Interspill 2015, Amsterdam 26 March 2015

Sam Kendall-Marsden Syndicate Director, Atlantic Syndicate

Pollution aspects of Costa Concordia

Contents

– Introduction – Bunker removal – Oil spill response – Other pollutants – Closing thoughts

2

Introduction

3

MSC Chitra

4

Amadeo 1

5

Costa Concordia

6

Bunker removal

7

Bunker removal

–  Wreck removal order

–  Pollutants to be removed

–  Risk of environmental damage

8

Wreck in a perilous position…

9

…in a very sensitive location!

10

Situation of wreck

–  Aground on starboard side

–  Approximately 15 metres depth

–  Hydrocarbons: 2,280 cubic metres, plus “black water” and other pollutants

–  Fuel tanks intact

–  Wreck stable?

–  No spillage – yet!

11

The response

–  Attendance on site

–  Liaison with salvors

–  Analysis of legal position

–  Options

12

Expert assistance

–  ITOPF –  Not for profit marine ship pollution response advisors

–  London Offshore Consultants –  Leading international marine and engineering consultancy, providing advice

on and attending marine salvage and wreck removal operations

–  Hill Dickinson –  International commercial law firm, expert in maritime casualty matters

13

Bunker removal contract

–  Mini tender (Smit-Neri and Titan)

–  Smit-Neri contract – 18 January 2012

–  Immediate deployment

–  Recovery and removal of accessible oils (so far as reasonably practicable) and anti-pollution response and clean-up

–  BIMCO Wreckhire plus bonus and penalty provisions to incentivise timely performance

14

3D model for hot tap placement

15

Context

16

Emergency responders

17

The glare of the media spotlight

18

Multiple agencies

19

–  Fire Brigade

–  Coastguard

–  Ministry of Defence - Navy

–  Provincial, state and financial police

–  Alpine Rescue

–  Civil Protection

–  Castalia

…and more!

20

–  Giglio Island Town Council

–  Province of Grosseto

–  Tuscany Regional Council

–  Civil Defence Department

–  Livorno Harbour Master’s Office

–  Ministry of Health – Higher Health Institute

–  Ministry of the Environment

…and even more!

21

–  Customs Authorities

–  Regional Authority for the Environmental Protection of Tuscany (ARPAT)

–  Higher Institute for the Protection of the Environment (ISPRA)

–  Ministry of Cultural Heritage and Environmental Conservation (Tuscany)

–  Ministry of Infrastructure and Transport – Management of Ports

Operational issues

22

–  Access and mooring

–  Weather downtime

–  Availability of information

–  Managing the authorities

–  Hot tap placement

Operational issues – cont’d

23

–  Bilge and “black” water

–  Wedges and “clingage”

–  Inaccessible tanks – lubricating oil

–  Maintaining hull strength

Challenges

24

–  Working with multiple authorities for prolonged period

–  Emergency response phase –  Navy concern about wreck stability

–  Background of environmental concerns

–  Sign-off and completion

Success!

25

–  Hydrocarbons on board: 2,280 cubic metres

–  Pumped: 2,037 cubic metres

–  Removed by skimmer: 6 cubic metres

–  Total removed: 2,043 cubic metres –  Remaining: 237 cubic metres

Oil spill response

26

Oil spill response

27

–  Castalia –  Government mandate to provide oil spill response

–  Oil pollution prevention plan –  Craft, personnel, equipment and methodology

–  The response –  Booms, oil spill response resources, debris removal resources

Boom arrangement - wreck

28

Boom arrangement - coast

29

Boom arrangement

30

Boom deployment

31

Absorbent boom deployment

32

Deployment – cont’d

33

Boom deployment at sea

34

Protecting the environment and tourism

35

Challenges

36

–  Cost over a long-term (2 ½ years) project –  Bought boom and repaired damaged boom

–  Protecting high-seas boom in bad weather –  Withdraw and redeploy?

–  Residual concerns about hydrocarbons remaining on board

–  Reasonable, proportionate response or overkill?

Case study: responding to a spill

37

–  Heavy fuel oil spill detected (flange detachment from hot-tap valve system)

–  Immediate response by clean-up team

–  Containment: high-seas boom and absorbent boom

–  Skimmers deployed

–  Harbour entrance closed as a precaution

–  Resolved

Responding to a spill

38

Other pollutants

39

Other pollutants

40

–  Inventory of over 4,000 different potential pollutants on board –  Batteries, toner, medical supplies, food, debris etc

–  Wreck flooded to decks 6/7 post-parbuckling

–  Concern about emission on parbuckling, refloating and towage

–  Local concern: inlet for desalination plant

Solutions

41

–  Internal water management plan –  Egress of water –  Pollution risks –  Preventative measures

–  Sampling –  Different compartments –  Different depths –  Organic pollutants, heavy metals and hydrocarbons

–  Modelling

Modelling

42

Solutions – cont’d

43

–  On-board treatment explored – not practical

–  Test results confirmed no significant threat to the marine environment

–  But, limited flushing by pumping selected compartments

–  No significant pollution on parbuckling or refloating

–  Oil spill response and debris collection on towage

Closing thoughts

44

Closing thoughts

45

–  Involve appropriate experts

–  Response to be effective

–  But, need for proportionality and reasonableness

–  Effective engagement with the authorities vital

–  Are the authorities equipped – personnel and resources?

Closing thoughts – cont’d

46

–  Single point of contact? E.G. UK SOSREP

–  Single decision-maker Vs decision-making by committee

–  Politically-neutral decision-makers?

–  Likely effect of the Nairobi Convention?

–  International Group MoU

Questions?

47

Regulatory status

48

The Standard Club Ltd is regulated by the Bermuda Monetary Authority. The Standard Club Ltd is the holding company of the Standard Club Europe Ltd and the Standard Club Asia Ltd. The Standard Club Europe Ltd is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The Standard Club Asia Ltd is regulated by the Monetary Authority of Singapore. Charles Taylor Services Limited (CTS) is authorised and regulated by the Financial Conduct Authority to carry out general insurance mediation activities for commercial clients. For more details please see www.fsa.gov.uk/register/home.do or call the FCA on 0845 606 1234. CTS is a wholly owned subsidiary of Charles Taylor Holdings Limited. The ultimate parent and controlling company is Charles Taylor plc.

www.standard-club.com www.ctplc.com

49