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NEWS BULLETIN
Monday, May 2, 2016

Holland America luxury liner
starts Seattle cruise season

Drewry LNG Forecaster report
sees slow going for sector earnings

Coast Guard eyes $100,000 penalty
for laser strike on Washington ferry

COSCO vessel wins drawing
for first Panama Canal transit

MarAd earmarks funding
for marine highway expansion

Holland America luxury liner
starts Seattle cruise season

SEATTLE — With the arrival of Holland America Cruise Line’s NIEUW AMSTERDAM on Saturday, the Port of Seattle has begun the 2016 cruise season. Larger vessels and more cruises will make this the biggest cruise season ever with nearly one million revenue passengers. Each homeported cruise vessel is estimated to bring in $2.6 million for the local economy. Seattle’s cruise business, currently leading all cruise homeports on the west coast in passenger volume, is responsible for over 3,700 jobs, $459 million in annual business revenue, and $17.6 million annually in state and local tax revenue. Other lines calling the port are:
Carnival Cruise Line offers seven-day Alaska cruises on the CARNIVAL LEGEND departing Tuesdays from Pier 91.
Celebrity Cruises offers seven-day Alaska cruises on the CELEBRITY SOLSTICE departing Fridays from Pier 91.
Holland America Line offers seven-day cruises from Seattle to Alaska on the WESTERDAM and the AMSTERDAM departing on Saturdays and Sundays from Pier 91. The MAASDAM offers 14-day sailings departing on Mondays, from Pier 91
Norwegian Cruise Line offers seven-day cruises from Seattle to Alaska on NORWEGIAN JEWEL and NORWEGIAN PEARL. Sailings depart Saturdays and Sundays from Pier 66.
Oceania Cruises offers seven, 10 and 12-day itineraries on the OCEANIA REGATTA departing from Pier 66
Princess Cruises offers seven-day cruises from Seattle to Alaska on the CROWN PRINCESS and RUBY PRINCESS. Sailings depart Saturdays and Sundays from Pier 91.
Royal Caribbean offers seven-day cruises to Alaska on the EXPLORER OF THE SEAS departing from Pier 91 every Friday.

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COSCO vessel wins drawing
for first Panama Canal transit

PANAMA CITY — China COSCO Shipping has won the draw for the first transit through the Expanded Panama Canal during the waterway’s inauguration on Sunday, June 26. The shipping line’s container vessel ANDRONIKOS will be making the inaugural transit. The vessel, which has a maximum capacity of 9,400 TEUs, is 8.25 meters in beam and 299.98 meters in length. In addition, more than 100 Neopanamax ships have already made reservations for commercial transit through the new locks, which will begin on June 27, 2016, following the historic inauguration. The first commercial transit reservation was granted to a liquefied petroleum gas (LPG) tanker LINDEN PRIDE of Nippon Yusen Kaisha (NYK Line), represented by shipping agent Norton Lilly International (Panama), S.A. The vessel has a length of 754.59 feet and a beam of 120.08 feet.

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Drewry LNG Forecaster report
sees slow going for sector earnings

LONDON — LNG shipowners will have to wait until 2018 for earnings to improve, when the majority of new US plants are expected to come online, according to the latest edition of the LNG Forecaster report published by global shipping consultancy Drewry. The first quarter of 2016 was no better than the previous quarter for LNG shipowners as spot rates remained low at around $30,000pd. Two new liquefaction plants, Australia Pacific LNG (APLNG) in Australia and Sabine Pass LNG in the US, began operations in the first quarter of 2016. But freight rates for LNG carriers remain low despite the new liquefaction trains coming online. The ramping up of Australian LNG exports will not bring any respite to LNG shipowners given the short-haul voyage distance between Oceania and Asian markets. Inflated fleet growth over the last few years has led to a supply glut, which will keep the rates under pressure until 2017. Moreover, the recent commencement of exports from Train 1 at the Sabine Pass LNG terminal in the US is not expected to increase LNG shipping demand as the cost economics of importing LNG into Asia from the US are so unfavorable.

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MarAd earmarks funding
for marine highway expansion

WASHINGTON, DC — The Maritime Administration (MARAD) has announced the availability of $5 million in Federal funding to expand marine highway service by creating new or expanding existing services along designated marine highway routes. A marine highway project is a planned service, or expansion of an existing service, on a designated marine highway route, that provides new modal choices to shippers of cargo, reduces transportation costs, and provides public benefits including reduced air emissions, reduced road maintenance costs, and improved safety and resiliency. Eligible applicants must be sponsors of marine highway projects formally designated by the Secretary of Transportation. The current list of designated Marine Highway Projects can be found at: http://www.marad.dot.gov/wp-content/uploads/pdf/Marine-Highway-Project-D. Applications must be received by 8:00 p.m. EDT on Friday, May 27, 2016. Addition information can be found in the Federal Register at https://federalregister.gov/a/2016-09563

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Coast Guard eyes $100,000 penalty
for laser strike on Washington ferry

SEATTLE — The Captain of the Port, U.S. Coast Guard Sector Puget Sound, issued a $100,000 civil penalty Tuesday to a Washington resident who intentionally struck the Washington State Ferry TOKITAE with a high-powered blue laser October 22, 2015. Coast Guard investigating officers determined that Mark Raden of Freeland, was aboard WSF KITSAP transiting between Mukilteo and Clinton when he pointed the laser at the pilot house of the Tokitae, resulting in injuries to the ferry master and chief mate. Coast Guard officials are seeking civil penalties for violation of a safety and security zone as well as interference with the safe operation of the TOKITAE while it transited between Mukilteo and Clinton. The final civil penalty amount will be determined by a Coast Guard Hearing Officer in Arlington, Va. In addition to laser strikes on Washington State Ferries, laser strikes involving Coast Guard helicopters and rescue boats in Puget Sound have continued to increase over the last few years. Such strikes have adverse impacts on the conduct of Coast Guard law enforcement and search and rescue activities potentially affecting the ability to respond to a distress call or provide proper medical care of someone rescued. In addition, they can cause physical injury to any individuals struck.

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