Port of Rotterdam Cargo Increases

By MarEx 2015-07-17 16:20:08

The European economic recovery and lower oil prices has increased throughput at Port of Rotterdam by 6.8 percent during the first six months of 2015. Oil products lead the way with an overall increase of 30 percent, which accounted for nearly a fifth of the total cargo volumes.

Liquid bulk increased by 15.4 percent, crude oil volumes rose by 8.3 percent and due to more refining capacity in Northern Europe and Russia, fuel oil exports increased by 50 percent to 11 million tons. LNG increased by 106 percent due to lower prices in Asia and the port saw a re-export of LNG to industrial clusters in Europe where there has been a change from fuel or gas oils to LNG.

Container throughput increased as well by 3.7 percent in TEUs or 2.3 percent in container tonnage. Rotterdam is the largest port in Europe and its transshipment traffic increased 6.6 percent via feeder ships. With the advent of vessels exceeding 18,000 TEUs, which there are 50 new orders for ships this size, Rotterdam witnessed an increase of box ships exceeding 10,000 TEUs from 35 to 90 in the first six months of the year. Two new terminals came on line this year, which are owned by APM Terminals and RWG Group.

Meanwhile, bulk cargoes fell by -4.9 percent and agriculture bulk had a significant decline of -18.4 percent. Iron ore declined by -3.3 percent and coal fell by -2.2 percent.


China LNG Shares Tumble

By Reuters 2015-07-17 14:38:35

China LNG Group Ltd lost as much as a third of its market value as trading in its shares resumed for the first time since U.S.-based Glaucus Research described the firm was “a startup without any proprietary intellectual property”.

By the midday trading break, China LNG shares were down 18.5 percent at HK$1.19, but recovered from a day-low of HK$0.99. The company was still heading for their steepest decline since July 8, when Hong Kong stocks suffered its largest one-day drop since October 2008.

“The company siad that the malicious and misleading allegations made in the Glaucus report are totally without merit and absolutely not supported by any evidence,” China LNG Chairman, Kan Che Kin, said in a statement Thursday.

The report was the latest from an independent researcher questioning corporate practices of firms. In February, Iceberg Research criticized the accounting at Singapore-listed Noble Group, which sparked a stock selloff that wiped around $1 billion commodity traders’ value.

In Hong Kong, Citron Research is facing legal action from the Hong Kong’s securities regulator for a report about Evergrande Real Estate Group Ltd misleading.

China LNG requested the suspension of the trading of its shares on July 14, when the stock was at HK$1.46 after Glaucus began research coverage with a strong sell recommendation.

The Glaucus’ report said China LNG had no meaningful operating business or tangible experience in the industry and should be valued at or very close to its book value of HK$0.08 per share.

China LNG is a property and securities investment group that recently diversified into liquefied natural gas (LNG) related businesses.

In its statement Thursday, China LNG said the content of the report was incorrect and inappropriate. It also stated that it was seeking legal advice and could take legal action against Glaucus.

China LNG said the claim its senior management had no experience of the energy business was “completely misleading” as its strategy is to establish strategic cooperation with experienced market players.

“No matter what any investor believes about China LNG’s future plans, potential relationships, or long-term chances, the simple fact remains that today, in its current form, the company’s operating business is tiny and insignificant,” Glaucus said in response to China LNG’s statement, in an email to Reuters on Friday.

“If China LNG wants to be considered an energy company, it should be valued at or close to book value, like other energy companies,” Glaucus said. (Reporting by Denny Thomas and Donny Kwok; Editing by Kenneth Maxwell and Christopher Cushing)


Oil spill on Barrier Reef

By MarEx 2015-07-17 13:03:50

The Australian Maritime Safety Authority (AMSA) will be sending a specialized aircraft to confirm a reported oil spill on the Barrier Reef early Saturday morning. It is currently 2:30 am Saturday July 18th.

Oil was reported off Cape Upstart near, near the Great Barrier Reef, Queensland. The AMSA has oil pollution resources and staff in position in Townsville and other nearby ports. Meanwhile, other government organizations have been put on standby as well.

On Friday, a water police vessel and an Emergency Management Queensland helicopter investigated the report of oil on the waters. The later said a sheen and oily patches were found between Townsville and Bowen.

The search was prompted by unconfirmed reports of an oil spill in the area.

A Customs aircraft was unable to locate any oil when it searched Friday morning, a Transport and Main Roads Department spokeswoman said. Ships passing through the area were asked to be aware.


LA box traffic slides in June

Trade volume moving through Los Angeles-area box terminals fell 6.2% in June as America’s largest container port complex prepares for the peak shipping season.
Combined imports at the ports of LA and Long Beach fell 3.6% year-on-year during the month to 368,708 teu, while combined exports dropped