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Types of bulk cargoes terminals
Types of cargoes handled at such facilities
Risks associated with such facilities
Insurance coverage
Preventive measures to mitigate such
Risks
Efficient port operations
Simulation studies
Tour of Jurong Port

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Multi-purpose Terminals
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Dedicated Bulk Cargoes Terminals.

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Jurong Port is a good illustration of a multi-purpose terminal
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We handle: a) General cargoes; b) Dry bulk cargoes; c) Liquid bulk cargoes; and d) Containers

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Liquid Bulk Cargoes Facilities: a) For Petrochemicals; b) For Petroleum

Multi-Purpose Terminal (Jurong Port) a)
Cement b) c) d) e)
Copper Slag
Fertilisers
Sand
Lubricants f) g) h) i)
Steel products (H beams, re-bars, steel plates)
Machineries/Equipment
Ship spares and ships supplies
Containerised cargoes

Dedicated Liquid Bulk Cargoes Terminal a) Solvents (Xylene, Toulene,
Methanol) b) Phenol c) TEL d) Styrene Monomer e) Vinyl Chloride Monomer f ) Acids

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Health Risks
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Fire & Reactivity Risks
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Environmental pollution risks

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Product name: Xylene - colourless, sweet smelling liquid used in printing, rubber and leather industries and as a cleaning agent for steel and silicon wafers
Hazards: Highly flammable (above 27 degrees C explosive vapour/air mixtures may be formed), may cause headaches, dizziness, confusion and change in sense of balance
Toxicity: Toxic to aquatic animals. High concentrations may cause increased numbers of deaths, delayed growth and development. Same concentrations may cause damage to mothers

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Product Name : Phenol (old name carbolic acid) is a colourless liquid with a sweet smell. Used as a disinfectant for sterilising wounds, surgical dressings and instruments , as raw material for medicinal drug as aspirin , widely used in manufacture of insecticides, dyes.
Hazards : Acute poisoning by ingestion, inhalation or skin contact may lead to death.
Toxicity : Systemic poison and a serious health hazard by prolonged exposure

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Product Name: Tetraethyl Lead
Health hazard: Inhalation can cause convulsions, dizziness, headache, vomitting, weakness, unconsciousness
Effects of repeated exposure: may cause toxicity to human reproduction or development
Toxicity : Toxic to aquatic organisms and may cause long term effects in aquatic environment
Chemical dangers: decomposes on heating producing toxic fumes

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Product: Vinyl Chloride, a colourless gas with mild sweet odour; a manufactured product used to make pvc (polyvinyl chloride)
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Hazards : Cause dizziness.
Breathing high levels will cause you to pass out and extremely high levels may cause death.
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Toxicity: A known carcinogen

INFRASTRUCTURE : Destruction or
Damage
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What are these infrastructure ?
Berths
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Warehouses or Storage Tanks
Drumming facilities
Trucking facilities
Unloading Equipment (Bulk Cargoes
Unloaders/Container Quay Cranes)

CARGOES:
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Loss (Theft, Fire and Destruction)
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Shortage
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Wrong delivery
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Untimely transfer of cargoes
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Contamination
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Damage

ENVIRONMENTAL POLLUTION:
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Land
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Air
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Sea

THIRD PARTY CLAIMS:
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From Customers
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From Terminal Users
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From Third Parties(Public at Large)

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Choice depends on the company philosophy, financial standing
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Municipal ports generally do not insure. But claims experiences have changed their thinking

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Industrial All Risks: Material
Damage and Business Interruptions
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Transport and Logistics
Insurance Cover
(Covers e.g. cargo claims, bodily injuries,pollution clean-up costs)
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Directors and Officers Liability
Cover
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Workmen’s Compensation
Insurance

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“Insurance companies have had to respond to increasing incidence of bodily injury claims and handling equipment claims in ports”
“Response from TT Club,which covers 413 ports and terminal operators: Increase deductibles;encourage improvements in training and other preventive measures”
CEO Paul Neagle (Source:Ports &
Harbours July 2008)

Case Study(1): Southampton Container
Terminal, U.K.
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What Happened : Incident: Gantry
Crane Boom Collapses on the deck of a ship (January 2008);
Consequence: No one was injured but all shipside operations immediately suspended as a precaution
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Claims : Honda car factory in Swindon had to close as it ran out of gearboxes.Production of 600 –1,000 units of cars lost
(Source: Ports & Harbour, July 2008)

Case Study 2:
Felixstowe,U.K
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01 March 2008
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What Happened ? : Crane carrier broke loose of its moorings and crashed into cranes at Languard terminal’s feeder berth in winds of 128km/hour
Consequence: Damaged two out of four quay cranes and terminal operations disrupted
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Claims: Quay Cranes and Business
Interruption
(Source: Ports & Harbours, July 2008)

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Case Study (3):
Choon Hoong III Tanker Explosion
What happened ? Whilst discharging xylene at the Royal Dutch Shell Depot in Port Klang on 21
June 1992 an explosion occurred on board the chemical tanker and caused a major fire and explosion.
Consequence: 13 people dead or missing
*,including members of the crew ; “Ling said rescuers feared 400 tonnes xylene was discharged into the river mouth, endangering a village nearby”* ;CHIII (a Singapore registered tanker) was a constructive total loss beyond economic repair; Terminal closed due to substantial property damage.
Claims : Pollution clean-up, wreck removal, damage to third party properties other than
Shell’s terminal losses amounted to USmillions.
Source: *Malaysia news report Sun Jun 21 1992

Case Study (4)
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Scenario: What would happen if phenol is discharged from a vessel into the storage tank at a pumping rate faster than anticipated ?
What would be the consequence ?: Non-event
?; Potential product overflow ;Possible pollution of land and sea; Cargo loss; Stop-work order;
Fine by Authority
Potential claims: Cargo loss, Clean-up cost, disposal of waste cost and loss of use of storage tank ;
Other expenses: Potential facility upgrading cost to prevent recurrence
(Note: Hypothetical case is created for learning experience )

Case Study (5)
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Scenario :Wrong hose to ship’s manifold connection during loading of vessel
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What would be the consequence:
Contamination of cargoes in ship’s hold;
Possible explosion and consequential damages
Potential claims: Cargo claims, incurred storage cost for contaminated cargoes discharged back to shore, other claims depending on actual scenario,legal cost
(Note: Hypothetical case is created for learning experience)

Case Study(6)
Collapse of Ship’s Derrick
Consequences ?

Liabilities Under WSH Act 2006:
Individuals: Fine of up to $200,000 or
2year imprisonment or both
Company : Fine of up to $500,000

TAKE
“Reasonable Practicable Measures”

Conduct HAZOP and take Remedial
Measures :
Eliminate: Get rid of the hazard completely
Substitution: Use other methods or less dangerous chemicals
Engineering
Administrative: Job rotation, limited entry to reduce exposure
PPE

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Install Gauges with Hi-Hi level Alarms
Ground protection: Install impervious layer
Environment : Install closed system and scrubbers
Use auto-spreaders for conventional container operations

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A Good HSE System must be in Place
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Continual monitoring
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Continual improvement
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Audits ( Internal and External)
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Engage your Business Partners

Why ?
They are knowledgeable.
They have the experience to guide you.
They are backed by professionals.
Engage them on a regular basis

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Berth on time
Efficient turnaround of the vessel
Efficient logistics for replenishing the vessel
Efficient pilotage service
Quick turnaround of cargoes
Efficient clearance at the gates
Customer centric

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Vessels must be effectively served by the pilotage service for berthing and unberthing of vessels
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Vessels turnaround time is affected by efficiency of cargo handling operations
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Vessels turnaround time is also affected by the allocation of storage space

By Co-Speaker