May 2012 TO ALL MEMBERS Dear Sirs Dangers of carrying nickel ore from Indonesia and the Philippines – Mandatory notification requirements Background This circular should be read in conjunction with our previous circular dated January 2011 and bulletins of December 2010 and February 2011 (please see the Club’s website) relating to the safe carriage of nickel ore cargoes and nothing in this circular supersedes the previous advice. The liquefaction of such cargoes has resulted in the sinking of a number of ships with a loss of many lives in the last 18 months. Nickel ore is a cargo which may liquefy if the moisture content of the material exceeds its Transportable Moisture Limit (TML). Cargo liquefaction may lead to a loss of stability, to the extent that the ship may capsize. Due to the numerous dangers and difficulties associated with this particular cargo, the International Group is actively involved, with other industry bodies, in discussions currently taking place within the International Maritime Organisation (IMO) to determine if and how the International Maritime Solid Bulk Cargoes (IMSBC) Code can be amended to improve the safe carriage of nickel ore cargoes. Representatives from the International Group also recently met with the Indonesian Administration in Jakarta, as part of an industry delegation, to discuss industry concerns with regard to the safe carriage of such cargoes from Indonesia. The issues discussed included the duty of a competent authority to oversee compliance by shippers of their obligations under the IMSBC Code in respect of reliable testing and accurate certification of the cargo to be shipped. In the absence of an early resolution to these discussions and the ongoing risks to safety, Members considering the carriage of nickel ore from ports in Indonesia and the Philippines should note the recommendations contained in this circular.  The Britannia Steam Ship Insurance Association Limited Managers Tindall Riley (Britannia) Limited Regis House 45 King William Street London EC4R 9AN Tel +44 (0)20 7407 3588 Fax +44 (0)20 7403 3942 www.britanniapandi.com Mandatory notification requirement Whilst it remains the Members’ responsibility to ensure full compliance with the IMSBC Code and to take any measures necessary to ensure the safe carriage of nickel ore cargoes from ports in Indonesia and the Philippines, Members who plan to fix or charter a ship to load nickel ore from ports in Indonesia and the Philippines, or where under an existing fixture a ship is ordered to load such cargo, must contact the Managers at the earliest opportunity and, where possible, provide the following information:• Ship name • Port/anchorage of loading and estimated time of arrival • Date of intended loading • Charterer’s/shipper’s details • Agent’s details • Copy of the shipper’s cargo declaration and supporting certificates. This will enable the Managers to provide Members with relevant information on any measures that might be taken to reduce the risk, as set out in our previous circular and bulletins, such as the appointment of a local surveyor to assist the Master, and the appointment of an expert, not necessarily to attend in person, but to liaise and supervise the local surveyor throughout. These measures may reduce the risks inherent in the carriage of nickel ore cargoes but are not a guarantee of safety. Fees incurred will be paid directly by the Association for the foreseeable future. If the Master is in any doubt whatsoever