When completed, the world’s biggest container vessels will be able to dock and discharge at the UK’s largest container port. Owners Hutchison Port Holdings appointed Costain in May 2008 to undertake the first phase of this major contract. The Port of Felixstowe expansion is of great strategic importance in the European market and is critical to secure additional deep-water capacity for the UK market. The second phase of the redevelopment has not yet been committed but will be built to meet market demand. Overall, 1.3km of quay will be built and served by 13 new ship-to-shore gantry cranes. The first phase included piling for the new quay wall and the dredging of aggregate materials to be used as infill material behind the wall while further dredging alongside the quay will increase the depth to 16m initially. The facility has been designed to allow the depth to be increased to 18m should that be required in the future. The total amount of dredged material is expected to be in the region of three million cubic meters. Following the clearance of old buildings and warehouses, piling began in mid-January last year when the first consignment of tubular steel piles supplied by Corus and fabricated in Holland was delivered by sea and unloaded directly onto the construction site. Altogether 277 piles have been installed to form the main quay and return walls. The piles have a diameter of 2.56m, a length of 38m and weigh approximately 47 tonnes. To drive these huge piles, Costain hired two BSP piling hammers, CG300 models, from BPH, a division of Balfour Beatty Civil Engineering, which were joined by a further BSP unit, a CG240, hired from Ipswich-based Watson & Hillhouse for piling on the land-side of the project. Because of the sheer size of the piles BSP designed a special pile sleeve, approximately 3m square, which has a slot on both sides to fit over a pile and accept the clutches welded on the sides of the pile. To further illustrate the size of the piles used the hammers’ drive caps have a mass of 10 tonnes and are 2.6m in diameter. The CG300 has been designed by BSP to operate from pilling rig leaders or crane suspended and is suitable to drive a wide variety of bearing piles. On the Felixstowe quay project Costain used piling gates, supported from temporary piles, to hold the piles in position while being driven into the seabed in batches to correspond to the number of piles between fender positions. Ground conditions below the seabed comprise various layers of silty clays and chalk. A barge mounted crane lifted each pile into place which was then checked for vertical and positional alignment. Once in position a vibratory hammer was initially used to drive the piles as far as possible into the seabed. The two crane suspended CG300 hammers, each with 20 tonnes ram weights then took over to drive the piles to the required depth of almost 35m. The 14 tonnes ram weight BSP CG240 was used to drive 1.62m diameter piles required for the rail track foundations of the ship-to-shore cranes. Commenting on Costain’s use of the BSP hammers at Felixstowe, David Redhead, BSP managing director, says: “I am obviously pleased that Costain selected our hammers for driving the huge piles involved for this redevelopment contract especially when Felixstowe is virtually on our doorstep. Our CG hammer range are being used on various civil engineering projects around the world and have a proven track record in reliability and performance as well as their ability to drive exceptionally large piles. At Felixstowe the three hammers performed well up to expectations and piling for the new quay will be completed on schedule despite an unforeseen technical problem at the outset of the piling phase.” BSP has been designing and manufacturing piling hammers for over 100 years from the early steam powered units through to air, diesel and the latest hydraulic models. The three hammers used on the Felixstowe site were powered by hydro pack units. The range of CG hammers are equally suitable for driving bearing piles from piling rig leaders and include hinged type back guides to allow quicker installation onto the leader. A detachable trip can be supplied to allow the hammer to follow the pile without the need to continually pay out the hammer rope. Fitted with a remote control panel, the CG range is capable of delivering an infinitely variable stroke and blow rate. This enables precise delivery of energy to the pile allowing the contractor to maximise production, avoid pile damage and problems of pile runaway. A major feature of the hammers is the design of the hydraulic actuator which makes a significant contribution to the overall performance, which, for a given blow rate and energy transference, results in less fuel consumption and reduced exhaust emissions. Using a manifold control valve the CG range can be connected into existing power supply from a hydraulic piling rig or crawler crane base. Following completion of the piling phase for the quay the piles are topped off with pre-cast concrete beams to form the surface of the quay onto which rails will be placed to accommodate the ship-to-shore gantry cranes. The beams range from 23 tonnes up to 62 tonnes and will be manufactured on-site.

 This specialised equipment with its precision operation in tight and often covered stockyard spaces would probably be in strong demand, but for the global recession, the worldwide funk that had even stalwarts questioning if there’d be a bounce back any time soon. But, there are still believers out there and they have hopes of an imminent recovery in the world market in 2010, particularly as increasing environmental concerns demand covered domes for stockpile storage of some materials in sensitive areas, particularly near residential areas. Circular stacker-reclaimers are ideal to service such cone-shaped stockpiles made such as in the coal and sulphur industries. At Swedish-based Sandvik, one of the leading manufacturers of circular stacker-reclaimers in the world, they’re expecting rejuvenation in 2010 according to Thomas Jabs, Vice President Tech Centres Materials Handling.

Projects delayed

“Overall, the market situation in 2009 was rather on the quiet side,” says Jabs. “However, we have seen a lot of bigger projects delayed in 2009 which are now waiting for revitalisation in 2010.” There is optimism, as well in the United States. Any talk of layoffs, plant closures and other cutbacks that have hit manufacturers of other sectors of the bulk materials handling business seem foreign to BRUKS Rockwood Inc, the successful marriage of Swedish BRUKS and North American Rockwood Material Handling, which took place in January 2008. “We’re busy adding staff in Atlanta and in the Pacific Northwest as the request for circular stacker-reclaimer quotes is at an all-time high,” explains Desmond Smith, Vice President for the West Coast based in Seattle. “We did well in 2009 with sales over USD 30 million, making it the best year in company history.”

World’s largest

BRUKS Rockwood now claims to be the largest manufacturer of circular stacker-reclaimers in the world and is continuing to make inroads into the coal, biomass power, pulp and paper and similar industries. “We have been at the right place at the right time,” adds Smith. “Sure, we have competition, but we make a good product, it is marketed fairly, and properly supported.” Even the floundering pulp and paper industries throughout the world can’t curtail demand for too much longer for bulk handling machinery. BRUKS Rockwood manufactures its stacker-reclaimers at plants in Sweden and Germany and the German division suffered from the slump in the solid wood market, with plant output dipping to 60% of capacity in 2009. But, that was then and this is now, a now that seems to hold great promise as Smith lists contract successes of the past year. Some of the flurry of interest in getting quotes on new machinery can be blamed on US President Barack Obama and his advocacy of a move away from coal fired power stations to greater use of bio fuels – with a target of up to 20 to 30% of the electricity generation industry making the switch. There’s millions and millions of dollars available for plant conversion, which Smith says has caused a “feeding frenzy” among power companies keen to be able to charge consumers more for electricity if it is generated using bio fuels. BRUKS Rockwood has sold two circular stacker-reclaimers to a California power plant converting to bio fuels in Bakersfield. The equipment bought by the Mt Poso cogeneration company should be in operation in 2011. The circular stacker-reclaimers will be unique – they will be entirely fabricated in the US in plants in California, Georgia and Louisiana. Another large circular stacker-reclaimer was sold to Southern Co in Natchadosis, Texas with options on a second machine expected to be exercised any day. In South Carolina, the Ameresco biofuel plant has bought a BRUK Rockwood stacker-reclaimer and had the company also provide log lines, wood chipper and related equipment, plus three truck dump stations in a project worth up to USD 3 million.

Big things

“There are so many big things going on right now that the industry should pick up soon,” says an enthusiastic Smith, who is scrambling to keep up with requests for quotes from companies determined to get a slice of the federal conversion dollar pie. Meanwhile, Sandvik also managed to avoid plant closures and layoffs around the world thanks to a large order backlog that continued to be serviced into 2009. And, says Vice President Jabs, such closures or cutbacks aren’t anticipated in 2010 either, thanks to expected new orders in the 1st Quarter.  Part of the reason for no staff cuts is that wherever logistically feasible, Sandvik manufactures its circular stacker-reclaimers and other bulk handling equipment as close to the customer as possible, particularly the larger steel structural parts. “There was no actual shift to low-cost countries, but of course, we also make use of fabrication in China, Korea and India to name a few,” says Jabs. “Nevertheless, we try to optimise the whole value chain and the mix between fabrication, transport and erection must be optimised.” In this evaluation by Sandvik, sometimes a higher cost country can still lead to overall lower prices due to shorter or smarter transport concepts getting to the erection site. In all cases, Sandvik treats each project separately and tries to keep its flexibility, adds Jabs.

Wait and see

For Metso Minerals, which has been centralising its bulk materials handling marketing and sales force around the world, much of 2009 was spent servicing orders from 2008. As 2009 progressed there were “lots of inquiries for quotes,” says Rich Schmitz, Vice President Products & Bulk Materials Handling in Pittsburg, PA. “There was a lot of preliminary planning followed by ‘wait and see’ leaving some of our quotes out there floating,” Schmitz adds. Metso largely services the coal, limestone, wood chip (paper) industries, with most of recent interest coming from the limestone sector. Rather than layoffs, Metso was short-staffed and hired eight people in January, says Schmitz. In Europe, Nick Smith, Metso’s UK Manager for Global Sales Support, says interest in circular stacker-reclaimers is starting to pick up following a “barren” last 18 months. “The volume of inquiries is starting to pick up, but it has not been a big market sector for us as most of our sales are in the United States.”

Conversions

Other major manufacturers of circular stacker-reclaimers, such as Schade, based in Herne, Germany, have found a lucrative market in the conversion of existing equipment, whether its their own brand or machines made by rival manufacturers. Since 2004, Schade has actively sought the conversion business, raising its profile in the important service sector of the bulk materials handling equipment markets. A typical project was the upgrade of circular storage in Taiwan from 200 to 400 tonnes per hour and the conversion of a double-rail cantilever scraper-reclaimer from mechanical to hydraulic tension station. Similar conversion work has followed in Australia, United Arabian Emirates and Brazil with a noticeable increase in third party work. And it doesn’t hurt, either, that even after decades of manufacturing such equipment, Schade still guarantees the availability of spare parts for every machine it ever produced. The modern circular stacker-reclaimer is a versatile machine, too. It can simultaneously stack and reclaim with each operation working independently from the other. All stacking and reclaiming steps are PLC controlled and can be fully automatic. Schade designed the first stacker-reclaimer for a covered stockpile back in 1988 for the coal industry, but has been in circular stacker-reclaimers for open stockpiles since the late 1960s when it began in the chemical industry. Sandvik designed and built stacker-reclaimers servicing circular stockpiles are usually housed inside a dome and the stockpile is built up at one end by means of a slewing and luffing stacker using a cone-shell stacking method for 360 degrees of rotation. Reclaiming is done at the other end by a radial scraper-type reclaimer, conveying it to a central hopper located under the central column. If needed, the rig can stack and reclaim simultaneously.

Reducing maintenance on container handling equipment reduces downtime, making equipment more productive, which results in saving money – it’s as simple as that. Currently, one of the major changes is the elimination of hydraulics on the straddle carrier. Leaking hydraulic hoses cause downtime, running oil-pumps increases fuel consumption and as a result these types of machines need more maintenance. Therefore, all of the manufacturers that WPD contacted have moved away from hydraulics by switching to diesel-electric, hybrid systems or even futuristic battery powered straddle carriers. “We think that the straddle carrier which considers the environment will be the mainstream in the [near] future. We have developed an environment-friendly vehicle with hybrid technology for fuel savings and oil usage reduction, which brings our customers financial and economic benefits,” said Masao Watanabe, Port & Logistics Equipment Division, TCM Corporation, Japan. “We are also working on a hybrid vehicle with lithium ion battery which expects to be completed towards the end of 2010.” According to Tiia Kero Marketing Manager, Port Cranes at Konecranes the company is only marketing Diesel-Electrical technology. “Our current diesel-electric model includes technology to provide a more environmentally-friendly machine for our customers and we are continuously working on improvements.” Interestingly enough, Konecranes has not only been reducing the amount of oil and grease on the machines, it has also reduced noise emissions, optimised the power supply to reduce fuel consumption and optimised the steering system to reduce tyre wear. Konecranes are currently testing different options with regards to fuel economy, reduction of emissions and further reduction of the amount of oil on the machines. “With regards to fuel savings there are various technical options available. The clear trend is related to energy storage systems, but the main question is which kind of storage system is the most favourable in regards to performance, dimensions, durability and disposal after lifetime?  “We are checking and testing the different options in our R&D department and will come up with a well engineered and proven solution,” Kero added. For Cargotec, Finland, hybrid technology based on energy storage is nowadays a regular option in their electrical straddle and shuttle carriers. In 2008, the company launched its first hybrid straddle carrier [they claim that the launch was about 12 months earlier than any other manufacturer] and in the summer of 2009 they launched the hybrid shuttle carrier version of our 7th generation ESH W shuttle carrier. “Cargotec can offer its Kalmar CSC and ESH W straddle/shuttle carrier range and also the SCR (specific catalytic reduction) based fuel consumption optimisation system as a first supplier in the world at the stage 3a diesel engines,” said Ilkka Annala, Vice President – Sales, Port Cranes at Cargotec. “With SCR technology in stage 3a engines they can achieve at the same time low specific fuel consumption (about 7% lower than standard stage 3a engines) and low exhaust emission – this combination can’t be reached with any other technology currently available.” Nowadays, Cargotec’s VSG (variable speed generator) technology is, according to Annala, also a normal feature on their electrical straddle/shuttle carriers and hybrid packages that can be optionally updated to any existing VSG straddle/shuttle carriers.

Energy recovery

Italian-based CVS Ferrari has also been developing an environmentally-friendly straddle carrier by concentrating on developing an energy recovering system. “In the use of straddle carriers we have positive and negative energy,” explains Marco Tosi, Area Manager for the Mediterranean countries at CVS Ferrari.

The recovery system is using the negative energy in order to increase the positive energy. “I’ll give you an example,” Tosi adds. “When you brake, the brake is generating negative energy. We convert this negative energy into positive energy to be used when we need extra energy. Today the container handling market mainly concentrates on pollution and saving fuel consumption. We are manufacturing a system with which we are able to save around ten to fifteen percent of the fuel consumption. We are the first ones using a hydraulic pump with variable capacity. All machines have an engine that drives a main hydraulic pump. Most of our competitors have machines where the engine must always be run at full power in order to maintain full pressure to the system. Our system does not need to do this. We can use variable power so the engine doesn’t need to run at full speed all the time and it can run between 800rpm up to 2100rpm. That is a big saving on fuel consumption.” The system Tosi refers to is designed for their electrical straddle carriers with an electrical Hybrid Permanent Motor (HPM). The electrical system for the HPM motors has been patented by CVS. “A competitor has tried to “copy” our variable rpm concept but they were not able to recover and store the negative energy,” adds Tosi. CVS has also worked hard on reducing noise control – in general all of their straddle carriers operate below 60-75dB. Tosi claims that this is not just due to the insulation system for the engine but simply because it doesn’t have to run at full speed all the time. Other improvements to reduce the total cost of ownership (TCO) includes longer life of the wheel – normally they have to be replaced every 500 hours, while the wheels on the CVS straddle carriers only need to be replaced every 2000 hours. Another add-on bonus is the quality of the cabin. According to Tosi their (CVS) cabin is a comfortable working place for the driver with all-round visibility being a major priority.

Future focus

So, what will be next for straddle carriers? Although no manufacturer has revealed any new developments or technology that they are working on, the market will closely follow developments from other industries, and in particular that of the car industry, which can be easily applied to ‘[fast] moving’ port equipment. For example car manufacturers are now applying a ‘stop-start’ engine to their cars and this could be easily copied by manufacturers of straddle carriers, forklift trucks, terminal tractors, shuttle carriers, etc. We have seen the introduction for hybrid systems for straddle carriers so why not? However, for now most manufacturers are concentrating on an improved or better TCO, but Cargotec looks to the future by developing and designing products more and more for automated terminals. According to Annala, the company is further developing the AutoShuttle automation and related TLS software package. By fine tuning the straddle carrier automation, new features are being added or developed including fully automatic road truck handling. A fully automated empty yard interface has been developed for the straddle carrier and taken into use at an automated straddle carrier terminal and a normal manual empty container handling depot. With these features the Kalmar automated straddle carrier is capable of performing in fully automatic mode all
the tasks that the normal manual straddle usually does in the container terminal. According to Annala, this effectively means that the automated straddle carrier is the best value for money in container handling regarding operating costs [there are no drivers], dramatically reduced maintenance costs [no operator related accidents], at least 30% lower maintenance costs [accident repairs are eliminated], much better uptime than in manual terminal [no accidents] and 24/7/365 operation possible without any additional operator costs.

The economic downturn

Last year was a very difficult year for the industry in general but it seems that many straddle carrier manufacturers have survived the downturn, although some of them experienced the effects with clients postponing or cancelling orders in 2009. “We have not been so heavily affected by the worldwide crisis. We have been ‘attacked’, but not so heavily,” says Tosi. “Today the biggest sales we have are in South Europe and Northern Africa. All these countries are still investing and purchasing machines. We are also now working on turn-key projects. We supply what is required and are also contracted to carry out full maintenance of the machines”. Watanabe also confirmed that they (TCM) are not an exception to the rule and that they have been affected by the downturn. “Our customers examine the possibility of fully utilising their existing assets and take longer time before making a purchasing decision. They weigh the cost between a new purchase of the vehicle against the refurbishment of the old one. But we offer our customers a reasonable price for a new vehicle and cost for refurbishment work for a wiser decision,” he adds.  In 2009 TCM sold a total of 30 straddle carriers before the global economic downturn kicked in. But Watanabe is confident that for 2010 they will sell at least half of that.  Some of the highlights for Cargotec in 2009 include an order for 10 straddle carriers (CSC and ESC) – stacking 3-high from Piraeus Port Authority, Greece and from TTI Algeciras in Spain, an order for 20 shuttle carriers for the new Hanjin mega-terminal using automatic stacking cranes for stacking and shuttle carriers for horizontal transportation between stacking cranes and STS container cranes. But there is one issue that all manufacturers have to deal with and that is that the prices are now lower than before. Currently, competition is fierce and prices have dropped considerably. And as if that was not enough another issue has recently surfaced – third party deliveries or as Tosi explains the lack of efficiency in the components supply chain. “Some of the manufacturing companies have adopted a low stock policy. That has started to give us some problems because people do not keep anything in stock. That makes things more complicated for us when trying to fulfill orders for our customers.” But there is light at the end of the tunnel. “We have started to see a positive sign that we have already reached the lowest level. The market is starting to show signs that it is going to improve. But it is clear that we will not be able to reach the same level as three year ago,” Tosi concludes.

Evolution is key

We asked manufacturers what they believed were the most important changes that have taken place over the last 10 years for straddle carriers. Masao Watanabe, Port & Logistics Equipment Division, TCM Corporation, Japan enclosed two photographs in response – one of the SC400 and S3E. The SC400 is the straddle carrier of ten years ago which had torque converter and transmission type for travelling and cylinder and chain type for hoisting. The S3E is their latest straddle carrier, which is a diesel-electric with an electric motor for travelling, and an electric motor and wire rope type for hoisting.  Kalmar’s Ilkka Annala highlights several technology improvements in Kalmar straddle carriers over the last ten years. He cites the launch of an electrical straddle carrier offering a diesel engine generator package with AC inverters, electrically controlled viscous fan, variable speed diesel generator set, AC electric travel motors and AC electrical winch hoist lifting system. Another innovation was the launch of a shuttle carrier – a completely new self loading handling concept and equipment series for horizontal transportation between automatic stacking cranes and STS cranes. Thirdly, the hybrid straddle carrier provided energy storage for energy recirculation, for lower emissions and lower fuel consumption. Last but not least Annala points to the new diesel engine technology, including low emission Stage 3A/Tier III diesel engines and a new SCR Selective Catalytic Reduction (SCR) engine technology. The list is endless and is testimony to the efforts made by manufacturers to continually improve their products.

The decision from the IADB to approve the finance has been welcomed by the National Ports Authority (NPA) enabling them to proceed with contracts established in the procurement plan. This plan seeks to expand the port’s cargo handling capacity by building a multi-purpose wharf and deepening the access channel to allow access for larger vessels. The Port of Montevideo is Uruguay’s principal port and is centrally positioned in the MERCOSUR-Chile Integration and Development Hub of the Initiative for the Integration of South American Regional Infrastructure. But Montevideo is not only the main gateway through which most of Uruguay’s exports pass, it is also the centerpiece of the country’s efforts to become a major player in regional transport logistics. Over the years, the port has been growing rapidly and steadily at an average annual rate of 14 percent, from 64,000 TEU in 1990 to 675,000 TEU in 2008, due to an increase in foreign trade. 

The Master Plan

According to the master plan outlined by NPA the Port of Montevideo is set to consolidate itself as the logistical hub for regional distribution. It currently ranks fourth in the region in terms of container traffic (after Santos, Buenos Aires, and Rio Grande) and has one of the most efficient container terminals in South America. The port is the main hub for refrigerated containers in the region, and its operations have a strong transnational impact, as more than half of its activity (54%) involves the trans-shipment of containers from neighbouring countries. To achieve these plans, Montevideo needs to improve its port efficiency and to achieve this major investments are needed in wharves, terminals, and dredging, given the current condition of the port. At present, the port is able to handle vessels with an 11m draught, compared with depths of 13m and almost 10m, respectively, for the ports of Rio Grande and Buenos Aires. With the global trend related to freight flows in the market, as well as the decision of some major shipping companies to operate larger vessels on the principal routes, the port believes that it needs to upgrade its infrastructure and increase its depth so it can serve vessels with a draught of 12m in the short term and vessels with a draught of 13m in the medium term.

Furthermore, the Uruguayan authorities are developing a multi-modal transport strategy for regional integration of road and railway networks with the national system of commercial ports, among which the Port of Montevideo is an essential link.

Investments

Last October, the Belgian group Katoen Natie Terminal Cuenca del Plata, which manages Montevideo’s port terminal, inaugurated its new port facilities. The new facilities include an additional 15.7 hectares of land for container storage and a quay with a length of 350m by 35m wide capable of handling vessels with a 14m draught. A total of nine straddle cranes, four of them which can operate with 11.000 TEU vessels (double the current capacity) have been incorporated, which means 80 to 100 movements per hour. The new facilities have an annual capacity of 1.1 million TEU making it the most advanced terminal in South America. The importance of the new terminal for the country was reflected by the attendance at the inauguration of Uruguayan president Tabare Vazquez and three former heads of state. “This is an example of private and public successful understanding which has brought together foreign and Uruguayan investors,” said Vazquez. “Uruguay is a serious, responsible country which honours its commitments and obligations and grants security and confidence.” Victor Rossi, Public Works Minister, said: “Without funds and know-how from the private sector the government would not have been able to complete this ambitious project.”

The legal framework for the new port administration was drafted and approved in 1992 under the administration of former president Luis Alberto Lacalle and eight years later in 2000, under the administration of ex-President Jorge Batlle the terminal was auctioned opening the way for the current expansion.

Finance

For ANP there is one major obstacle in their plans –financing – that is why they turned to the IADB [for the second time]. The new financing complements a previous USD 40million loan approved by the IADB in October 2008 for the project. The new loan is for a 25-year term, with a four-year disbursement and grace periods, and carries a Libor-bases interest rate. Expected local counterpart funds will total USD 11million. The new loan will finance the construction of the deep-water wharf, the dredging of turning basins and the access channel in the Port of Montevideo. Specifically, the Bank is financing the civil works for the construction of the wharf and apron, widening of the inner channel (partial removal of piers A and B), and the initial dredging of the turning basin. The program has not yet entered execution, as no works has started, but the ANP has initiated the process to procure the works, having issued the call for proposals for selection of the appropriate contractor.