Tanker: An Overview
A tanker is a ship designed to transport or store liquids or gases in bulk within its cargo spaces. There are different types of tankers depending on the nature and quantity of the cargo they carry. Some of the most common types are oil tankers, chemical tankers, gas carriers, and product tankers. Oil tankers transport crude oil from oil fields to refineries or petroleum products from refineries to distribution centers. Chemical tankers carry various chemicals that require special handling and equipment. Gas carriers transport liquefied natural gas (LNG) or liquefied petroleum gas (LPG) under high pressure or low temperature. Product tankers carry refined petroleum products such as gasoline, diesel fuel, jet fuel, or fuel oil. Tankers play a vital role in the global economy and energy supply chain. They enable the efficient and cost-effective movement of large volumes of liquids and gases across long distances. They also facilitate the trade and integration of different regions and markets. According to the United Nations Conference on Trade and Development (UNCTAD), in 2020 tankers accounted for about 28% of the world's total seaborne trade by tonnage and about 52% by value. History of tankers
The concept of transporting liquids in bulk by sea emerged in the late 19th century as a result of the development of oil refining and the growth of oil demand. The first oil tankers were converted sailing ships that carried oil in wooden barrels or iron tanks. In 1876, Ludvig and Robert Nobel, brothers of Alfred Nobel, founded Branobel (short for Brothers Nobel) in Baku, Azerbaijan. It was one of the largest oil companies in the world at that time and pioneered the use of steam-driven tankers with steel hulls and pumps. The modern oil tanker was developed in the period from 1877 to 1885. The first purpose-built oil tanker was Zoroaster, launched in Sweden in 1878 for Branobel. It had a capacity of 242 tons and could carry oil in two iron tanks separated by a bulkhead. The first ocean-going oil tanker was Vaderland, built in England in 1873 for the American-Belgian Red Star Line. It had a capacity of 3,500 tons and could carry oil in four cylindrical tanks. Since then, tankers have evolved significantly in terms of size, design, technology, and safety. Some of the major milestones and innovations in tanker history are: - In 1886, Glückauf became the first tanker with a raised forecastle deck to protect the crew from waves and weather. - In 1892, Murex became the first tanker to pass through the Suez Canal. - In 1902, Thomas W. Lawson became the world's first sailing tanker with seven masts. - In 1909, Deutschland became the first diesel-powered tanker. - In 1914, Brucia became the first tanker to use a submerged propeller instead of a paddle wheel. - In 1921, West Zeda became the first tanker with a bulbous bow to reduce water resistance. - In 1938, Batillus became the first supertanker with a capacity of over 100,000 deadweight tons (DWT). - - In 1959, Methane Pioneer became the first LNG carrier to transport liquefied natural gas across the Atlantic Ocean. - In 1966, Torrey Canyon became the first major oil tanker disaster, causing a massive oil spill off the coast of Cornwall, England. - In 1979, Knock Nevis became the largest tanker ever built, with a capacity of 564,763 DWT and a length of 458 meters. - In 1989, Exxon Valdez became one of the worst oil tanker accidents in history, spilling about 11 million gallons of crude oil in Prince William Sound, Alaska. - In 1993, Erika became the first tanker to use a double hull, a design that reduces the risk of oil leakage in case of hull damage. - In 2003, Prestige became the first tanker to sink while carrying heavy fuel oil, causing a major environmental disaster off the coast of Spain. - In 2016, MOL Triumph became the first ultra large container ship (ULCS) to surpass 20,000 twenty-foot equivalent units (TEU) in capacity. - In 2020, Nave Andromeda became the first tanker to be involved in a hijacking attempt by stowaways off the coast of England. Tanker market and trends
The tanker market is influenced by various factors such as supply and demand of oil and gas, freight rates and costs, market cycles and seasonality, geopolitical events and conflicts, and regulatory and policy changes. The tanker market is also characterized by high volatility and uncertainty due to the complex and dynamic nature of these factors. According to Clarksons Research, in 2020 the global tanker fleet consisted of about 15,000 vessels with a total capacity of about 600 million DWT. The largest segment was crude oil tankers, accounting for about 40% of the fleet by number and about 60% by capacity. The second largest segment was product tankers, accounting for about 30% by number and about 20% by capacity. The third largest segment was gas carriers, accounting for about 20% by number and about 10% by capacity. The remaining segments were chemical tankers, asphalt/bitumen tankers, vegetable oil tankers, and wine tankers. The following table shows the breakdown of the global tanker fleet by type and size as of January 2021: Tanker Type Size Range (DWT) Number of Vessels Total Capacity (DWT) ----------- ---------------- ----------------- -------------------- Crude Oil Tankers VLCC (200,000+) 810 246.4 million Crude Oil Tankers Suezmax (120,000-200,000) 573 88.8 million Crude Oil Tankers Aframax (80,000-120,000) 799 74.7 million Crude Oil Tankers Panamax (60,000-80,000) 559 38.5 million Crude Oil Tankers Handysize (10,000-60,000) 1,113 37.9 million Product Tankers LR2 (80,000-120,000) 255 24.1 million Product Tankers LR1 (55,000-80,000) 392 25.8 million Product Tankers MR (25,000-55,000) 1,571 58.7 million Product Tankers Handysize (10,000-25,000) 1,798 29.5 million Gas Carriers LNG (50,000+) 596 34.4 million Gas Carriers LPG (10,000-50,000) 1,393 22.6 million Chemical Tankers LR2 (80,000+) 14 1.1 million Chemical Tankers LR1 (45,000-80,000) 83 Chemical Tankers LR1 (45,000-80,000) 83 5.3 million Chemical Tankers MR (25,000-45,000) 494 16.9 million Chemical Tankers Handysize (10,000-25,000) 1,057 17.6 million Other Tankers Various 1,028 13.4 million Total - 15,043 599.7 million Source: Clarksons Research The tanker market experienced a turbulent year in 2020 due to the unprecedented impact of the COVID-19 pandemic on the global oil and gas demand and supply. The pandemic caused a sharp decline in oil consumption and a collapse in oil prices, leading to a glut of oil inventories and a surge in tanker demand for storage and floating storage. This resulted in record-high freight rates and earnings for tankers in the first half of the year, especially for VLCCs and LR2s. However, the tanker market reversed in the second half of the year as oil production cuts by OPEC+ and other producers reduced the availability of cargoes and increased the competition among tankers. Moreover, the recovery of oil demand was slow and uneven due to the resurgence of COVID-19 cases and the implementation of lockdown measures in many countries. This resulted in record-low freight rates and earnings for tankers in the second half of the year, especially for MRs and Handysizes. The outlook for the tanker market in 2021 remains uncertain and challenging due to the ongoing effects of the COVID-19 pandemic and the evolving dynamics of the oil and gas market. According to Clarksons Research, the tanker demand is expected to grow by 3.4% in 2021, driven by the gradual recovery of oil consumption and trade as the vaccination programs and stimulus measures boost the global economic activity and mobility. However, the tanker supply is also expected to grow by 3.2% in 2021, driven by the high level of newbuilding deliveries and low level of scrapping. This implies that the tanker market will remain oversupplied and depressed in 2021, with low freight rates and earnings for most tanker segments. Some of the key factors and challenges that will affect the tanker market in 2021 and beyond are: - The pace and extent of the recovery of oil demand and supply from the COVID-19 pandemic, which will depend on the effectiveness of the vaccination programs, the easing of lockdown measures, the stimulus policies, and the consumer behavior. - The compliance and coordination of OPEC+ and other producers with their production cuts or increases, which will affect the availability and price of oil cargoes and the balance between long-haul and short-haul trades. - The geopolitical tensions and conflicts in some key oil-producing regions, such as Iran, Iraq, Libya, Venezuela, Nigeria, and Yemen, which will pose risks to oil supply disruptions and tanker security. - The environmental regulations and policies that aim to reduce greenhouse gas emissions and improve air quality, such as IMO 2020 (low-sulfur fuel regulation), IMO 2030 (carbon intensity reduction target), IMO 2050 (greenhouse gas reduction target), EU ETS (emission trading system), EEXI (energy efficiency existing ship index), CII (carbon intensity indicator), etc., which will increase operational costs and require technological innovations for tankers. - The digitalization and automation of tanker operations and management, such as blockchain, artificial intelligence, big data analytics, internet of things, smart sensors, etc., which will enhance efficiency, transparency, safety, and sustainability for tankers. Tanker safety and environmental issues
Tanker operations involve various risks and hazards that can threaten human lives, property, environment, and reputation. Some of the common risks and hazards associated with tanker operations are: - Fire and explosion, which can occur due to the ignition of flammable vapors or liquids in the cargo tanks, engine room, or other spaces. The causes of fire and explosion can include static electricity, sparks, hot surfaces, leaks, faulty equipment, human error, sabotage, or terrorism. - Collision and grounding, which can occur due to the loss of control, navigation, or maneuverability of the tanker or other vessels. The causes of collision and grounding can include poor visibility, bad weather, traffic congestion, human error, mechanical failure, communication breakdown, or piracy. - Spillage and leakage, which can occur due to the damage or rupture of the hull, cargo tanks, pipelines, valves, or fittings. The causes of spillage and leakage can include fire, explosion, collision, grounding, corrosion, fatigue, stress, or sabotage. - Piracy and armed robbery, which can occur due to the attack or boarding of the tanker by criminals or terrorists. The motives of piracy and armed robbery can include theft, ransom, hijacking, sabotage, or political agenda. Tanker safety and environmental issues have significant implications for the tanker industry and society. They can result in loss of lives, injuries, property damage, environmental damage, legal liability, financial losses, operational disruptions, reputational damage, regulatory sanctions, and public outcry. Therefore, it is essential for the tanker industry to adopt and implement high standards and best practices for tanker safety and environmental protection. Some of the safety standards and best practices for tanker management are: - Double hulls: A double hull is a design feature that consists of two complete watertight layers of hull structure. It provides an extra layer of protection between the cargo tanks and the sea water in case of hull damage. It also reduces the risk of corrosion and pollution. Double hulls are mandatory for all new oil tankers since 1996 under the International Convention for the Prevention of Pollution from Ships (MARPOL). - Inert gas systems: An inert gas system is a system that fills the cargo tank spaces with an inert gas such as nitrogen or flue gas. It prevents the formation of flammable mixtures of air and cargo vapors in the cargo tanks. It also reduces the risk of corrosion and pollution. Inert gas systems are mandatory for all oil tankers over 20,000 DWT since 1983 under the International Convention for the Safety of Life at Sea (SOLAS). - Emergency towing arrangements: An emergency towing arrangement is a system that enables a disabled tanker to be towed by another vessel in case of an emergency. It consists of a strong point at the fore and aft ends of the tanker and a towing line with a quick-release mechanism. It facilitates the rescue and salvage operations and reduces the risk of collision, grounding, or spillage. Emergency towing arrangements are mandatory for all oil tankers over 20,000 DWT since 2010 under SOLAS. - Crew training: Crew training is a process that ensures that the tanker crew members have the necessary knowledge, skills, and competencies to perform their duties safely and efficiently. It covers various aspects such as navigation, communication, - Crew training: Crew training is a process that ensures that the tanker crew members have the necessary knowledge, skills, and competencies to perform their duties safely and efficiently. It covers various aspects such as navigation, communication, cargo handling, firefighting, first aid, security, and emergency response. Crew training is regulated by the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) and the International Safety Management (ISM) Code. Some of the environmental impacts and concerns of tanker activities are: - Air pollution: Air pollution is the emission of harmful substances into the atmosphere from the tanker's engines, boilers, generators, and cargo tanks. It can cause health problems for humans and animals, acid rain, smog, climate change, and ozone depletion. Some of the main air pollutants from tankers are sulfur oxides (SOx), nitrogen oxides (NOx), carbon dioxide (CO2), particulate matter (PM), volatile organic compounds (VOCs), and methane (CH4). - Greenhouse gas emissions: Greenhouse gas emissions are the emission of gases that trap heat in the atmosphere and contribute to global warming and climate change. The main greenhouse gas from tankers is CO2, which accounts for about 3% of the global CO2 emissions from human activities. Other greenhouse gases from tankers are CH4, nitrous oxide (N2O), and refrigerants (HFCs). - Oil spills: Oil spills are the accidental or deliberate release of oil into the sea from the tanker's hull, cargo tanks, pipelines, valves, or fittings. They can cause severe damage to the marine environment and wildlife, coastal ecosystems and communities, fisheries and tourism, and human health and safety. Some of the major oil spills from tankers in history are Torrey Canyon (1967), Amoco Cadiz (1978), Exxon Valdez (1989), Erika (1999), Prestige (2002), and Deepwater Horizon (2010). - Marine life disturbance: Marine life disturbance is the impact of tanker activities on the behavior, health, and survival of marine animals such as whales, dolphins, seals, turtles, fish, and birds. It can be caused by noise, vibration, light, heat, water currents, or physical contact from the tanker's hull, propeller, anchor, or equipment. It can affect the marine animals' communication, navigation, feeding, breeding, migration, and habitat. Conclusion
Tankers are essential for transporting and storing liquids and gases in bulk across the world. They have a long and rich history of innovation and development. They also face a dynamic and challenging market environment that requires adaptation and resilience. They also pose significant risks and challenges for safety and environmental protection that require high standards and best practices. Some of the recommendations or suggestions for improving tanker performance and sustainability are: - Investing in research and development of new technologies and solutions that can enhance efficiency, - Investing in research and development of new technologies and solutions that can enhance efficiency, safety, and environmental performance of tankers, such as alternative fuels, renewable energy, emission reduction devices, waste management systems, etc. - Promoting cooperation and collaboration among the tanker industry stakeholders, such as owners, operators, charterers, brokers, regulators, insurers, classification societies, ports, terminals, etc., to share best practices, exchange information, and resolve issues. - Strengthening the regulatory framework and enforcement mechanisms for tanker safety and environmental protection, such as adopting and implementing international conventions and standards, conducting inspections and audits, imposing sanctions and penalties, etc. - Raising awareness and education among the tanker crew members and the public about the importance and benefits of tanker safety and environmental protection, such as providing training and guidance, conducting campaigns and events, publishing reports and statistics, etc. FAQs
Q: What is the difference between a tanker and a bulker? A: A tanker is a ship that transports or stores liquids or gases in bulk within its cargo spaces. A bulker is a ship that transports or stores dry bulk commodities such as coal, iron ore, grain, etc. in bulk within its cargo holds. Q: What is the difference between a VLCC and an ULCC? A: A VLCC (very large crude carrier) is a tanker with a capacity of 200,000 to 320,000 DWT. An ULCC (ultra large crude carrier) is a tanker with a capacity of more than 320,000 DWT. Both are used to transport crude oil over long distances. Q: What is the difference between a LR2 and an MR? A: A LR2 (long range 2) is a product tanker with a capacity of 80,000 to 120,000 DWT. An MR (medium range) is a product tanker with a capacity of 25,000 to 55,000 DWT. Both are used to transport refined petroleum products over medium to long distances. Q: What are some of the advantages and disadvantages of using tankers for transporting liquids and gases? A: Some of the advantages of using tankers are: - They can transport large volumes of liquids and gases over long distances at low costs. - They can access remote or isolated areas that have no pipelines or other infrastructure. - They can provide flexibility and security for the supply chain by adjusting to the market conditions and demand fluctuations. Some of the disadvantages of using tankers are: - They pose significant risks and challenges for safety and environmental protection due to the nature and quantity of their cargoes. - They face high volatility and uncertainty in their market environment due to the complex and dynamic factors that affect their supply and demand. - They require high capital investment and maintenance costs for their construction and operation. Q: How can I learn more about tankers and the tanker industry? A: Some of the sources that you can use to learn more about tankers and the tanker industry are: - The International Association of Independent Tanker Owners (INTERTANKO), which is a trade association that represents the interests of independent tanker owners and operators worldwide. It provides information, publications, events, training, etc. on tanker-related topics. You can visit their website at - The International Tanker Owners Pollution Federation (ITOPF), which is a not-for-profit organization that provides technical advice and assistance on effective response to spills of oil and chemicals from tankers. It also collects and analyzes data on tanker spills and publishes reports and statistics. You can visit their website at - The Tanker Shipping & Trade magazine, which is a publication that covers the latest news, analysis, trends, and developments in the tanker industry. It also features interviews, case studies, - The Tanker Shipping & Trade magazine, which is a publication that covers the latest news, analysis, trends, and developments in the tanker industry. It also features interviews, case studies, opinions, and awards on tanker-related topics. You can visit their website at I hope you found this article helpful and informative. If you have any questions or feedback, please feel free to contact me. Thank you for reading.
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