper 1995 37 166 41 492 34 213 52Bow Flower 1994 37 221 41 492 34 213 52Bow Sea 1978 27 950 34 656 21 035 43Bow Hunter 1983 23 002 25 026 21 031 28Bow Pioneer 1982 23 016 25 965 20 969 28Bow Eagle 1988 24 728 32 458 19 662 25Bow Viking 1981 33 590 40 956 21 745 36Bow Fighter 1982 34 982 41 184 6 299 34Bow Lancer 1980 35 100 42 468 6 252 34Bow Heron 1979 35 289 42 109 5 882 31Bow Cheetah 1988 40 258 47 604 - 29Bow Leopard 1988 40 249 47 604 - 29Bow Lion 1988 40 272 47 604 - 29Bow Panther 1986 40 263 47 604 - 29Bow Puma 1986 40 092 47 604 - 29Bow Petros 1984 39 722 47 963 - 28Bow Transporter 1983 39 738 47 963 - 28Bow Lady 1978 32 225 41 354 3 077 42Bow Princess 1976 32 362 42 480 1 400 42Bow Peace 1987 45 655 52 173 2 167 23Bow Power 1987 45 655 52 173 2 167 23Bow Pride 1987 45 655 52 173 2 167 23Bow Prima 1987 45 655 52 173 2 167 23Bow Prosper 1987 45 655 52 173 2 167 23Bow Fertility 1987 45 507 52 173 2 167 23Bow Fraternity 1987 45 507 52 173 2 167 23Bow Maasstad 1983 38 039 48 866 - 22Bow Maasstroom 1983 38 039 48 866 - 22Bow Maasslot 1982 38 039 48 866 - 22Time-Chartered: NCC Jubail 1996 37 499 41 488 34 209 52NCC Mekka 1995 37 272 41 588 34 257 52NCC Riyad 1995 37 274 41 492 34 213 52NCC Yamamah 1977 28 053 34 656 21 035 43NCC Jizan 1976 28 024 34 656 21 035 43NCC Jouf 1976 28 026 34 656 21 035 43NCC Madinah 1976 28 053 34 656 21 035 43NCC Asir 1983 23 001 24 965 20 969 28NCC Arar 1982 23 002 24 965 20 969 28NCC Baha 1988 24 728 32 458 19 662 25Bow Sky 1977 28 083 34 656 21 035 43Bow Neptun 1976 28 060 34 656 21 035 43Bow Saturn 1976 28 030 34 656 21 035 43Bow Merkur 1975 27 952 34 656 21 035 43Bow Santos 2004 19 997 21 846 21 846 22Bow Americas 2004 19 707 22 050 22 050 36Brage Pacific 1997 17 460 18 620 18 620 24Brage Atlantic 1995 17 460 19 587 19 587 22Isola Blue 2001 26 660 28 115 28 115 27Bow Andino 2000 16 121 17 270 17 270 30Hibiya Park 1990 13 921 16 053 10 721 24Number of ships: 64 2 160 315 2 531 313 1 244 214

YEAR STAINLESS NUMBERREGIONAL TRADE SHIPS BUILT DWT CBM STEEL, CBM OF TANKSOwned: Bow Master 1999 6 046 6 878 6 878 14Bow Mate 1999 6 001 6 864 6 864 14Bow Pilot 1999 6 000 6 865 6 865 14Bow Sailor 1999 6 000 6 870 6 870 14Bow Antisana 1989 8 192 9 899 5 777 22Bow Gorgonilla 1989 8 192 9 899 5 777 22Bow Andes (50 %) 1977 28 060 34 756 21 136 43Bow Pacifico (50%) 1982 18 657 22 929 10 849 31Owl Trader 1982 12 450 14 482 8 070 22Angelim (50 %) 1985 10 259 10 136 6 500 18Araucaria (50 %) 1984 10 259 10 159 6 500 18Jatai (50 %, LPG) 1979 4 452 4 031 - 3Time-Chartered: Bow de Rich 2003 12 452 13 300 13 300 22Bow Wallaby 2003 11 951 13 485 13 485 22Bow de Feng 2002 12 514 13 289 13 289 22Bow West 2002 12 503 13 299 13 299 22Bow de Silver 2000 11 747 12 296 12 296 20Bow de Jin 1999 11 752 12 296 12 296 20Bow Asia 2004 9 901 10 866 10 866 20Bow Singapore 2004 9 888 10 867 10 867 20Bow Wave 1999 8 594 9 225 9 225 20Bow Wind 1999 8 587 9 226 9 226 20Jacaranda (50%) 1978 9 970 9 924 5 877 17Aragas (50 %, LPG) 1983 9 300 8 026 - 5Multitank Balearia 1998 5 870 5 941 5 941 20Multitank Batavia 1998 5 870 5 941 5 941 20Multitank Badenia 1997 5 870 5 941 5 941 20Multitank Bolognia 1997 5 870 5 941 5 941 20Multitank Bracaria 1997 5 870 5 941 5 941 20Multitank Brasilia 1997 5 870 5 941 5 941 20Multitank Bahia 1996 5 870 5 941 5 941 20Multitank Britannia 1996 5 870 5 941 5 941 20Number of ships: 32 300 687 327 395 263 640YARD DELIVERY DWT OWNEROn order: NB Szczecin - B588/III/4 3/2005 39 500 OdfjellNB Szczecin - B588/III/5 9/2005 39 500 OdfjellNB Szczecin - B588/III/6 3/2006 39 500 OdfjellNB Szczecin - B588/III/7 9/2006 39 500 OdfjellNB Szczecin - B588/III/8 3/2007 39 500 OdfjellNB Sevmash #1 9/2007 45 000 OdfjellNB Sevmash #2 3/2008 45 000 OdfjellNB Sevmash #3 9/2008 45 000 OdfjellNB Sevmash #4 3/2009 45 000 OdfjellNB Sevmash #5 9/2009 45 000 OdfjellNB Sevmash #6 3/2010 45 000 OdfjellNB Sevmash #7 9/2010 45 000 OdfjellNB Sevmash #8 3/2011 45 000 OdfjellNB Fukuoka 10/2005 19 700 Time-charterNB Shin Kurishima 12/2005 19 990 Time-charterNB Kitanihon 8/2005 30 000 Time-charterNB Kitanihon 5/2006 30 000 Time-charterNB Kitanihon 9/2006 19 800 Time-charterNB Kitanihon 11/2006 19 800 Time-charterNumber of newbuildings: 19 696 790* Vessel beneficially owned through financial lease.TANK TERMINALSSTAINLESS NUMBERLOCATION SHARE CBM STEEL, CBM OF TANKSOdfjell Terminals (Rotterdam) BV Rotterdam, NL 100 % 1 540 000 31 000 300Odfjell Terminals (Houston) LP Houston, USA 100 % 270 563 81 902 92Odfjell Terminals (Dalian) Ltd Dalian, China 64 % 59 700 5 750 35Odfjell Terminals (Korea) Co Ltd Onsan, Korea 50 % 109 500 2 850 39Oiltanking Odfjell Terminal Singapore Ltd Singapore 50 % 213 000 5 700 51VOTTN Ltd (Ningbo) Ningbo, China 12.5 % 63 500 7 900 32 256 263 135 102 553TANK CONTAINERS8 146 units operated as per 31 October 2004.ODFJELL quarterly35

Offices and addressesMAIN OFFICEOdfjell ASA - Odfjell Seachem ASConrad Mohrs veg 29, P.O. Box 6101Postterminalen5892 Bergen, NORWAYTel: +47 5527 0000Fax: +47 5528 4741Fax: +47 5527 9070(Chartering/Operations)INTERNATIONAL OFFICESOdfjell USA LP12211 Port RoadSeabrook, TX 77586, USATel: +1 713 844 2200Fax: +1 713 844 2211Odfjell Singapore Pte Ltd6 Shenton Way, # 27-08/09 DBS 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 01310-904 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5808Odfjell ShanghaiUnit 2309 23/F CITIC Square1168 Nanjing Road WestShanghai, 200041 P.R. CHINATel: +86 21 5298 4068Fax: +86 21 5261 0288Odfjell Argentina SAAlicia Moreau de Justo 1960Office no. 202 - Puerto Madero1107 Buenos Aires, ARGENTINATel: +54 114 313 7837Fax: +54 114 313 4619Odfjell Australasia Pty LimitedSuite 4, Level 1443 Little Collins StreetP.O.Box 1279Melbourne VIC 3001 AUSTRALIATel: +61 3 9642 2210Fax: +61 3 9642 2214Odfjell IndiaA-26, Nandbhuvan Industrial EstateMahakali Caves Road, Andheri (East)Mumbai 400093, INDIATel: +91 22 5695 4701Fax: +91 22 5695 4707Odfjell Seachem South Africa Pty LtdB & P House84 Armstrong AvenueLa Lucia RidgeDurban 4051, SOUTH AFRICATel: +27 31 572 8180Fax: +27 31 572 8188Odfjell Korea Co LtdRoom 1301, Dongbu-Dadong Bldg.#103, Da-Dong, Jung-GuSeoul, KOREATel: +82 2 775 9760Fax: +82 2 775 9761Odfjell Manilac/o Magsaysay Maritime Corp.5th floor, 520 t.m. Kalaw StreetErmitaManila, PHILIPPINESTel: 63 2 526 9773Fax: 63 2 525 7720Odfjell Dubaic/o Sharaf Shipping AgencySharaf Building, Al Mina RoadP.O. Box 576,Dubai, UNITED ARAB EMIRATESTel: +971 4 351 9785Fax: +971 4 351 9756Odfjell (UK) Ltd14 Headfort PlaceLondon SW1X 7DHUNITED KINGDOMTel: +44 207 823 0605Fax: +44 207 823 0606National Chemical Carriers Ltd CoRoom 301, 3rd Floor, Al-Akariyah Bldg No 1Sitteen Street, Malaz AreaP.O. Box 8931Riyadh 11492, SAUDI ARABIATel: +966 1 477 3934Fax: +966 1 476 4328Terquim SAMolo Sur s/n, Casilla 148San Antonio, CHILETel: +56 35 211 050Fax: +56 35 211 161REGIONAL OFFICESOdfjell Asia Pte Ltd6 Shenton Way, # 27-08/09 DBS Tower 2SINGAPORE 068809Tel: +65 6349 1300Fax: +65 6224 2285Odfjell Ahrenkiel Europe GmbHGurlittstrasse 11Postfach 100 22020001 HamburgGERMANYTel: +49 40 24838 307Fax: +49 40 24838 319Flumar Transportes Fluviais e Maritimos LtdaAv. Paulista 460 - 18 andarCEP 01310-904 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5807TANK TERMINALSOdfjell Terminals (Houston) LP12211 Port RoadSeabrook, TX 77586, USATel: +1 713 844 2300Fax: +1 713 844 2355Odfjell Terminals (Rotterdam) BVOude Maasweg 6, P.O. Box 5010Harbour Number 40403197 KJ Rotterdam-BotlekThe NETHERLANDSTel: +31 102 953 400Fax: +31 104 384 679Odfjell Terminals (Dalian) LtdNo. 3 Binhai North RoadZhongshan DistrictDalian 116001, P.R. CHINATel: +86 411 8262 9701Fax: +86 411 8262 3707Odfjell Terminals (Korea) Co, Ltd136, Cheongyong-RiOnsan-Eup, Ulju-GunUlsan, KOREATel: +82 522 311 600Fax: +82 522 376 636Oiltanking Odfjell Terminal Singapore PteLtd1 Seraya AvenueSINGAPORE 628208Tel: +65 6473 1700Tel: +65 6479 4500VOTTN, Ningbo LtdJetty No. 16 Zhenhai Port AreaNo. 1 Zhaobao Shan Road, Zhenhai DistrictNingbo 315200, P.R. CHINATel: +86 574 627 5929Fax: +86 574 627 5931TANK CONTAINERSHoyer-Odfjell BVOude Maasweg 6, P.O. Box 5025Harbour Number 40403197 XG Rotterdam-BotlekThe NETHERLANDSTel: +31 102 631 600Fax: +31 102 631 699Hoyer-Odfjell BrazilAv. Paulista 460 - 18 andarCEP 01310-904 Sao Paulo SP, BRAZILTel: +55 11 3549 5800Fax: +55 11 3549 5839Hoyer-Odfjell China21C East Ocean Centre588 Yan An Road EastShanghai 200001, P.R. CHINATel: +86 21 6351 9641Fax: +86 21 6351 9747Hoyer-Odfjell Dubaic/o Sharaf Shipping AgencySharaf Building, Al Mina RoadP.O. Box 576,Dubai, UNITED ARAB EMIRATESTel: +971 4 3520 555Fax: +971 4 3511 467Hoyer-Odfjell Singapore6 Shenton Way, # 27-10, DBS Tower 2SINGAPORE 068809Tel: +65 6223 4073Fax: +65 6225 6798Hoyer-Odfjell USA16055 Space Center Blvd.Suite 500Houston, Texas 77062 USATel: +1 281 853 1000Fax: +1 281 853 1199w w w . o d f j e l l . c o m