Fleet Management

Quality is paramount to all JL businesses and this is also reflected in the fleet management operations performed for the JL fleet of bulk carriers, gas carriers, reefer vessels and product tankers.

Ship management services are performed from Copenhagen by Lauritzen Fleet Management (LFM), and from Bilbao by fully owned Gasnaval S.A. Furthermore JL has shareholdings in New Century Overseas Management Inc. and Star Management Associates performing fleet management services from Manila and Tokyo respectively.

The geographic location of customers, trading patterns, crewing aspects, vessel types and overall cost considerations are important reasons for the structured location of JL fleet management services.

During 2005, JL’s ship management providers were responsible for technical management of an average of 47 JL vessels comprising 7 bulk carriers, 29 gas tankers, 1 product tanker, and 10 reefer vessels.

Sustainable competitive development

Knowledge sharing, Competence, innovation and building on JL’s core values are all part of JL Fleet Management services whether performed in Copenhagen, Bilbao, Manila or Tokyo.

In order to constantly improve safety and quality, Key Performance Indicators (KPI) have been identified; these include lost time injury frequency, near accident reports, unexpected technical off-hire, port state control, vetting remarks and internal/external audit’s findings.

KPIs will be measured and calculated on a quarterly basis, and subsequently the results will be compared against set objectives, commented on and distributed to vessels and technical staff.

From the beginning of 2006, JL’s drug & alcohol policy for all owned vessels has been revised to reduce the permitted BAC (blood alcohol content) from 0.4 o/oo to 0.2 o/oo.

Environment

Trading vessels containing potential environmental pollutants require constant attention, and JL respects and complies with all national and international environmental regulations.

JL constantly makes improvements to the fleet’s equipment and performance so as to achieve environmental sustainability. Thus JL continuously expands its expertise in environmental issues relating to the operation of modern cargo vessels.

Figure 13: Energy consumption 2003-05

Kwh/ton/mile*

* Energy consumption figures for JL vessels managed by LFM

During 2005, JL took a number of new initiatives to reduce the environmental impact of ship operations, including the dual fuel auxiliary engines specified for Lauritzen Kosan’s ethylene gas carrier newbuildings and the decision to install bilge water filters on the bilge water purifiers on part of the gas carrier fleet.

Energy consumption

Total energy consumption, measured as kWh/ton-mile, used for propulsion and power production was reduced somewhat during 2005. The improvements were due to the actual trading patterns of the fleet and improved calculation methods, cf. Figure 13. p. 24.

Emissions

Although naturally present in the atmosphere, combustion of hydrocarbons such as oil and gas releases CO_2.These emissions contribute to the green house effect and global warming. Actual emission figures for the fleet in 2005 were down on 2004, cf. Figure 14.

SOx (Sulphur dioxides) and NOx (Nitrogen dioxides) are gasses emitted in the combustion of fuels, contributing to acid rain.

Emission figures are based on actual consumption, oil quality and type of engine concerned. Reductions in emissions of both types of gas were achieved in 2005, cf. Figure 15.

The general reduction in energy consumption and emission are caused by optimised engine performance, observance toward more clean under water hulls and propellers, improved calculation methods all in combination with actual trading patterns minimising ballast time.

Furthermore, consumption of high quality fuel oil with low sulphur content is of importance protecting the environment. However, at present the global availability of low sulphur fuel is limited, but JL expects to see changes in respect to the availability when the Marpol Annex Vl shortly is implemented in the Baltic Area (19 May 2006) and in the North Sea (19 November 2007). Within its various business areas, JL is working with the possibilities of only consuming high quality fuel oil.

Crewing

Danish and Filipino officers and primarily Filipino ratings comprise the complements of the JL fleet. Understanding and compliance with JL’s mission, vision and values is addressed continuously. Thereby, JL ensures that the vision of world-class, which naturally relates to safety at sea, environmental observance and high technical standards are part of the common culture.

During 2005, JL continued its tradition to conduct seminars for officers and crew at different locations around the world, where internal as well as external lecturers participated.

Figure 14: CO₂emissions 2003-05*

g/ton/mile

Figure 15: Emissions of SOx and NOx 2003-05*