Odfjell SE is a company specialising in worldwide
seaborne transportation and storage of chemicals and other speciality
bulk liquids
Bulk cargo is commodity cargo that is transported unpackaged in large quantities.
Description
Bulk cargo refers to material in either liquid or granular, particulate form, as a mass of relatively small solids, such as petroleum/ crude oi ...
. The Odfjell fleet comprises more than 80 ships in total. The ships transport around 600 different kinds of liquids, including organic and inorganic bulk liquid chemicals, acids,
animal fats
Animal fats and oils are lipids derived from animals: oils are liquid at room temperature, and fats are solid. Chemically, both fats and oils are composed of triglycerides. Although many animal parts and secretions may yield oil, in commercial p ...
,
edible oils, portable alcohols and clean
petroleum products
Petroleum products are materials derived from crude oil (petroleum) as it is processed in oil refineries. Unlike petrochemicals, which are a collection of well-defined usually pure organic compounds, petroleum products are complex mixtures. The m ...
. Odfjell’s ships are mainly registered in
Norway
Norway, officially the Kingdom of Norway, is a Nordic country in Northern Europe, the mainland territory of which comprises the western and northernmost portion of the Scandinavian Peninsula. The remote Arctic island of Jan Mayen and t ...
(
NIS
Nis, Niš, NiS or NIS may refer to:
Places
* Niš, a city in Serbia
* Nis, Iran, a village
* Ness, Lewis ( gd, Nis, links=no), a village in the Outer Hebrides islands
Businesses and organizations
* Naftna Industrija Srbije, Petroleum Industry o ...
) and
Singapore
Singapore (), officially the Republic of Singapore, is a sovereign island country and city-state in maritime Southeast Asia. It lies about one degree of latitude () north of the equator, off the southern tip of the Malay Peninsula, borde ...
, and are primarily manned by Norwegian and
Filipino
Filipino may refer to:
* Something from or related to the Philippines
** Filipino language, standardized variety of 'Tagalog', the national language and one of the official languages of the Philippines.
** Filipinos, people who are citizens of th ...
mariners.
The tank terminal division consists of five tank terminals, located in Belgium, USA, South Korea and China. Odfjell Terminals is also part of a network in South America, consisting of another 11 tank terminals partly owned by related parties.
Odfjell has offices in 13 locations around the world, and is headquartered in
Bergen
Bergen (), historically Bjørgvin, is a city and municipality in Vestland county on the west coast of Norway. , its population is roughly 285,900. Bergen is the second-largest city in Norway. The municipality covers and is on the peninsula of ...
, Norway. The company employs around 2,300 people and posted annual gross revenue of USD 1083 million in 2021.
Odfjell has a wide range of customers, from the
oil majors and largest
chemical manufacturers to smaller logistical companies and traders.
History
Odfjell is among the oldest existing shipping companies in
Bergen, Norway
Bergen (), historically Bjørgvin, is a city and municipalities of Norway, municipality in Vestland county on the Western Norway, west coast of Norway. , its population is roughly 285,900. Bergen is the list of towns and cities in Norway, secon ...
. In 1890, Captain Berent Daniel Olsen moved to Bergen to work in the shipping industry. The first joint ship owning company was registered in 1914 by Olsen’s sons, Fredrik, Abraham and Andreas Odfjell. As their logo, the Odfjell brothers adopted three interlocked rings in red, blue and yellow, representing each of the three. Fredrik and Abraham incorporated the joint ship management company AS Rederiet Odfjell in April 1915, and in 1917 the brothers took over the shipping company AS DS Storli.
World War II
At the outbreak of World War II, Odfjell managed a fleet of seven ships. The German occupation of Norway split the Odfjell fleet in two. The three ships in home waters were ordered to serve German occupants, whilst the four ships on the high seas were controlled by
Nortraship
The Norwegian Shipping and Trade Mission (Nortraship) was established in London in April 1940 to administer the Norwegian merchant fleet outside German-controlled areas. Nortraship operated some 1,000 vessels and was the largest shipping company ...
, the Norwegian Shipping and Trade Mission, who was established in 1940 to administer the Norwegian merchant fleet outside of German-controlled areas. The home fleet suffered terrible losses. Two of the three ships were lost and 41 people perished. Three of the four ships in the Nortraship fleet came through the war unscathed. The only ship lost had been requisitioned by France and was sailing under French name and flag with a French crew.
1945-1969
Fredrik and Abraham Odfjell died in 1950 and 1960 respectively. Their sons, Bernt Daniel Odfjell and Johan Odvar Odfjell took over the company. During the 1950s, Odfjell pursued two paths: the general cargo liner trade and operation of small tankers. The latter ships gradually became more sophisticated and specialised, capable of carrying sulphuric acid.
During the 1960s, the company made a strategic repositioning by expanding the chemical tanker business. MT Lind was Odfjell’s most significant ship in this period. The vessel was built for Odfjell by the Norwegian Stord Verft and was the world’s first purpose-built stainless steel tanker. During this period, the shift in focus from general cargo vessels to purpose-built smaller chemical tankers was completed.
Odfjell also entered new markets: Tank terminals and offshore drilling rigs. In 1963, Odfjell started its own chartering department, Minde Chartering, which was an important step towards making Odfjell a fully integrated shipping company. In 1969, Odfjell opened their first tank terminal, the TAGSA terminal in
Buenos Aires
Buenos Aires ( or ; ), officially the Autonomous City of Buenos Aires ( es, link=no, Ciudad Autónoma de Buenos Aires), is the capital and primate city of Argentina. The city is located on the western shore of the Río de la Plata, on South ...
, Argentina.
1970-1989
Following the 1973
OPEC
The Organization of the Petroleum Exporting Countries (OPEC, ) is a cartel of countries. Founded on 14 September 1960 in Baghdad by the first five members (Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela), it has, since 1965, been headquart ...
oil embargo, the economic situation in the shipping industry worsened dramatically. Old, well-established shipping companies went under, and laid-up crude oil tankers became a familiar sight in many Norwegian fjords. The situation was turbulent for Odfjell as well, however, after having carved out a profitable niche in the chemicals trade market, the Company was not as hard hit as shipping companies in other trades. As it was almost impossible to convert other types of ships into chemical tankers due to new strict regulatory regimes, the chemical tanker market was largely spared of surplus tonnage.
In 1979, the Odfjell family decided to split the Company in two, based on differences in outlook on future activities. The split was effective from 1 March 1980. Bernt Daniel Odfjell and his son Dan Odfjell took over the deep-sea chemical tanker fleet, with Skibsaksjeselskapet Storli as their main corporate entity, and including the terminal business. Johan Odvar Odfjell and his son Abraham Odfjell took over the small tankers, later developed into Jo Tankers, and the offshore rig business through
Odfjell Drilling and Consulting Company (ODCC).
The family split and the challenging market condition during the 1970s and early 1980s left the Company considerably smaller and financially rather strained. To regain the leading position in the chemical tankers segment, the strategic focus was set on consolidation and growth. The Company partnered with
Westfal-Larsen
Westfal-Larsen is a group of shipping companies based in Bergen, Norway, owning 20 open hatch ships and 12 chemical tankers.
The group's main activities also include investment as well as ship technical and commercial management. Among the subsi ...
, a new tank terminal in Houston, Texas was established, and the Company invested in new orders and acquisitions of second-hand tonnage, to fund these investments, Skibsaksjeselskapet Storli went public, and in 1986 the Storli share was listed on the
Oslo Stock Exchange
Oslo Stock Exchange ( no, Oslo Børs) (OSE: OSLO) is a stock exchange within the Nordic countries and offers Norway’s only regulated markets for securities trading today. The stock exchange offers a full product range including equities, deriv ...
.
1990-2018
During the 1990s, the Company continued to expand. National Chemical Carriers (NCC) of Saudi-Arabia replaced Westfal-Larsen as chemical tanker partner. The Company entered the Asian tanker market and became a player in the regional short-sea markets in Asia and the Americas. In February 1998, the Company changed name from S/A Storli to Odfjell ASA, with the implementation of the current company logo. The three interlinked rings are retained as the ships’ bow mark, signifying the original three Odfjell brothers.
The expansion continued into the new millennium, both in the deep-sea and short-sea segments, as well as tank terminals. In year 2000, Odfjell announced the merger between Odfjell Tankers and Seachem, and added 20 new ships to the fleet. At the time of the merger, Odfjell was the world’s second largest operator of chemical tankers, Seachem the fourth. Later the same year, Odfjell acquired the Botlek Tank Terminal in Rotterdam, Netherlands, and renamed it to Odfjell Terminals (Rotterdam). Thereafter, the involvement in tank terminals increased rapidly. In 2012, Odfjell re-entered the gas carrier business through an acquisition of two second-hand 9,000 cbm
LPG/
Ethylene
Ethylene (IUPAC name: ethene) is a hydrocarbon which has the formula or . It is a colourless, flammable gas with a faint "sweet and musky" odour when pure. It is the simplest alkene (a hydrocarbon with carbon-carbon double bonds).
Ethylene i ...
carriers.
In 2015-16, Odfjell went through a two-year transition phase, focusing on building strength and preparing the Company for growth. The Board of Odfjell SE launched a cost cutting programme in January 2015 to significantly improve the financial performance of Odfjell’s Chemical Tanker business. For the annual report presentation in 2017, the Company showed positive results and a significant improvement in the financial performance and competitiveness, despite a challenging global market situation.
Organisation
Odfjell SE
Odfjell SE is the ultimate parent company of the Odfjell Group, and is a public limited company traded on the Oslo Stock Exchange. The Odfjell Group includes Odfjell SE, subsidiaries incorporated in several countries and the share of investments in joint ventures. Odfjell SE provides an in-house management, Odfjell Ship Management (SM).
Odfjell SM offers a fully integrated service, with fleet management, crewing, procurement- and logistics, technology support, newbuilding and QHSSE (Quality, Health, Safety, Security and Environment). SM provides direct support to ships operating in regional trades, and ships in the deep-sea fleet, as well as professional crew management.
Odfjell Tankers AS
Odfjell Tankers AS, a subsidiary of Odfjell SE, controls and operates a fleet of more than 80 ships, including owned, time- and bareboat chartered vessels, and newbuildings on order. With offices at strategic locations around the world, Odfjell Tankers operates globally and regionally with tonnage ranging from 5,000 DWT to 75,000 DWT. The majority of tonnage is owned and managed by Odfjell SE.
Odfjell Terminals
Odfjell operates four tank terminals at strategic locations in China, Korea and USA, and is in addition non-operating partner in the Noord Natie terminal in Antwerp, Belgium. Odfjell Terminals has a cooperation agreement with another 11 terminals in South America, including Peru, Brazil, Argentina and Chile. These terminals are partly owned by related parties.
Odfjell Terminals offers a total 1.47 million cubic meters of storage space in 552 tanks.
Controversy
Following the explosion of the
m/s Bow Mariner
The metre per second is the unit of both speed (a scalar quantity) and velocity (a vector quantity, which has direction and magnitude) in the International System of Units (SI), equal to the speed of a body covering a distance of one metre in ...
, Odfjell ordered survivors to not speak with the investigators. It was later determined that the explosion was caused by the crew being ordered to work in an extremely unsafe manner, without using the inert gas system, when cleaning tanks containing an explosive air/fume mixture.
Sources
External links
*{{Official website, http://www.odfjell.com/Pages/default.aspx
LinkedIn profile
Shipping companies of Norway
Tanker shipping companies
Companies based in Bergen
Transport companies established in 1914
1914 establishments in Norway