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Tag: DP World

Methanol-Powered Vessels

Posted on by Keith McKinley

Unifeeder Group has successfully completed a long-term charter agreement for two additional methanol-capable container feeder vessels. This follows the agreement for two initial vessels announced in October 2023, underscoring the group’s commitment to greener shipping solutions.

The latest agreement is in partnership with German-based ship owning group Elbdeich Reederei and Norwegian shipowner MPC Container Ships (MPCC), who are responsible for one vessel each. The 1250 twenty-foot equivalent unit (TEU) vessels, scheduled for delivery in 2026, will be deployed on Unifeeder’s European network. The addition of these new vessels reinforces the group’s ongoing efforts to reduce emissions across its network. Simultaneously, Unifeeder is enhancing fuel efficiency throughout the fleet while increasing the utilisation of biofuels in its conventional vessels.

In alignment with its parent company, DP World, Unifeeder collaborates with industry partners to address the challenge of renewable methanol supply. This requires off-take commitments to establish production at the scale needed to replace conventional fossil fuels within the industry.

Methanol-Power

Jesper Kristensen, Group CEO of Unifeeder Group, said: “Building upon our commitment to methanol-powered vessels last year, this marks another significant stride towards the green transformation of our fleet and operations. We anticipate the vessels to enter into operation in the next two years, advancing our steadfast commitment to sustainable solutions. We offer our customers alternatives that align with their sustainability journeys while making meaningful progress towards our own ambitious decarbonisation goals.”

The investment in the two new additional ships further supports Unifeeder Group’s ambitious decarbonisation plan. Surpassing the industry average, Unifeeder has committed to a 25 per cent reduction of emissions by 2030 and to reach net-zero by 2050 with no new fossil greenhouse gas emissions. It aims to achieve this by emphasising fuel-efficient practices, regular maintenance and refitting processes of the existing fleet and fostering a culture of learning and collaboration, sharing best practices across markets to drive effective carbon reduction strategies.

Unifeeder Group is part of DP World Marine Services, which announced in December 2023 it had reduced its carbon footprint by more than 16% in 2023 from its 2019 baseline of 2,118 ktCO2e by creating efficiencies across its operations. DP World also joined the First Movers Coalition, setting a target for 5% of its marine power to come from zero-emissions fuels by 2030, marking its commitment to decarbonisation – a sentiment echoed by the Unifeeder Group.

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Unifeeder Invests in Methanol-Powered Vessels

London Super-Hub Fully Operational

Posted on by David Priestman

Ziegler UK are delighted to announce the successful transition into its new super-hub at DP World’s London Gateway Logistics Park. With a sprawling 365,000 square feet of cutting-edge warehouse space, plus state-of-the-art office space and a strategic location, the move marks a significant milestone in Ziegler’s journey to reshape the landscape of multimodal freight logistics, offering a holistic and technologically advanced environment for optimal operations.

Building on strong relations with the Port and DP World, Ziegler‘s proximity to key transportation hubs enhances ability to coordinate road, air, and ocean freight movements with unprecedented efficiency, further solidifying our status as a dominant force in the industry. The expansion ensures swift and efficient transportation of goods throughout the country, overcoming any logistical challenges faced at the previous London Gateway premises.

An advanced inventory management system provides real-time visibility into inventory levels, empowering clients to optimise their operations, eliminate disruptions, and ensure a seamless flow of goods. With 55,000 pallet racking spaces, an optimised loading dock, and 37 docking bays, the landmark move heralds a new era for the company and raises the bar for efficiency in freight and logistics.

At the heart of Ziegler’s operations is a dedicated team of experienced professionals committed to delivering exceptional customer service. Focused on customer satisfaction and peace of mind, Ziegler ensures clients receive unwavering support throughout their shipments’ journey, whether by road, air, or ocean.

This expansion also ignites a recruitment drive that promises to enrich the local community. As Ziegler expands its footprint in freight transportation and logistics, a variety of job opportunities across different areas of the business will be created, empowering the local workforce and bolstering the community’s economic landscape. Whether it’s providing training for warehouse operations or fostering professional growth in administrative roles, Ziegler aims to create a workplace where employees can thrive and build fulfilling careers.

Innovative Solution for Türkiye’s Automotive Supply Chain

Posted on by David Priestman

Thousands of cars are now entering Türkiye after DP World Yarımca introduced an innovative ‘cars in containers’ shipping solution that has helped solve an automotive supply chain crisis in the region.

Congestion at Turkish ports has resulted in significant delays in delivering new vehicles against a backdrop of skyrocketing demand in the burgeoning automotive market. Türkiye recently experienced an auto sales boom with a record 110,000 vehicles sold in June which is a 37.5% year-on-year increase, according to data from Automotive Distributors and Mobility Association (ODMD).

With traditional importation and shipping solutions via ‘roll-on roll-off’ (RoRo) ships facing significant delays due to congestion at RoRo ports, car manufacturers were unable to make timely delivery on purchases. This left customers waiting significantly longer for their new cars and caused prices to inflate across both the new and used vehicle markets.

Using an alternative solution to help make more cars flow into the country more quickly, DP World began importing 10,000 vehicles by putting new SUVs from Chinese automaker Chery Automotive into containers. This meant the vehicle could be offloaded using traditional cranes at lift on lift off (LoLo) ports and did not require a specialised RoRo port or berth, resulting in a significantly more efficient and resilient route to market.

The solution became more feasible when DP World and Chery implemented a specially designed racking arrangement to increase capacity by loading three SUVs into each container instead of two, which helped to improve the cost efficiency of transporting vehicles from China to Türkiye and reduce the cost passed on to consumers. The feasibility of the solution also made Yarımca an important steppingstone for the shipment of Chery Automotive vehicles into the booming Turkish auto market.

With Chery keen to expand its presence in Europe, the cars in container solution is set to be a key part of how it will deliver vehicles to market.

Rashid Abdulla, CEO & Managing Director, DP World Europe said: “When we describe DP World to the outside world we often say we are a global smart trade enabler – this solution is an innovative example of what we mean by that. The automotive industry has experienced significant changes and supply chain challenges in the last few years globally, and in Türkiye that ranged from microchip to RoRo capacity shortages. I’m proud that our team could implement an alternative solution that helped to ease these challenges – and that we played a key role in the expansion of Chery Automotive into the Turkish market.”

Kris Adams, CEO of DP World Yarımca: “Our terminal at Yarimca, which has not traditionally moved vehicles, is now becoming a key hub for new vehicles entering the market. The new innovative solutions we have introduced will help Chery Automotive to establish itself as a significant supplier in this market and in neighbouring countries, offering economic benefits to Türkiye while also helping consumers get their new cars more quickly.”

DP World Yarımca provides seamless connectivity to its customers and partners with an annual handling capacity of 1.15 million TEUs.

Unifeeder Invests in Methanol-Powered Vessels

Posted on by Keith McKinley

Unifeeder Group has signed a long-term time-charter agreement for two new methanol-capable container feeder vessels and has an option for additional two similar vessels.

German-based ship owning group Elbdeich Reederei will build and manage the 1250 twenty-foot equivalent unit (TEU) vessels which will be delivered in 2026. Unifeeder Group plans to deploy the new vessels on its European network, where the new vessels will give a significant contribution to lower the emissions of the network.

Alongside parent company, DP World, Unifeeder is working with partners across the industry to find solutions to the challenge of renewable-methanol supply, which needs off-take commitments to build production at the scale that the industry needs to replace conventional fossil fuels.

In parallel to the delivery of the methanol capable vessels, Unifeeder will continue to improve the fuel efficiency of the entire fleet deployed and increase the use of biofuels on the conventional vessels in the fleet.

Jesper Kristensen, Group CEO of Unifeeder Group, said:

“This is another significant step towards the green transformation of our fleet and our operations. These new vessels can be deployed across our current and future networks, offering a flexible, greener solution to our customers. As the number of methanol-capable vessels increases in both our operations and those of our customers, my hope is that this drives an increase in innovation and production amongst methanol producers. This will then complete a virtuous circle and ensure we can operate more and more methanol capable vessels with the right colour of methanol fuels in our networks. Ultimately though, the greenest fuel is the fuel that is not burned. We strive to offer our customers solutions that support their own sustainability journeys and whilst these new vessels are part of the answer, efficient routing, securing high levels of vessel utilisation and dedicated capacity management across all of our offerings have major roles to play as well.”

The investment in these new ships supports Unifeeder Group’s ambitious decarbonisation plan. Putting its targets well above that of the industry average, Unifeeder has committed to a 25 per cent reduction of emissions by 2030, carbon neutrality by 2040 and net zero emissions by 2050. It aims to achieve this by emphasising fuel-efficient practices, regular maintenance and refitting processes of the existing fleet and fostering a culture of learning and collaboration, sharing best practices across markets to drive effective carbon reduction strategies.

Robert Frese, Managing Director at Elbdeich Reederei, adds: “We believe in methanol-capable vessels as part of a suite of solutions being deployed to reduce carbon emissions in our sector and are happy to contribute with this project to a greener future in shipping. We really look forward to operating these modern state-of-the-art container feeder vessels in our partnership with Unifeeder and hope other market participants will follow this example.”

The newbuilding project is the latest step in a series of efforts that have been undertaken between Unifeeder and Elbdeich Reederei to reduce emissions within the jointly-operated Unifeeder fleet. This includes the first test of Synthetic Natural Gas as a fuel on a commercial vessel, the continuous use of biofuels and various vessel modifications made to reduce the fuel consumption of existing tonnage.

Cargo Owners Encouraged to Shift to Rail

Posted on by David Priestman

DP World has launched a new programme in the UK to help cargo owners reduce their carbon emissions by shifting from road to rail freight.

The Modal Shift Programme, which is being trialled at DP World’s Southampton Logistics Hub, offers customers a financial incentive to move their imported goods off the road and onto rail, cutting carbon emissions and air pollutants – the programme could prevent as much as 30,000 metric tonnes of carbon dioxide being emitted per year. The financial incentive will be paid for by a relatively small charge on all import laden containers coming through DP World Southampton.

Under the scheme, customers whose import-laden containers are moved by rail to a railhead within 140 miles of DP World Southampton will receive a £70 incentive. Containers that are moved by rail to a railhead more than 140 miles from DP World Southampton will be reimbursed the £10 fee on each container.

John Trenchard, UK Commercial & Supply Chain Director at DP World, said: “DP World will help mitigate the impacts of climate change by becoming a net zero logistics organisation by 2050 and continue to support our customers on their own decarbonisation journeys. We invite supply chain partners to review if rail can play a bigger role in their UK supply chains.

“Southampton has traditionally moved more containers by rail more than any other UK terminal. Over the last few years however, there has been a gradual decline in rail share – a consequence of the wider nationwide challenges facing rail freight at present. Through the Modal Shift Programme we aim to increase the rail share up towards 40% by the end of 2025 – supporting the UK Government’s ambition to drive the modal shift from road freight to more environmentally sustainable alternatives like rail.”

DP World was named ‘Sustainability Company of the Year’ at Multimodal 2023 thanks, in part, to the Modal Shift Programme. The company was also recognised for delivering a 55% reduction in net carbon emissions from its fleet and installations at Southampton in 2022 after transitioning to Hydrotreated Vegetable Oil (HVO) and its £12m investment at London Gateway in the first all-electric fleet of straddle carriers to go into commercial operation at a port anywhere in the world.

In addition to its UK hubs at Southampton and London Gateway, DP World’s offer includes logistics, forwarding and European transport capabilities, all of which are being integrated into the company’s global network. Operating in 78 countries, DP World now handles 10 per cent of world trade.

Largest Music and Video Warehouse Opens

Posted on by David Priestman

DP World, a leading provider of global end-to-end supply chain solutions, will this month open the UK’s largest distribution warehouse for physical music and video. Located in Bicester, Oxfordshire, the facility is being launched in partnership with Utopia Distribution Services, who entered into a £100 million deal with DP World to provide warehousing and logistics for physical music goods in the UK earlier this year.

The 25,000 sq. metre site will now become the de-facto centre for music and home entertainment distribution in the UK, handling 70% of physical music and 35% of home entertainment products sold in the UK annually – approximately 30 million units, including vinyl records, DVDs and CDs. It will service retailers across the UK, including Amazon, HMV, industry wholesalers and over 400 independent record stores.

The warehouse will have a daily handling capacity of over 100,000 units, increasing to over 250,000 during peak periods, driven by 80+ state of the art pick robots designed by US manufacturer Locus Robotics. The warehouse will employ 240 workers, and will significantly expand DP World’s unit handling capacity across its UK operations – facilitating new growth opportunities in the warehousing sector.

The warehouse opening follows ongoing demand for physical music and video in the UK, with 17.3m physical albums sold in 2022, with CDs comprising the majority of purchases (55.2%). Selling more than 5.5m units last year, vinyl also continues its rise and currently remains on track for a 16th consecutive year of growth. The video physical retail market also boasted a £209m value in 2022, with sales of formats like Blu-ray and 4k UHD rising by 7% to £91.7m YOY.

Jonathan Himsworth, Vice President Sales at DP World Logistics, said: “DP World brings together an unparalleled combination of assets and expertise to build creative solutions to the hardest problems in logistics, and this is why so many of the world’s largest and most recognisable brands trust us to deliver on their supply chain needs. To this end, we are very excited about working with Utopia Music to support the renaissance of physical music in the UK.”

Drew Hill, MD Utopia Distribution Services and VP Distribution Services, Utopia Music, added: “We’re pleased to be working closely with DP World on a smooth transition to our brand new state-of-the-art facility. With UDS distributing for over 50% of the UK’s combined music and video market, our investment in this infrastructure marks a bright and exciting future for physical entertainment.”

In addition to its UK hubs at London Gateway and Southampton, DP World’s offer includes the P&O Ferries and P&O Ferrymasters subsidiaries, and contract logistics businesses respectively, all of which are being integrated into the company’s global network. Operating in 78 countries, DP World now handles 10 per cent of world trade.

Pusan Terminal First to Implement BOXBAY

Posted on by Keith McKinley

DP World has announced the first commercial use of its revolutionary BOXBAY high-bay storage system at their terminal in Pusan, South Korea.

A contract was signed on 8th March between Pusan Newport Corporation (PNC) and Boxbay FZCO — a joint venture of DP World and German plant technology supplier, SMS group – initiating the design and engineering works for the site. The signing took place in Jebel Ali Free Zone, Dubai, and was signed by Sultan Ahmed Bin Sulayem, Group Chairman and CEO of DP World and Burkhard Dahmen, Chairman and CEO of SMS group, the partners behind BOXBAY.

PNC already operates one of the highest performing container terminals in Asia. The addition of BOXBAY’s technology will allow PNC to boost its efficiency even further.

The BOXBAY high-bay storage technology will be seamlessly integrated along with the existing mode of ARMG/truck operations as a retrofit on an existing empty storage area. The system allows direct access to each container at any time, eliminating 350,000 unproductive moves per year. This will improve the overall truck servicing time by 20 percent, further improving PNC service delivery to its customers.

BOXBAY is fully automated with additional safety features built in. DP World also intend to power it by using solar power, generated by photovoltaic panels on the roof of the storage system, complementing DP World’s drive to decarbonise operations.

Tiemen Meester, COO Ports & Terminals, DP World, said:

“We have long invested in new and innovative technology that will improve and modernise our ports and terminals. It’s a tremendous step forward to announce our first commercial use of BOXBAY. The PNC terminal is an exemplary operation that is already technologically advanced and forward focused. With the introduction of the BOXBAY high-bay storage system, we will be able to better serve our customers while keeping our people safe and cutting carbon emissions from the environment.”

Glen Hilton, CEO & Managing Director, DP World Asia Pacific & Australasia, said:

“We are delighted to see this technology implemented first at one of our terminals. Safety, sustainability and efficiency are huge drivers for our business. We look forward to working with the PNC and BOXBAY teams to implement this system without any interruption to our current services.”

DP World developed BOXBAY in a joint venture with German plant technology supplier SMS group, who originally created the storage system to handle heavy metal coils. Having proven the technology in the metals industry, it was refined for port logistics. DP World and SMS built a pilot facility at Jebel Ali’s Terminal-4 in January 2021. By the end of June 2022, 190,000 container movements had been carried out under realistic operating conditions to verify the market maturity of the system.

DP World has a 66% stake in PNC, which handled 5.3 million TEUs in 2021. PNC operates in Pusan port, which is the tenth largest in the world.

P&O Maritime Logistics Aids Offshore Wind Farms

Posted on by Keith McKinley

P&O Maritime Logistics, a leading provider of maritime services globally, today announced plans to convert one of its Multi-Carrying Vessels (MCV’s) into a Cable-Laying Vessel (CLV). Powered by alternative energy, the vessel will be the first-of-its-kind within the company’s fast-expanding portfolio of specialised offshore products and services.

Set to start operations in the third quarter of 2024, the conversion aligns with P&O Maritime Logistics’ commitment to decarbonising the industry by progressively moving towards zero-carbon operations. To achieve these ambitious goals, the company’s newly converted vessel will be equipped with a state-of-the-art battery system, as well as a low fuel consumption propulsion layout for green methanol fuel.

Supporting P&O Maritime Logistics’ global expansion plans and product offering, the new CLV will give P&O Maritime Logistics’ customers the ability to connect offshore structures and bring offshore energy onshore by installing export and inner array cables across vast distances. The company anticipates that one of the main use of the vessel will be to connect offshore wind farms with the mainland, marking yet another contribution in the company’s effort to enable the Green Energy Shift.

Martin Helweg, CEO of P&O Maritime Logistics said:

“The conversion of our vessel is a real step change. It means, apart from expanding our existing services and products into a more specialised offering, that we can also make a positive contribution to the decarbonisation of our industry. One way of doing this is by using alternative energy to power the converted vessel. The other important contribution is that the Cable Laying Vessel will predominately support the construction, development, and maintenance of existing and prospective wind farms. Lastly, and by repurposing an existing vessel, we are able to extend the lifetime of this particular product quite significantly to keep up with the increasing demand in the sector.”

Speaking about the conversion, Marc van der Zwaluw, Project Manager at C-Job Naval Architects, said:

“We are pleased to support P&O Maritime Logistics with the design of a cable-laying vessel by repurposing an existing module carrier vessel. With the increasing demand in the offshore wind sector, this vessel will be able to meet the operational demands for the installation of next-generation windmill infrastructure thanks to its optimised deck layout.

“Furthermore, in close cooperation with P&O Maritime Logistics, we were able to create a design that was best suited to their operational profile. The design focused on optimised vessel performance and features a DP-2 positioning system and a low fuel consumption propulsion layout that is ready for green methanol fuel and zero emission operations.”

The conversion by P&O Maritime Logistics builds on the company’s recent success in Taiwan with the Topaz Installer. The newly converted vessel will have the ability to host up to 64 seafarers and features a single basket cable carousel with an outside diameter of 24 meters. With this astounding span, a core height of 5.5, as well as a 30 tons SWL AHC subsea crane, the newly converted vessel is a testament to P&O Maritime Logistics commitment to adapt its portfolio for future energy needs.

P&O Maritime Logistics, a DP World company, last completed a study calculating the Scope 3 emissions footprint using a spend-based methodology. The study will be verified through an external auditor and reported in DP World’s 2022 Annual and ESG Reports. Following the establishment of the methodology and baseline, DP World is developing a strategy to reduce Scope 3 emissions which focuses on top emission hotspots. In 2023, DP World intends to work with key suppliers in those categories to understand their footprint and set out decarbonisation targets and strategies, jointly moving towards emission reductions.

Transport of Villas for Red Sea Resort

Posted on by Keith McKinley

P&O Maritime Logistics, a leading provider of critical logistics and marine solutions, will use its versatile Multi Carrying Vessel (MCV) fleet to transport off-site manufactured pre-finished volumetric hotel villas to the Sheybarah Island Resort on Saudi Arabia’s Red Sea Coast.

P&O Maritime Logistics has signed a new contract with global heavy lifting and transport specialist Mammoet to transport the unique hotel villas, all the way from Hamriyah to the Sheybarah Island Resort.

The two companies are supporting Red Sea Global in its ambitious project, which champions regenerative tourism and sustainable development in the Kingdom.

The Sheybarah Island Resort is a cornerstone project and part of the Saudi 2030 vision and will consist of a total of 73 uniquely shaped and prefabricated villas, some of which will hover above the island’s diverse ecosystem. The stainless-steel orbs were conceptualised by Oppenheim Architecture, based in Miami and designed by Killa Design, the same designers of Dubai’s Museum of the Future, promising a unique experience for guests when the resort opens. With mangroves, beaches and coral reefs, the resort will utilise the latest sustainable and eco-friendly technologies to preserve and enhance the local environment.

The MCVs selected for the project were serviced in drydock facilities before the contract in order to limit their possible impact on local marine life – and their ballast systems were filled with water from the Red Sea to reduce the chance of introducing foreign organisms. Additionally, the shallow draft of MCVs and with the versatile thruster arrangement used on P&O Maritime Logistics vessels mean that there will be minimal disturbance of the shallow seabed.

Additionally, The MCVs’ shallow draft makes them an ideal vessel for accessing areas where larger ships are unable to fit due to their size. The MCVs have the unique ability to allow efficient and timely delivery to site using the just-in-time principle, with minimal congestion for the production facility and project site, delivering a cost-effective customer solution.

Martin Helweg, CEO of P&O Maritime Logistics, said: “As a company headquartered in Dubai, we regularly operate in the Red Sea and around the Middle East. It is particularly exciting that our MCV fleet has been so successful in this region on a variety of projects.”

P&O Maritime Logistics, a subsidiary of DP World, recently chartered a new route between the Port of Jeddah and Port Sudan, where its MCV fleet is carrying containers across the Red Sea for the first time, brining additional volumes and reducing waiting times for main line carriers.

Helweg continued: “We are also delighted to be supporting Mammoet in the development of the Sheybarah Island Resort, as part of Red Sea Global’s Red Sea mandate. Sustainability is at the heart of our business, and transporting the villas is just one example of how we are increasing our capacity for projects that promote sustainable development.”

P&O Maritime Logistics owns and operates 400 vessels worldwide, providing a wide portfolio of value-add services to customers. Guided by DP World‘s industry-leading approach to sustainability, P&O Maritime Logistics supports its customers in building a more sustainable future by creating flexible solutions and ensuring both operational efficiency and excellence.

Jad Ayoub, Project Director for Mammoet said: “We are pleased to have P&O Maritime Logistics supporting us with the shipment of villas for the Sheybarah Island Resort. We have selected P&O Maritime Logistics for its vessels with shallower drafts that will have minimal impact on the sensitive marine environment of the Red Sea. With Mammoet’s ongoing commitment to sustainability and sustainability being the vision for the project, it was crucial to partner with a company that ensures their operations and values are aligned with ours.”

5% Growth for London Gateway and Southampton

Posted on by Keith McKinley

DP World saw a 5% rise in the volume of trade handled by its two hubs in the UK last year, London Gateway and Southampton Port, as the leading provider of smart logistics solutions continued to extend its reach further into the supply chain.

London Gateway alone reported a 14% rise in volumes to 2,053,000 TEU – the first time it has ever exceeded two million units in a year, consolidating its position as Britain’s second biggest container terminal. Together with Southampton, the two terminals handled a record 3,850,000 TEU compared with 3,675,000 in 2021.

Ernst Schulze, UK Chief Executive of DP World, said: “We help trade flow across the globe and this outstanding performance shows our ability to deliver on our commitment to boost growth, support businesses, create jobs and improve living standards in the UK.”

“Within a decade, London Gateway is likely to be handling up to 30% of the country’s containerised trade. Its port-centric logistics park will be one of the largest in Europe, employing 12,000 people and underpinned by investment in a second rail terminal and a new fourth berth.”

“At Southampton, we are investing to future-proof the port by improving its infrastructure and introducing warehousing facilities for our customers. We are committed to expanding its capacity as well as making it one of Britain’s most sustainable ports.”

London Gateway volumes rose

Last month, DP World recently partnered with Economist Impact to launch the latest edition of Trade in Transition, a global trade barometer. The research showed that companies in the UK experienced strong growth in 2022, with expansion of up to 50% in the value of exports reported by 62% of those surveyed. 53% reported a similar rise in the value of imports.

Record 3,850,000 TEU

With a global network spanning more than 300 business units in 76 countries DP World is continuing to extend its capabilities across the UK supply chain, with the latest step the launch of a new intermodal train service in November connecting London Gateway and Southampton.

Over the last 10 years DP World has invested £2 billion in the UK, supporting thousands of jobs. Over the next 10 years the logistics provider has earmarked a further £1 billion of investment, with a £350m new fourth berth at London Gateway now well under construction.

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