Marine Log - November 2008 - (Page 57)

BY JENIFER KIMBLE TUGS&BARGES DEFYINGTHENAYSAYERS A dvisors said it couldn’t be done. Banks didn’t want to lend the money. Even Mother Nature tossed a few curve balls. But, the wit and determination of Crowley’s technical and petroleum services teams could not be stymied. Now, with a working fleet of eight Articulated Tug Barges (ATBs) and nine more under build contract, Crowley is taking domestic waterborne petroleum transportation to a whole new level of safety, efficiency and cost effectiveness. Captains can’t wait to get their hands on these elite vessels, which Captain Buddy Davis refers to as a “convertible sports car with all the bells and whistles,” and customers are willing to commit to multi-year charter agreements before the first piece of steel is laid. But, this wasn’t always the case. The petroleum industry, which is quickly coming to grips with OPA 90 (Oil Pollution Act 1990) standards requiring the phase out of single hulled tankers and barges, has been scurrying to find new vessel tonnage to meet their requirements. Double-hull tankers are expensive and towed tank barges are too slow to be readily competitive and more apt to be impacted by weather and rough seas. Crowley’s solution was to develop large, fast ATBs that operated like tankers, but delivered petroleum at a lower cost per barrel. But first, the company had to overcome the argument that an ATB would never work in the West Coast trade lane where winter weather brings ruthless swells causing most pushed barges to take a traditional tow approach to transit the churning seas. An ATB, on the other hand, has an articulated, or hinged, connection system between the tug and a notch in the stern of the barge, which allows movement in one axis, or plane in the critical area of fore and aft pitch. Faced with the high cost of building new ships in U.S. shipyards—a Jones Act requirement—Crowley’s commercial and operations groups were handed a perplexing challenge – build an ATB that could carry the product and do it better, faster, safer and cheaper. So what would Ed Schlueter, vice president of marine technical services, say to that challenge? “No problem! If we can think it, we can build it.” A LEAP OF FAITH So how do you convince a customer to sign on the dotted line for a vessel that not only hasn’t been built, but isn’t even tested in the market in which their products need transport? You send in your most committed team members to assure them that their loyalty isn’t misplaced. And, you keep sending them, again and again. Steve Collar recalls multiple meetings with Roger Van Duzer who was manager of marine operations for Shell at the time. “It took three years of persuasion to get Shell to sign on the dotted line,” recalls Collar. “They were interested in ATBs as they were running them in their East Coast trade but were somewhat skeptical about their implementation on the West Coast. Their success on the East Coast, while they watched the traditional towed barges sit in harbor as their ATB product moved convinced them to give it a try.” And, there was a fallback plan, they were utilizing one of Crowley’s tankers at the time so if this didn’t work, production wouldn’t cease. With that assurance, Shell took a leap of faith and signed based on successful model testing. “For Shell, it was a series of events coming together that led us to our decision,” recalls Van Duzer who is now vice president, Moran Shipping Agents. “The tankers in the trade were too large and provided economical obstacles for our shipments, and the towed barges were challenged with schedule integrity and speed.” “We were running ATBs successfully on the East Coast but were well aware of all the ‘urban legends’ surrounding West Coast ATBs. But, I along with Bruce Tosco contracted for Crowley’s 550-2, one its 150,000 bbl 550 Series ATB’s www.marinelog.com NOVEMBER 2008 MARINE LOG 57

Table of Contents Feed for the Digital Edition of Marine Log - November 2008

Marine Log - November 2008 Contents Editorial Second Thoughts Update Inside Washington Looking Back at 130 Years Generation NeXt What's Ahead? Media Kit 2009 Defying the Naysayers Rampant Piracy Takes Shipping Hostage The Last Chapter of the New Carissa International Workboat Show Preview Newsmakers Tech News Contracts Events Website Directory ML Buyer's Guide ML Marketplace Marine Salvage

Marine Log - November 2008

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