Unit History: BP
BP Shipping provides the logistics to move BP’s oil and gas cargoes to market as well as marine assurance on everything that floats in the BP group
It manages a large fleet of vessels most of which are held on long term operating leases. BP Shipping’s Chartering Teams based in London, Singapore and Chicago also charter third party vessels on both time charter and voyage charter basis.
As of the end of 2006 the BP-managed fleet consisted of 57 vessels - four Very Large Crude Carriers (VLCCs), one North Sea shuttle tanker, 42 medium size crude and product carriers, seven liquefied natural gas (LNG) carriers and three new liquefied petroleum gas (LPG) carriers. All of these ships are double-hulled. We also managed 24 regional vessels, including coasters.
In addition, we had 100 hydrocarbon-carrying vessels above 600 deadweight tonnes on time charter, of which 83 were double-hulled and three were double-bottomed.
The average age of a ship in the BP fleet in 2006 was less than two and a half years. During the year we shipped around 270 million tonnes of cargo volume in total and were involved in more than 7,000 voyages.
At any time during the year BP Shipping was involved in 450-500 cargoes “on the water.” Some 300 of these cargoes were sea-going tankers, including our directly operated or time chartered ships, voyage chartered tonnage and cargoes purchased “on the water”. The remaining 200 or so cargoes were inland and harbour barges carrying chemical feedstock, lubricants, bunker fuel and upstream supplies.
In 2006 our specialist fleet grew from six ships to 16 by end-year including three tugs, two double-hulled lubricant oil barges and 11 offshore support vessels. We also had responsibility for providing marine assurance on 800-900 miscellaneous craft such as tugs, crew boats, barges and seismic vessels used in support of BP group business around the world.
About 4,700 vessels were vetted on our behalf during the year – 52 % by BP Shipping inspectors and 48% by others. Our vetting policy considers a vessel to be unacceptable unless positively identified otherwise. In 2006 approximately half of BP Shipping inspections resulted in an initial rejection.
We own BP Shipcare Sdn. Bhd., a facility located in East Malaysia for laying up ships of all types; the BP group also holds a minority shareholding in the Alaska Tanker Company whose five purpose-built ships transport crude oil from Alaska to west coast ports in the US. In China we have a 40% shareholding in China LNG Shipping (International) Company Limited – a company set up to provide ship management services initially to LNG carriers serving the Chinese Guangdong LNG terminal.
Worldwide around 2,800 people worked for us at the end of 2006. Some 2,283 of these were seastaff working on our directly operated vessels. The balance worked in offices in London, Aberdeen, Houston, Chicago, Los Angeles, Anchorage, Hong Kong, Shanghai, Zhuhai, Singapore, Athens, Gelsenkirchen, Melbourne and Cape Town.