Nexus Consulting - American Petroleum Institute

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Nexus Consulting
NCGA 20112 ©
Securing Your Future Throughout the World
Current Pirate Threats, Emergence of Maritime Terrorism &
What’s next??
Maritime Security Division
Presented by: Kevin C. Doherty, President, Nexus Consulting
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
Oil Trade Routes
http://szamko.wordpress.com/the-somalia-dossier
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
Oil Trade Routes
Significant Piracy Incidents
http://szamko.wordpress.com/the-somalia-dossier/death-squads-for-oil-on-the-somalian-frontier-march-2006/
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
Petroleum Related Incidents and Costs
February 18, 2006, MEND seized a barge operated by the American oilservices company Willbros and took nine hostages and detonated a bomb
at an oil pipeline, a gas pipeline, and a tanker-loading terminal, forcing
Shell to suspend 477,000 barrels a day in exports.
WORLD OIL PRICES JUMPED $3.79 IN TWO WEEKS
Feb 17, 2006 $59.88 - Feb 24, 2006 $62.91 - Mar 3, 2006 $63.67
“US oil giant Chevron has halted onshore oil production at its Escravos
oilfield after an attack on a pipeline. - 21 June 2008
The loss could equate to about 120,000 barrels per day, about 6.6% of
Nigeria's total daily crude production. “
November 2008, Sirius Star hijacked $100 million in crude oil, oil prices jump $1 the same day
http://www.csmonitor.com/World/Africa/2011/1030/Move-over-Boko-Haram-Nigeria-s-MEND-rebels-set-to-restart-oil-war-in-Niger-Delta
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
The Threat…
2.0 and counting…
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
Securing Your Future Throughout the World
“Al-Qaida eyed oil tankers as bombing targets”
By EILEEN SULLIVAN,
MATT APUZZO
5/20/11
“Washington, DC (AP) — Osama bin Laden's
personal files revealed a brazen idea to
hijack oil tankers and blow them up at
sea last summer, creating explosions he hoped
would rattle the world's economy and send oil
prices skyrocketing, the U.S. said Friday.
William S. Stevens / NVNS via AP
The newly disclosed plot showed that while
bin Laden was always scheming for the next
big strike that would kill thousands of
Americans, he also believed a relatively
simpler attack on the oil industry could create
a worldwide panic that would hurt Westerners
every time they gassed up their cars.”
www.msnbc.msn.com/id/43115189/ns/us_news-security/t/al-qaida-eyed-oil-tankers-bombing-targets
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012©
Nexus Consulting
“A Ship is Safe in Harbor,
But That’s Not What Ships Are For” – William Sheddi
Naval Capabilities
“GoA is 1,000,000 sq miles and we
just can’t cover it”
EUNAVFOR hits critical mass for CTF
150,151, 152 anti-piracy operations 2011
West Africa Heating Up
Natural Resources Becoming
More Difficult to Secure
delta
Philippines waters require War Hull
insurance
Unrest in the Middle East
France, Greece, Ireland
face debt crisis
Baltic Index all time low
Commercial Needs
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012 ©
Nexus Consulting
So What’s Next??
Civil Unrest
•
•
•
•
•
Egypt
Philippines
Yemen
Libya
Bahrain
No Real-time Intel
• Porous countries with weak security
and law enforcement will continue to
complacently or worse, support
pirates.
• West Africa next hot spot
• Tugs in Asia
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012 ©
Nexus Consulting
Securing Your Future Throughout the World
Case Study: Security WORKS
Pirated Vessel vs. Evaded Attack
M/V LONGCHAMP
vs.
M/V POLARIS
Pirated
•
•
•
•
•
•
Not registered with UKMTO
No fire hoses set
No lookouts
Complacent crew
No attempt to speed up or conduct
evasive maneuvers
Not on Vulnerable Shipping List (VSL)
Evaded Pirating
•
•
•
•
•
•
Coordinated transit with UKMTO
Broadcasting AIS
Lookouts posted
Active crew
Conducted evasive maneuvers
Made contact and coordinated with
Coalition Units
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
So How do we Deal with Piracy?
Best Management Practices (4th edition)
Know the Risks Areas– Based on defined “High Risk
Waters”
Asses the Risks– Based on vessel and route particulars
Know the pirates TTP’s (Tactics, Techniques and
Procedures)–
Know how to Report–
Planning –
Company Level
Ship Master Level
Ship Protection Measures–
If Pirates Take Control –
If Military Intervenes –
Post Incident Reporting –
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
Every BMP (and other creative options)
have SUCCEDED…
•Zhenhua 4 fends off boarded
pirate with Moltov Cocktails
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
Nexus Consulting
NCGA 2012 ©
BMP’s Reviewed… What’s Working?
Best Management Practices' Effectiveness Reviewed
Self Protection Measures
(SPMs)
Cost
Evasive Maneuvers
Secure Door Hatches
Dummy Watchstanders
physical barriers
robust razor wire barrier
coating with ‘anti-climb’ paint
water spray / foam monitors
flare guns
Safe Muster Points/Citadels
$0
up to $5000
up to $5000
up to $5000
up to $5000
up to $5000
up to $500,000
$50
up to $25000
Unarmed Security Detail
up to $25000
Armed Security Detail
up to $55000
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012 ©
Nexus Consulting
BMP’s Reviewed… What’s Working?
Best Management Practices' Effectiveness Reviewed
Self Protection Measures
(SPMs)
Cost
Verdict?
Evasive Maneuvers
Secure Door Hatches
Dummy Watchstanders
physical barriers
robust razor wire barrier
coating with ‘anti-climb’ paint
water spray / foam monitors
flare guns
Safe Muster Points/Citadels
$0
up to $5000
up to $5000
up to $5000
up to $5000
up to $5000
up to $500,000
$50
up to $25000
DEFEATED: Thor Spring - HIJACKED
DEFEATED: Beluga Nomination - HIJACKED
DEFEATED: Carmencita - HIJACKED
DEFEATED: Carmencita - HIJACKED
DEFEATED: Thor Spring - HIJACKED
DEFEATED: Jahan Moni - HIJACKED
DEFEATED: Thor Spring - HIJACKED
DEFEATED: Carmencita - HIJACKED
DEFEATED: Beluga Nomination - HIJACKED
Unarmed Security Detail
up to $25000
DEFEATED: Biscaglia - HIJACKED
DEFEATED: New York Star - HIJACKED
Armed Security Detail
up to $55000
ATTACK REPELED: VALERIE - No Time Deviation
ATTACK REPELED: MAERSK ALABAMA - No Time Deviation
ATTACK REPELED: VOGE DIGNITY - No Time Deviation
ATTACK REPELED: BRATTINGSBORG - No Time Deviation
ATTACK REPELED: CAPRICORN - No Time Deviation
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012 ©
Nexus Consulting
Securing Your Future Throughout the World
Summary
•Pirate Attacks (PA’s) are increasing in
attempts but success rate is dropping
•PA’s are following Pirate Support System
(PSS)
,
emerging as
serious coastal threats
•Tankers are increasingly being targeted
•PA’s with firearms and RPG’s have
dramatically increased
•PA’s are becoming increasingly violent
+
•West Africa is next and Asia is heating up as well…
•More and more security firms will flood the market… One will lose in a pirate attack
•NAVFOR support will diminish 2011-2012
=
“The pirate threat isn’t going away, but you
can manage risk with proper planning”
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
NCGA 2012 ©
Nexus Consulting
Securing Your Future Throughout the World
Authorized Flag States
Questions????
Mailing
Nexus Consulting
PO Box 6434
Arlington, VA 22206
info@ncga.us
703-474-6571
Fax: 703-224-8801
DDTC Export Registration Code: M26660
Headquarters
Nexus Consulting
2331 Mill Rd., Suite 100
Alexandria, VA 22314
info@ncga.us
703-224-8984
Fax: 703-224-8801
VA Security License: 11-6290
 Nexus Consulting  PO Box 6434 Arlington, VA  22206  info@ncga.us  VA Security License 11-6290 
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