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1 C O N F E R E N C E MARE FORUM USA 2006 presents: MARITIME TRANSPORTATION OF E N E R G Y Can Shipping Meet Global and United States Energy Needs? Supply and Demand - Forecast of Short and Long-term World Energy Requirements, Sources and Distribution Impacts Marine Transportation System Capacity Issues Ships, Barges and Terminals The Outlook for Tonnage Availability Investments and Financing the Maritime Transportation of Energy; Where to invest your Money today? Global Positioning System (GPS) for Investments and Financing the Energy Transportation; Owners requirements Investors dilemma s Regulatory Issues Impacting Maritime Transportation of Energy Safety, Environmental, Criminalization, Security A Focused Agenda CONFERENCE For Policy Makers from Goverment and Industry; Energy CO-CHAIR Requirements Versus Overall System Capacity and Other Limitations - Prioritization of issues 8 & 9 NOVEMBER 2006 Marriott East Hotel, New York City NEW YORK - USA THE SPEAKERS: Robert D. Somerville Chairman and CEO, American Bureau of Shipping Sean Connaughton U.S. Maritime Administrator Bruce Carlton U.S. Maritime Administration Rear Admiral Craig Bone Assistant Commandant for Prevention, U.S. Coast Guard Will Jenkins President, SeaRiver Maritime, Inc. Chairman, International Marine Transportation Limited Paul Leand CEO and Managing Director, AMA Capital Partners LLC, USA Richard Ford ARAMCO Basil Mavroleon Managing Director, Charles R. Weber Co., Inc. Dr. Michael Economides, Professor, University of Houston Editor-in-Chief of the Energy Tribune Robert Corbin Office of Fossil Energy, US DOE Stefanie Kasselakis General Counsel, Poten & Partners Morten Arntzen President and Chief Executive Officer OSG Robert Bugbee President and Chief Operating Officer, OMI Corporation John Wobensmith CFO, Genco Shipping and Trading Paul Slater Chairman, First International Corp. Richard Plant Director, Special Projects, Masters, Mates & Pilots Kendra Martin, Director - Marine Transportation, American Petroleum Institute, API Sal Litrico President Teco Transport Corp. Bill Gray President, Gray Maritime Paul Gridley Chairman & CEO, US Shipping Bob Burke CEO, ISEC Tim Casey President and Chief Executive Officer, K-Sea Transportation Partners LP VADM James C. Card, U.S. Coast Guard (Ret.) Maritime Consultant William R. Gallagher President, International Registries, Inc. Captain Kevin Coyne Vice President for Quality & Compliance, General Maritime Corp Michael Chalos Partner, Chalos, O Connor & Duffy Jim Dowling Jefferies Capital Partners David St Amand President, Navigistics Consulting Dan Sheehan Advisor, International Registries, Inc. Wilhelm Christian Magelssen Principal Consultant Maritime Solutions, DNV Tim Protheroe Lloyd's Register Americas Douglas Stevenson Director, Centre for Seafarers Rights Jannis Kostoulas Managing Director, Mare Forum, BV RADM Robert C. North U.S. Coast Guard (Ret.) President, North Star Maritime, Inc.
2 MARE FORUM USA 2006 Maritime Transportation of Energy P R O G R A M M E This conference builds on a previous Mare Forum Energy Transportation conference held in Houston in November International and United States energy costs continue at record high levels, the volume of energy cargoes continues to grow and marine transportation of crude oil, petroleum products, LNG/LPG, coal and other energy products is ever more essential to worldwide availability of energy for domestic and industrial use. However many other factors have changed since the last Conference. This Forum will examine the changes potentially impacting the regulatory and economic environment and that may influence the way in which the energy and maritime industries will attempt to meet demand worldwide with a focus on the United States. The changing political and economic climates give rise to a number of questions: Are current energy demand projections realistic? Have traditional energy sources peaked? What are potential alternative energy sources and what would be their impact on shipping? Do the international energy and maritime industries have the capacity and sufficient available financing to meet global demand? Within the U.S., is there an optimal achievable balance between barges and tankers in the coastwise trade with imported products carried in foreign flag tankers? Should U.S. energy policy limit the amount of imported energy? Is LNG really the energy source of choice for the future when balanced against available technology and safety, security and environmental concerns? What are the priority financial, economic and political/regulatory issues most affecting marine transportation which must be managed together by government and the private sector, to meet current and long-term energy transportation needs? The unique Mare Forum format that emphasizes debate and discussion will provide attendees with the opportunity to learn about, debate and influence the resolution of such issues with policy makers from industry and government. The United States is the world s largest trading nation and consumer of energy resources with New York as a leading port and international center for shipping interests and ship finance. CONFERENCE COMMITTEE Julian Bray Editor in Chief, Lloyd s List Paul Leand CEO and Managing Director, AMA Capital Partners LLC, USA Jannis Kostoulas Managing Director, Mare Forum, BV RADM Robert C. North U.S. Coast Guard (Ret.) President, North Star Maritime, Inc WEDNESDAY, NOVEMBER 8, :30 REGISTRATION First Day s Theme: Can Shipping Meet Global and United States Energy Needs? 08:30 OPENING AND INTRODUCTION BY THE CONFERENCE CHAIRMAN session 1 Setting the scene: The Stakeholders Themes: Keynote speakers representing various interests describe their view of priority broad policy issues concerns - challenges - barriers to success meeting the CHALLENGE. 08:40 Robert D. Somerville Chairman and CEO, American Bureau of Shipping Vice Chairman IACS 08:55 Sean Connaughton U.S. Maritime Administrator 09:10 Will Jenkins President, SeaRiver Maritime, Inc. Chairman, International Marine Transportation Limited 09:25 Rear Admiral Craig Bone Assistant Commandant for Prevention, U.S. Coast Guard 09:40 Spiros Polemis (invited) Chairman, International Chamber of Shipping 09:55 Paul Leand CEO and Managing Director AMA Capital Partners LLC 10:10 Discussion/Debate between members of the discussion panel and audience participants Rear Admiral Craig Bone Assistant Commandant for Prevention, U.S. Coast Guard Will Jenkins President, SeaRiver Maritime, Inc. Chairman, International Marine Transportation Limited Robert D. Somerville Chairman and CEO, American Bureau of Shipping Vice Chairman IACS Paul Leand CEO and Managing Director AMA Capital Partners LLC Audience Participants 10:30 Break
3 session 2 Supply and Demand - Forecast of Short and Long-term World Energy Requirements, Sources and Distribution Impacts Themes: Global energy needs - demand and supply focus on United States domestic supply and importation requirements status & future of traditional and alternative energy sources Questions to be addressed by panelists and for discussion and debate by What are current predictions for global and US energy needs over next 20 years? Where are energy reserves located? Have traditional energy sources and U.S. refinery capacity peaked? Are there feasible alternatives to traditional oil, gas and coal energy resour ces? What percentage of need can feasible alternatives meet? Impact on ship ping? Will concern over Greenhouse Gases (CO2) affect energy choices? What are the trends of importation of energy to meet U.S. energy requirements? What is the impact of the growing energy demands of countries with rapidly expanding economies such as China and India? Is LNG really the energy source of choice for the future when balanced against available technology and safety, security and environmental concerns? Effect of the lifting of the ban on U.S. coastal oil and gas exploration and production? Moderator Basil Mavroleon Managing Director, Charles R. Weber Company, Inc. 10:45 Energy Supply and Demand - Geopolitics Dr. Michael Economides Professor, University of Houston Editor-in-Chief of the Energy Tribune 11:20 LNG The energy choice for the future? Robert Corbin Office of Fossil Energy, US DOE 11:40 Discussion between speakers, discussion panelists and audience Basil Mavroleon Managing Director Charles R. Weber Company, Inc. Dr. Michael Economides Professor, University of Houston Editor-in-Chief of the Energy Tribune Robert Corbin Office of Fossil Energy, US DOE David St Amand President, Navigistics Consulting Richard Ford Aramco Audience participants 12:30 LUNCH hosted by ABS session 3 Marine Transportation System Capacity Issues Ships, Barges and Terminals The Outlook for Tonnage Availability Themes: International energy shipping needs versus existing and projected capacity inland distribution capacity and maritime role US coastwise capacity versus importation port and terminal capacity, safety and security Questions to be addressed by panelists and for discussion and debate by Given energy demand projections, will international shipping s projected capacity be adequate to meet world and U.S. energy needs? Will U.S. Jones Act tanker building resurgence OSG at Aker, NASSCO arrangements with Daewoo, etc. continue? Is there a rationale for building new tankers for operation in the U.S. Jones Act trade? What is the optimum achievable balance between barges and tankers in the U.S. coastwise product trade with imported products carried by foreign flag tankers? Should U.S. energy policy limit the amount of foreign petroleum products imported into the U.S. in foreign flagged tankers? As oil and gas imports increase, will terminal capacity and infrastructure be adequate? How many LNG terminals are needed? How many LNG terminal projects are likely to be licensed and built? 13:30 Moderator's introduction Bruce Carlton U.S. Maritime Administration 13:40 International Shipping Capacity Stefanie Kasselakis General Counsel, Poten and Partners 13:50 U.S. Coastwise Shipping Capacity A Market for Tankers? Morten Arntzen President and Chief Executive Officer, OSG 14:00 U.S. Coastwise Shipping Capacity Barges only? Tim Casey President and Chief Executive Officer, K-Sea Transportation Partners LP 14:10 Manning Challenges - Where will the seafarers come from? Richard Plant Director, Special Projects, Masters, Mates & Pilots 14:20 Bulk Liquid Terminal Issues Kendra Martin Director - Marine Transportation, American Petroleum Institute, API 14:30 Discussion between speakers, discussion panelists and audience Bruce Carlton U.S. Maritime Administration Sal Litrico President Teco Transport Corp. Bill Gray President, Gray Maritime Company Morten Arntzen President and Chief Executive Officer, OSG Kendra Martin Director - Marine Transportation, American Petroleum Institute Stefanie Kasselakis General Counsel, Poten and Partners Richard Plant Director, Special Projects, Masters, Mates & Pilots Tim Casey President and Chief Executive Officer, K-Sea Transportation Partners LP Audience participants 15:30 Break
4 session 4 Investments and Financing the Maritime Transportation of Energy THURSDAY, NOVEMBER 9, Themes: Long term capital needs investment risk impact of regulation LNG is a special case? US versus other locations Part 1: Where to invest your Money today? Shipping Market Analysis Questions to be addressed by panelists and for discussion/debate by With regard to investments involving maritime transportation of energy to the U.S. where is the best place to put your money? Tankers in international trade? Tankers built in U.S. yards for the U.S. coastwise (Jones Act) trade? Barges built in U.S. yards for the U.S. coastwise (Jones Act) trade? 15:50 Moderator's introduction Paul Leand CEO and Managing Director, AMA Capital Partners LLC 16:00 Public vs. Private money? John Wobensmith CFO, Genco Shipping and Trading 08:30 Registration session 5 Class - Technology and the Facilitation of Energy Transportation 09:00 Moderator's introduction 09:05 Optimizing the risk adjusted cost of transportation Wilhelm Christian Magelssen Principal Consultant Maritime Solutions, DNV 09:20 LNG Carriers - Ship Life Extension Tim Protheroe Lloyd's Register 09:35 Discussion between members of the discussion panel and audience participants. 10:00 Break 16:10 What private equity seeks? Bob Burke Chief Executive Officer, ISEC 16:20 Understanding the value in public tanker stocks Robert Bugbee President and Chief Operating Officer, OMI Corporation 16:30 Discussion between speakers, discussion panelists and audience Paul Leand CEO and Managing Director, AMA Capital Partners LLC John Wobensmith CFO, Genco Shipping and Trading Bob Burke Chief Executive Officer, ISEC Robert Bugbee President and Chief Operating Officer, OMI Corporation Jim Dowling Jefferies Capital Partners Paul Slater Chairman, First International Corp Audience participants How can the decline in the number of 17:30-17:45 Chairman s Summary and Conclusions for the day see next page 18:00 Drinks hosted by INTERNATIONAL REGISTRIES, INC. / MARSHALL ISLANDS Information concerning the Mare Forum conferences can be found on our website at:
5 session 6 Regulatory Issues Impacting Maritime Transportation of Energy Safety, Environmental, Criminalization, Security Themes: International and US regulatory initiatives setting the right balance introduction to LNG - salvage and firefighting criminalization of maritime incidents in the US and Europe security level of risk and risk management? Considering, for example: MARPOL VI implementation/revision; CO2 emissions control Ballast Water Management Goal Based Standards and Common Structural Rules Electronic Charting/ECDIS Salvage & Firefighting Requirements Criminal enforcement of OWS & other MARPOL I violations MARPOL IV implementation and revision LNG terminal permitting Maritime security requirements on ships and terminals Questions to be addressed by panelists and for discussion and debate by What should be the highest priority international and U.S. regulatory initiatives? What problems are being encountered in MARPOL VI implementation? Should a revised MARPOL VI attempt to seek lower worldwide fuel oil sulphur content and eliminate Sulphur Emission Control Areas (SECA s)? What will be the impact of the U.S. becoming a party to MARPOL VI? How should Port State Control take into account tanker vetting inspection data? Tanker Management Self assessment (TMSA) results? Are there solutions to MARPOL I compliance/violation problems beyond criminal prosecution? Is the IMO doing enough to prevent the proliferation of regional and unilateral regulation of maritime safety, security and environmental protection? What about the U.S. and it s states? LNG - safety and environmental regulation, USCG, FERC, MARAD, who s in charge? Are concerns over safety and environment valid? 10:20 Moderator's introduction VADM James C. Card, U.S. Coast Guard (Ret.) Maritime Consultant 10:30 International Perspective William R. Gallagher President, International Registries, Inc. 10:40 U.S. Regulator s View Rear Admiral Craig Bone Assistant Commandant for Prevention, U.S. Coast Guard 10:50 Shipowner s View Captain Kevin Coyne Vice President for Quality & Compliance, General Maritime Corp 11:00 Criminalization of seafarers - Impact on the humman element Michael Chalos Partner, Chalos, O'Connor & Duffy 11:10 Discussion between speakers, discussion panelists and audience VADM James C. CardU.S. Coast Guard (Ret.) Maritime Consultant William R. Gallagher President, International Registries, Inc. Rear Admiral Craig Bone Assistant Commandant for Prevention, U.S. Coast Guard Captain Kevin Coyne Vice President for Quality & Compliance, General Maritime Corp Michael Chalos Partner, Chalos, O'Connor & Duffy Richard Ford Aramco Dan Sheehan International Registries Douglas Stevenson Director, Centre for Seafarers Rights Audience participants session 7 Conclusion - A Focused Agenda For Policy Makers - Energy Requirements Versus Overall System Capacity and Other Limitations - Prioritization of issues Conference Chairman, Session Chairmen and Conference participants synthesize and prioritize the issues developed by each session. Develop a list of priorities for government and industry to address concerning: Traditional oil, gas, coal - energy resource development/ exploitation Development of feasible alternative energy sources Maritime transportation capacity issues Industry finance issues International and U.S. regulatory initiatives 13:00 14:30 Moderator: Conference Chairman Open discussion where Moderators of Sessions 1-5 discuss the results of their panels between themselves and the participants and recommend prioritization of issues developed during days 1 & 2. 12:00 LUNCH
6 GENERAL INFORMATION DATE & LOCATION 8 & 9 November 2006 Marriott East Side Hotel, New York City 525 Lexington Avenue New York, New York USA Phone: Fax: REGISTRATION All participants who wish to attend the conference must be registered. Please note that formal registration and confirmation thereof only takes place after the registration fee has been received and recorded on our accounts. Participants are requested to return one registration form per participant to MARE FORUM by fax, or by mail, at the fax number or address listed below. Please keep a copy of the form, and your payment, for your records. To guarantee the high level and quality at our events, delegate seats are limited. Secure your place at this conference as soon as possible using the registration form. CONFIRMATION After receipt of your registration form you will be sent a confirmation by , with extra details concerning the programme of the conference. An invoice marked Paid in Full will be sent to your mailing address after receipt of the payment. Please note that your registration is a Person - Restricted Pass, which means that only the registered participant will be admitted for any of the activities of the conference. A Person Restricted Pass for conference participation may not be shared by more than one person. Should you be unable to attend the conference, a substitute participant is always welcome at no extra charge if he / she carries a letter of authorisation from the original participant and if the conference office has been notified of the name of the substitute participant before the conference date. REGISTRATION FEE: 1200 USD The conference fee includes: conference attendance and documentation, refreshments, lunches, and receptions during scheduled breaks in the conference programme. Please refer to the website or the conference programme for dates, times and locations. PAYMENT PROCEDURE Payment for the conference can only be made in USD by CREDIT CARD PAYMENTS (MasterCard, American Express or Visa). Please fill in appropriate sections on the Conference Registration Form should you wish to attend. Payment for participation in the conference must be made in USD and must be free of bank and other charges. Please fill in appropriate sections of registration form should you wish to attend. Payment can be made also by bank to by bank transfer to bank account nr / ING Bank, Rotterdam, The Netherlands / Swift Code: INGBNL2A The account belongs to MARE FORUM B.V. Please make sure that your FULL NAME and the reference code "Mare Forum USA" accompany your payment. If your payment has not been received before the conference and no proof of bank transfer can be provided, on-site payment will be requested. Payment for hotel accommodations must be made directly to the hotel in Euros as noted on the Hotel Registration Form. CANCELLATIONS In case you are unable to attend the conference for any reason at all, no refunds will be made by Mare Forum. Mare Forum only offers the opportunity to send in a substitute participant at no extra charge if he/she carries a letter of authorisation from the original delegate. The conference office must be notified of the name of the substitute participant before the conference takes place. INSURANCE The conference organisation cannot accept any liability for personal injuries or for the loss of and/or damage to personal belongings of the participants, either during or as a result of the conference. Please check the validity of your personal insurance. INFORMATION For further information on the conference please contact: Mare Forum Beurs World Trade Center P.O. Box DA Rotterdam The Netherlands T: F: E: info@mareforum.com
7 Conference Registration Form MARE FORUM USA 2006 Maritime Transportation of Energy New York Marriott East Side Hotel New York November 8 & 9, 2006 Delegate s name (Mr./Mrs./Ms.) Circle one Last Name First Name Company Job Title Mailing Address Postal Code City Country Telephone Fax Conference Fee: O Person Restricted Pass US $ 1200 O Person Restricted Pass for every 2 nd colleague from the same company US $ 600 (The conference fee includes attendance and documentation, refreshments, luncheons, receptions and dinners during scheduled breaks in the conference program) Payment Method: CREDIT CARD (please check credit card and provide necessary information) O American Express O Master Card O VISA Cardnumber: Expiration Date: Safety Code: (last 3 or 4 numbers on back of card) Please read Mare Forum s conditions and cancellation policies carefully before registering. To register for the conference, please complete this form in PRINTED CAPITALS and return it to Mare Forum by fax: Only one delegate should register with this form. Extra copies can be obtained from the conference office, or copies of this form may be used. For further questions contact Mare Forum on T: E: info@mareforum.com ruth@mareforum.com Cardholder s name: Cardholder s address: CONDITIONS All participants who wish to attend the conference must be registered. Your registration is Person - Restricted, which means that only the registered participant will be admitted for any of the activities of the conference. A confirmation of your registration will be send to you by . After the conference fee has been received you will be sent a receipt of payment by post. Any additional information about the conference will be sent to you by . CANCELLATIONS In case you are unable to attend the conference for any reason at all, no refunds will be made by Mare Forum. Mare Forum only offers the opportunity to send in a substitute participant at no extra charge. The conference office must be notified of the name of the substitute participant before the conference takes place. Date: Signature: INSURANCE The conference organisation cannot accept any liability for personal injuries or for the loss of and/or damage to personal belongings of the participants, either during or as a result of the conference. Please check the validity of your personal insurance. I agree with Mare Forum s conditions, Date: Signature:
8 525 Lexington Avenue, New York, NY T: SEND YOUR HOTEL RESERVATION FORM TO FAX NUMBER: H O T E L R E S E R V A T I O N F O R M M A R E FO R U M U S A 2006 The New York East Side Marriott is pleased you have chosen us for your upcoming visit. Our staff looks forward to serving you in the fine Marriott tradition. In making your reservation we request that you either: 1) Enclose a check or money order covering the first night s stay. OR 2) Send us the entire number of your following credit card: AMERICAN EXPRESS, DINERS CLUB, ENROUTE, VISA/BANKAMERICA CARD, MASTERCARD OR CARTE BLANCH. Don t forget the expiration date and your signature. The New York East Side Marriott regrets that it cannot hold your reservation after 6pm on the day of arrival without one of the above. When requesting reservations, please note your arrival and departure dates carefully. Deposits will be refunded only if cancellation notification is given up to 24 hours prior to arrival. If more then one room is requested, please enclose list of names with addresses, indicating which guests share rooms. Name (print) Phone # ( Number of People in Party ) Address City State Zip For arrival on Depart on (day) (date) (day) (date) Please reserve Number of Rooms for People Name(s) of person(s) sharing accommodations 0 Cart Blanche 0 Diners Club 0 En Route 0 American Express 0 Visa 0 Check or money order enclosed 0 MasterCard (Please include interbank # directly below Card # Amount Credit Card Number expiration date I authorize the New York East Side Marriott Hotel to charge my account for one night s deposit and all applicable taxes. Signature Phone # ( ) MARE FORUM Date: November 7-9, 2006 Rate : $389 Single/Double (room only) Please Make your reservation By: October 16, 2006 Please Circle room preference: 2 Dbl beds 1 King Bed (Subject to availability) Check out time is 12 noon. Rooms may not be available for check-in until after 3pm. RESERVATIONS REQUESTED AFTER THE CUT OFF DATE ARE SUBJECT TO AVAILABILITY ROOMS MAY STILL BE AVAILABLE AFTER THE CUT OFF DATE BUT NOT NECESSARILY AT THE ABOVE RATES. PLEASE APPLY % PLUS $3.50 OCCUPANCY TAX TO THE ABOVE RATES.
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