INTERTANKO/HEIDMAR Terminal Vetting Database UPDATE FOR PREVENTION FIRST 2004 SYMPOSIUM by Capt John N. Hill Heidmar, Inc September 14, 2004

- The International Association of Independent Tanker Owners -

Some figures…  227 Members  2,198 tankers  165 million dwt  37 countries  70% of independent fleet  271 Associate Members INTERTANKO Membership

 25 Strong Secretariat Managing Director, Dr. Peter M. Swift  Offices in London, Oslo, Washington & Singapore  14 Committees and Working Groups and 4 Regional Panels  60 Work Items on the Agenda INTERTANKO

HEIDMAR HEIDMAR… A MARINE LOGISTICS COMPANY …Celebrating our 20 th Anniversary this year…

HEIDMAR…  Commercially Manages 3 tanker pools, currently totaling more than 70 vessels.  Office locations in Darien CT, Houston TX, Caracas, London, and Singapore.  Operates Heidenreich Lightering Services of Houston, since late Over 300 lighterings thus far.  Provides Q88 Oilco Questionnaire Service to the Industry through Heidenreich Innovations, Inc. affiliate. Presently used by over 150 Owners operating over 1900 tankers.  Employs 15 different nationalities ashore, including 13 in Connecticut out of 54 employees.  Works with over 20 ship owners of varying nationalities.  Carried 46 million MT of crude or petroleum products in the past 12 months without any spillage.

Some Methods Used To Keep Our Quality…  Report Cards From Terminals Every Call--TERMINAL SATISFACTION SHEETS  External Reviews of ouir Ships, People and Procedures--Port Capt. Audits  Annual Quality Inspections--Star/Dorado/Sigma Inspections  Semi Annual brainstorming meetings with pool partners  Convening of special events as needed AND… In conjunction with INTERTANKO, The Terminal Vetting Database

Since the worldwide acceptance of VETTING as a way of life in tanker shipping, the quality of tanker tonnage has improved. FACT

IF THE VETTING PROCESS WORKS FOR SHIPS, WHY NOT TRY IT ON TERMINALS ??

HENCE, THE TERMINAL VETTING DATABASE WAS BORN

THE FORM SIMPLE ONE PAGE USER-FRIENDLY

THE RATINGS 1. Poor: Worse than average in all areas. Needs lot of improvement. 2. Below Average: Worse than average in some areas. Could use some improvement. 3. Average: Fully adequate. 4. Above Average: Better than average in some regards. 5. Excellent: Of a very high quality in all regards.

The Questions Asked

SINCE CONCEPTION …We tested it with Four Companies for 6 months in US Gulf Area …Then we reviewed our findings …Tweaked the forms and streamlined data entry And, it is under continual review in the Vetting Committee

SYNERGIES …ANALYSIS BY INTERTANKO …IDENTIFICATION OF PROBLEM TERMINALS …BUILDING OF ALLIANCES WITH LIKE-MINDED ORGANIZATIONS WHO KNOWS WHAT WE CAN ACCOMPLISH THROUGH MUTUAL COOPERATION ??

BUT ITS PRIMARY PURPOSE  IS TO SERVE TANKER OWNERS AND OPERATORS  SO THAT WE IMPROVE OUR EFFICIENCIES BY INFLUENCING TERMINALS TO IMPROVE  WE TRY TO DO THIS IN A WIN-WIN FASHION, COOPERATIVELY WITH TERMINAL REPRESENTATIVES

3 LEVELS OF UTILITY Level 1: Vessel Manager can review terminals prior to vessel’s call Level 2: Owners can review and follow up on any problems individually with his terminal counterparts Level 3: The Intertanko Vetting Committee can be tasked to follow up with any “problem terminals” not responding to Owner’s observations

BUT THERE IS MUCH MORE TO DO!! …We need more direct inputting from each Company... …We need to streamline data entry procedures …We need to keep building our database volume …We need to keep marketing the product… TO DATE WE HAVE INPUTTED OVER 5000 REPORTS INDUCED AT LEAST TWO TERMINALS TO MAKE EXTENSIVE IMPROVEMENTS AND STARTED CONSTRUCTIVE DIALOGUES WITH MANY OTHERS, INCLUDING WORKING WITH OCIMF IN A DATA-SHARING EFFORT

And, for our Terminal Friends Please take note!! We are also Adding A Terminal Feedback Function

But, We Need Your Help Too!! … Please, take a blank form …Bring it to Your Office …Talk it Up With Your People …Get Involved With this Program AND HELP US KEEP OUR INDUSTRY CLEAN …Send us Your Comments

Capt John N. Hill Heidenreich Marine For the INTERTANKO VETTING COMMITTEE