November/December - DR/INT
By Marsha Cohen
TWO PORT DEVELOPMENT PROJECTS IN QATAR
To meet the demands of the growing cruise tourism industry, Old Doha Port in Qatar is being redeveloped. The Old Doha Port Redevelopment Project has been awarded to a joint venture comprised of DEME and Jan De Nul Group.
The rejuvenated port will serve as a cruise terminal able to accommodate the latest generation of extremely large cruise ships. The redevelopment program is estimated to cost approximately $120 million as defined by the Ministry of Transport and Communication of the State of Qatar. The joint venture MEDCO (Middle East Dredging Company), DEME’s subsidiary in Qatar, and Jan De Nul Group will execute the project. Dredging works will be performed for the realignment of the access channel and a new mooring dolphin structure will be constructed. Work is scheduled to begin in 2018.
In addition, in early September, Qatar’s Emir Sheikh Tamim bin Hamad Al Thani opened the new Hamad Port. DEME conducted the dredging for this port, which is one of the largest ports in the Middle East. DEME’s MEDCO executed dredging and land reclamation works for the new port. The scope of work included the dredging of the 20-kilometer-long (12.5-mile-long) access channel and a Naval Base basin, the land reclamation with dredged materials for an area of approximately 4.5 square kilometer (1.7 square miles) for the construction of the Naval Base, as well as for the new Qatar Economic Zone, the construction of breakwaters at each side of the access channel and rock revetment works at the Naval Base.
The project called for dredging and excavation of some 45 million cubic meters (58.9 cubic yards) of mainly hard rock material and spans a 26.5-square-kilometer (10.2 square mile) area. Located near the Persian Gulf, the oil and gas industry is the backbone of Qatar’s economy and a modern port for importing and exporting these commodities, as well as general cargo, is crucial. Hamad Port development is part of the Qatar National Vision 2030, an initiative dedicated to advancing sustainable development and providing a higher standard of living for the country. AECOM was hired as program management consultant for this US$7 billion new port project.
CEDA LAUNCHES DEEP-SEA MINING INFORMATION PORTAL ONLINE
The Central Dredging Association (CEDA) has announced the inauguration of its online information portal on the potential environmental impacts of deep-sea mining. The online source of high-level information provides a baseline for future projects.
After years of exploitation of terrestrial minerals and metals, these supplies are under tremendous pressure as land-based deposits dwindle. With the decline of the volume and quality of land based resources, the interest and focus of the extractive industry is shifting offshore and deep-sea mining of marine resources is being considered a commercially viable alternative.
CEDA’s Environmental Commission (CEC) is the arm of CEDA that develops and implements its environmental policy. With increasing levels of interest in deep-sea mining from industry and international organizations, the CEC has built an accessible, online source of high-level information on the potential environmental impacts of deep-sea mining. It aims to provide a baseline for future projects. The online portal contains both a high level assessment of potential environmental impacts, as well as suggested mitigation measures. The Information Portal is divided into sections, giving a brief overview of deep-sea mining; an Outline of CEDA’s links to the deep-sea mining industry and how CEDA members are involved; a summary of the key regulatory instruments, and legal frameworks that deep-sea mining operators are required to follow; an environmental management strategy with Guidance from the International Seabed Authority (ISA) on the use of environmental impact assessments; an overview of the typical equipment used in DSM operations; interactive online graphics providing information on the potential environmental impacts associated with deep-sea mining; and a brief summary of ongoing, future and available research programs, industry bodies and research organizations investigating deep-sea mining possibilities.
Various documents, such as a high-level summary of the economic drivers and existing legal framework (as based on the International Seabed Authority guidelines) related to deep-sea mining, can be downloaded from the new website. The online Information Portal can be accessed at: https://www.dredging.org/resources/ceda-publications-online/deep-sea-mining-information-portal.
PAYRA BANGLADESH DEEP-SEA PORT WORK IN JOINT VENTURE WITH JAN DE NUL FOR CHANNEL EXCAVATION
As reported in mid-August 2017 in Bangladesh’s English language newspaper, the Financial Express, the Bangladeshi government is ready with a draft agreement for forming Special Purpose Company (SPC) with a foreign firm for carving out Payra deep-sea port channel.
According to officials, the Payra Port Authority (PPA) will hold majority shares in the proposed joint-venture company. The draft agreement, being reviewed by the Ministry of Shipping, stipulates that the paid-up capital of the Special Purpose Company will be 5 million taka (TK) ($61,000). Reportedly, the port authority will hold a 51 percent share in the proposed Joint Venture Company and the Belgian dredging company Jan De Nul (JDN) will hold a 49 percent share.
Located on the banks of the Andharmanik River of Patuakhali, Payra Port, a small seaport in southern Bangladesh on a channel near the Bay of Bengal, was formally established in 2013. Limited-scale operations started at the port in August in 2016. The port is expected to be developed in phases by 2023.
Officials also said that the deal as framed provides that Jan De Nul will be responsible for the initial funding of the dredging operations while the port authority will be required to obtain sovereign guarantee from the Government of Bangladesh. Apart from initial funding, JDN will be responsible for providing operational guarantee for the dredging-related works. The other stipulation requires the Payra Port Authority warrantee and demonstrate sufficient income flows and resources of the proposed Special Purpose Company to export-credit agencies, banks and other financial institutions.
The draft agreement also provides for the formation of a five-member board of directors for overseeing the operations of the company, with three members coming from the port authority and two from Jan De Nul. The chair of the board will be a director from the port authority for the first year, thereafter the chairmanship will be alternate between Jan De Nul and the port authority. The board will also be responsible for making necessary arrangements for any required additional financing during phases 3 and 4 of the dredging operations. The draft agreement has also specified that both the parties to the joint venture will be able to share their transfers only after the lock-in period of five years is over.
Based on expert opinion, a 14.5-metre draft is required for Payra to become a true deep-sea port. For this reason, the Payra Port Authority signed a Memorandum of Understanding with Jan De Nul Group last year for capital and maintenance dredging. At that time the parties also agreed to establish a joint-venture company, expected to last some 25 years. Shipping Ministry officials said they were now aiming to form the long-awaited SPC by the end of next month after the agreement is reviewed and finalized. This is an example of dredging contractors from developed countries partnering for a longer term with emerging nations in the economic development and improvement of infrastructure.
PIANC CALLS FOR SUBMISSIONS FOR ITS “WORKING WITH NATURE AWARD”
The “Working with Nature Award” will be presented at the 34th PIANC World Congress, which will be held in Panama, May 7 to 12, 2018. PIANC’s EnviCom invites owners, operators and designers to submit their environmentally ambitious navigation infrastructure projects that deserve recognition. Working with Nature philosophy has been one of PIANC’s focal points in recent years. The Working with Nature database that has been developed as part of this initiative is designed to present projects and initiatives that have been implemented. It does not include methodologies.
This is the second time that PIANC has organized this award. The first PIANC Working with Nature Award was granted on 33rd PIANC World Congress in San Francisco in June 2014.
Submissions can be entered at http://www.workingwithnature.pianc.org/wwnprojectprequestionnaire.php and additional information is available at http://www.pianc.org/wwnactivities.php. The submission deadline is December 31, 2017.
IADC PRESENTS WEBINAR OCTOBER 26 ON THE FIDIC BLUE BOOK 2ND EDITION
In 2016, FIDIC published a new and revised version of its “Form of Contract for Dredging and Reclamation Works (Dredgers Contract; Second Edition, 2016). Agreement, General Conditions, Dispute Adjudication and Notes for Guidance.” Two members of the FIDIC task group responsible for this publication share their knowledge of the changes in this newest version of this standard, well-accepted contract manual.
Anyone interested or involved in the management and execution of maritime projects, contract and legal management will gain insights. The 45-minute webinar will focus on the benefits of using the FIDIC Blue Book, the only standard international form of contract, designed specifically for the dredging industry. The improvements achieved through the second edition make it more specialized and align risk with the FIDIC Rainbow Suite. The webinar was presented on October 24 by John Greenhalgh and Tim Maddock, experts in the international construction industry. It is available for download on the IADC website www.iadc-dredging.com.
BOSKALIS WINS SHORT-TERM DREDGING CONTRACT AT CADIZ PORT, SPAIN
In early September, the Port Authority of the Bay of Cadiz (La Autoridad Portuaria de la Bahía de Cádiz) awarded Boskalis Nederland BV a contract for the execution of maintenance dredging in the harbors of La Cabezuela-Puerto Real and the Free Zone, for an amount of 1.194 million euros ($1.43 million). The objective of the intervention is to recover the draft of 13 meters (43 feet) in La Cabezuela and 9.5 meters (31 feet) in the Free Zone. In the case of the dock of Puerto Real, the works to be executed are located in the berths and annexes near the West and South piers; while in the Free Zone will intervene in the berths and near the docks of Poniente and Ribera. Work will also be done in other spaces near the docks to regularize and homogenize the existing terrain.
The last dredging in Zona Franca dates back to 2008 on the Ribera quay, with dredging of to -9.50 meters (31 feet) and, later, in 2012, at the basin, to reach an average quota of -8.50 to 9 meters (28 to 30 feet). The last intervention in the case of La Cabezuela goes back four years to 2013.
Earthwork projects have caused a reduction in depth and with this project the Port Authority responds to the needs of dealers and users of the docks. Work is already underway and Boskalis will have three months to execute the work.