Monday, June 26, 2000


First gas turbine powered cruise ships starts maiden voyage
Celebrity Cruises Millennium cruise ship began its maiden voyage today powered by two GE LM2500+ aeroderivative gas turbines. The Millennium is the world's first cruise ship to use a
COmbined Gas turbine and steam turbine integrated Electric drive System
(COGES) configuration.

The 1,950-guest, 91,000-ton Millennium is the largest ship ever built in France and is the first of four state-of-the- art, Millennium-class ships Celebrity will bring into service in the next two years.

Delivery from Chantiers de l'Atlantique was delayed, forcing Celebrity to defer the ship's maiden voyage from the originally planned June 17. Nonetheless, the ship's design and completion within 27 months is impressive given the size, complexity and level of innovation in the ship.

."Celebrity Cruises is incredibly enthusiastic about moving into the new millennium with a state-of-the-art cruise ship that blends the beauty and grandeur of turn-of-the-century luxury liners with the amenities and breakthrough technological advances that our guests demand," said James Lomonosoff, Celebrity's senior vice president of marketing. He added that the Millennium will benefit from dramatically reduced exhaust emissions, as well as less engine noise and vibration.

In a COGES configuration is a very efficient use of energy: Energy that
otherwise would be lost in the exhaust from the gas turbines is captured
to produce steam from boilers for the steam turbines. The gas
turbine-based system powers the electric motors of the Alstom Kamewa Mermaid podded drives that move the ship through the water. The COGES configuration also provides for all on-board power requirements such as ventilation systems, power to light cabins, etc.

The engineering, gas turbine packaging and system integration for
COGES was handled by S&S Energy Products, a GE Power Systems business
and a GE Marine Engines Marine Systems Supplier. Three additional
Millennium-class cruise ships being built for Celebrity Cruises, as well
as four Vantage-class ships being built for sister cruise brand, Royal
Caribbean International, will use LM2500+ gas turbine-generator sets for
main propulsion and onboard power.

The first start-up of the gas turbines on the Millennium ship took
place in January 2000; sea trials were completed in April with the COGES
system "performing flawlessly," according to GE.

Lunde leaving Intertanko
INTERTANKO today announced that managing director Dagfinn Lunde will leave the association on September 15 . He has decided to resume his career within international banking.

INTERTANKO's Sr. Vice President & General Counsel, Mr. Svein Ringbakken who
currently heads INTERTANKO's United States representation has been chosen to
lead the organization until a new managing director has been appointed.

A lawyer by training, Ringbakken has been with INTERTANKO for nine years
and during this time has actively been involved in a wide range of industry
issues. His current area of responsibility includes governmental relations
with a particular emphasis on the United States, the association's legal,
documentary and insurance activities. Within the above areas he has also
represented INTERTANKO in the IMO, EU and the International Oil Pollution
Compensation Fund. He has in addition to this had the primary responsibility
for activities in the Americas region.



Hong Kong register tops 9 million grt markI
Hong Kong Marine Department Director, Tsui Shung-yiu, says the Hong Kong Shipping Register has reached a record high of 9.1 million grt. In 1996, the register reached 9.09 million grt, but nose dived ito 5.3 million grt immediately after Hong Kong's return to Chinese control.

   "We have had a mountain to climb since then," says Tsui Shung-yiu, "but I am delighted to report that we are back on track and last month (May) we broke the 9.107 million GRT mark."

"This puts us within reach of the 10 million GRT target set by the Financial Secretary in his 1999-2000 budget speech. I think we will arrive at this figure towards the end of the year - almost one and a half years ahead of the scheduled date in April 2002."

In April 1999, Hong Kong introduced a series of measures to improve the quality of the register to make it more user-friendly, cost-effective and efficient. These included simplifying the fee structure; re-aligning regulatory and technical requirements to international standards; introducing a Flag State Quality Control (FSQC) system for Hong Kong ships; and streamlining registration procedures.

The first time registration fee was cut by 85% and the maximum payment was limitedto HK$15,000. Annual fees were also reduced and now vary from HK$1,500 for 1,000 Net Registered Tonnage (NRT) to a capped payment of HK$100,000 for 31,500 NRT and upwards which equates to a 45% reduction.


      

Bergesen exercises option to order tankers
Bergesen has executed an option to order two more tankers of 296.000
dwt from Hitachi Zosen Corporation, Japan.The combined contract price for the two tankers is approx. $140 million.

The vessels will be delivered in February and June 2002, and will be
vessel no. 7 and no. 8 delivered by Hitachi to Bergesen. The contract
for the first six vessels was entered into earlier this year, and the
first two vessels have already been delivered. The delivery program
for the Hitachi-series is as follows:

Vessel no. 1 (Berge Ichiban) March 2000
Vessel no. 2 (Berge Tokyo) April 2000
Vessel no. 3 (Berge Fuji) July 2000
Vessel no. 4 (T.B.N.) January 2001
Vessel no. 5 (T.B.N.) March 2001
Vessel no. 6 (T.B.N.) May 2001
Vessel no. 7 (T.B.N.) February 2002
Vessel no. 8 (T.B.N.) June 2002

 

The Hitachi-series represents a strong renewal of Bergesen's tanker
fleet. Last year and thus far this year, Bergesen has disposed of
seven old tankers, five for scrapping. It has been decided
to convert another two old tankers to floating production vessels.


 

Fred Olsen gets another H-3 rig
Fred. Olsen Energy ASA has on behalf of a company nominated by Bonheur ASA/Ganger Rolf ASA, entered into an agreement with company owned by Transocean Sedco Forex for the purchase of the semisubmersible drilling rig Transocean Discoverer. The 1977-built Aker H-3 rigwas purchased for a price of USD 43,270,000.It will be taken over "as soon as practically possible."

The drilling rig, which will be renamed Bulford Dolphin, is now in lay-up in Invergordon, Scotland. The rig will after delivery and classification work be marketed and operated by Fred. Olsen Energy /Dolphin. Bulford Dolphin will enter into a pooling arrangement with the two Fred. Olsen Energy-owned rigs which are not on longer term contracts; Bredford Dolphin (ex Bill Shoemaker) and Borgsten Dolphin. Fred. Olsen Energy has a six month's option to buy the Bulford Dolphin from the Bonheur/Ganger Rolf nominated company at a price equal to the purchase price plus 1% per month.

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