pdf Club Circular 18.11.2010 CARGO WARNING – INDONESIA CRUDE IRON ORE.PDF

Further to the recent advices that The Association has circulated regarding problems with regard bulk cargoes liquefying during transportation we would like to bring to your attention to following recently issued by the BIMCO Secretariat.

“The BIMCO Secretariat has received information that solid bulk cargoes described as either “crude iron ore” or just “iron ore” and declared as “Group C” cargoes are being offered fo loading at the Indonesian port of Sampit.

Group C cargoes under the International Maritime Solid Bulk Cargoes (IMSBC) Code are cargoes that would neither liquefy nor possess chemical hazards. However, when samples of these cargoes were tested at a laboratory in the United Kingdom, it was found that the cargoes were in fact “Group A” cargoes (i.e., a cargo which may liquefy if shipped at moisture content in excess of its Transportable Moisture Limit (TML)). For the samples in question, the moisture content exceeded both the TML and the Flow Moisture Point (FMP) and the cargoes could not be accepted for carriage in accordance with the IMSBC Code. Although presented for shipment from the same port, the cargoes differed in particle size and distribution, indicating that they originated from different sources and/or were produced in different manner.

In addition to the misdeclaration of the cargo, no information was provided by the shippers regarding the FMP and TML of the cargo. It has also been reported that no suitable testing laboratory facilities are available in the area capable of determining the FMP and TML.

The Secretariat has been further informed of recent industry reports of similarly misdeclared cargoes of iron ore fines being offered for loading at other Indonesian ports including Padang and Lhoong in Sumatra and Sebuku Island off Kalimantan.

Based on the laboratory findings, cargoes from Indonesia described as “crude iron ore” or “iron ore” should be regarded as being iron ore fines and should be treated as if they are Group A cargoes and carried in accordance with IMSBC Code requirements for such cargoes. A certificate of declaration on the moisture content and TML should be provided by the shipper prior to loading. Having said that, members are advised to exercise great caution when contemplating the carriage of these Indonesian cargoes and if in doubt, to contact their P&I club for advice and detailed gruidance.”

Survey and Loss Prevention Department,

The South of England Management AG