1.1   Give two reasons for no commercial ships operating with coal-fired boilers now when 100 years ago, it was the fuel used by virtually all ships. [2 x 2: 4]

1.2  Some shipowners are exploring several more eco-friendly ways to power their ships. Give two examples of these “more eco-friendly ways” to power ships.  [2 x 2: 4]

1.3  Give three ways (other than matters relating to ships’ engines and fuel) in which shipowners are making their ships more efficient in terms of their operation.  [3 x 2: 6]


1.4  Study the graph above that show daily tanker charter rates in US dollars for the period January 2002 to December 2015.

  • The top graph line indicates the daily charter rates for VLCCS.
  • The middle graph line indicates the daily charter rates for Suezmax tankers.
  • The bottom graph line indicates the daily charter rates for Aframax tankers.
  • The marker line from each year indicates June/July of that year.

1.4.1.   What is a Suezmax tanker? [4]

1.4.2.   According to the graph, in which year did the charter rate for VLCCs experience its first rise of more than US$10000 per day?  [2]

1.4.3.   Growth in the economy of which country caused the sustained high rates for all tankers from 2004 to 2008?   [2]

1.4.4.   Why are VLCC charter rates always higher than the rates for the other types of tanker?  [4]

1.4.5.   When studying this set of graphs, would tanker owners be pleased or disappointed with regard to the future? Explain your answer to this question.  [4]

1.4.6.   Why do all three graphs show an increase in charter rates around the end of each year?  [6]

1.4.7.   When did the graph for Aframax tankers reach its highest point?  [2]

1.5  Most British-owned ships had British crews. Few British-owned ships are flagged in Britain now and few carry British crews.

1.5.1.  Explain why few British-owned ships are flagged in Britain now.  [6]

1.5.2.  Name three countries that provide thousands of crewmembers for ships.  [3 x 2: 6]

1.5.3.  Name three reasons for western shipowners deciding to employ foreign crews.  [3 x 2: 6]

1.5.4.  What can countries do to encourage young people to decide on a sea-going career?  [6]

[ 60 MARKS  ]



2.1.      The message above was received by Kangaroo Shipping Agency, (Fremantle in Australia) the port agents for the Bergenzee.

2.1.1.   Explain the reasons for the sequence of discharging the cargo as given by the ship’s master.  [6] 

2.1.2.   Whom will the surveyors represent?  [2 x 2: 4]

2.1.3.   List four companies or organisation that will appear on the disbursement account that will be compiled by the agent after Bergenzee has sailed from Fremantle.   [4 x 2: 8]

2.1.4.   What is a cargo manifest?  [2] 

2.2.      Study the list of requirements the Master has given.

2.2.1.   Who will supply the charts for the Indian East Coast?  [2]                                         

2.2.1.  Whom will the agent have to contact in respect of the voyage instruction for the voyage Fremantle– Kolkata?  [2]

2.2.1.  Which THREE government agencies (apart from any surveyors) will the port agent have to advise of the ship’s ETA?  [3 x 2: 6]

2.2.4.   How many previous ports has the master given in this message?  [2]

2.2.5.   In terms of which IMO Code has this list of ports been provided?  [2]




2.3.      Read the extracts above and answer the questions that follow:

2.3.1.      What agreement would the salvage company have negotiated with the ship’s owners for this operation?   [2]

2.3.2.      The south-western part of Australia experiences similar weather patterns to the south-western Cape in South Africa.   In what season was the voyage from Fremantle to Sydney undertaken?  [2]  What weather system was affecting the weather at the time of the salvage operation?   [2]   Explain your answer to Question  [4]   Explain how the weather played a part in the salvage tug owners securing such a large salvage claim.   [6]   What is the term for the process whereby salvage claims are adjudicated?  [2]

2.3.3.   Calculate  the total cost of the salvage operation. (Use the figure awarded by the court plus……………)  [4] the total value of the ship and all that she was carrying at the time of the incident   [6]   the value of the contribution that the owners of the steel girders will have to make in terms of General Average?   [6] What form of marine insurance will cover the following :

(a)  Repairs to the engineroom of Asian Prince

(b)  The costs of the private helicopter                             

(c)  Bergenzee diverting from her course, using additional fuel, and being delayed by several hours.    [3 x 2: 6]

2.4.      No oil spillages occurred during this operation

2.4.1.   Explain how salvors try to ensure that oil is kept from the coast in an operation to salvage a ship that has in fact, run aground.    [6]

2.4.2.   Explain why it is so important to try to avoid oil spillage.   [6]

2.5.      Assume that Bergenzee begins discharging at 14:00 on the day of arrival and each of the two units can discharge 1200 tons of rice per hour.

2.5.1.  How many hours will it take to discharge the ship? (Be careful and round off to the next hour!)   [6]

2.5.2.  Breaks in discharging the cargo total 4 hours. If the master hopes to sail six hours after completing discharging, what is the ship’s ETD from Fremantle?   [6])

2.5.3.   List three procedures that will need to be done in the six hours between completion of cargo and the vessel sailing.     [3 x 2: 6]

2.5.4.   Where is the ship bound once she has left Fremantle?   [2]

2.6.      As Bergenzee approaches Sydney, she hits a buoy that sinks ten minutes later, and the ship sustains minor damage to the starboard bow, although, after a survey, she is declared seaworthy. Repairs will be done before she sails from Sydney.

2.6.1.   What type of marine insurance, held by the ship, covers the loss of a buoy?   [2]

2.6.2.   The buoy belonged to the port authority in Australia. In which country would the court hearing take place to decide who was to blame in this incident?   [2]

2.6.3.   Which two organisations needed to inspect the ship before she can sail from Sydney to ensure that she was seaworthy?     [2 x 2: 4]

2.6.4.   The Second Mate said that he had noticed that the buoy seemed to be drifting, instead of being anchored. Explain how this fact will have an influence on the insurance claims surrounding the ship’s collision with the buoy.   [4]

[ 120 MARKS  ]


3.1.      The government of Country X wants to stimulate the vehicle assembly industry because it is labour intensive (i.e. it provides jobs for lots of people). A vehicle assembly factory was established in Port A twenty years ago, but it is struggling to compete with fully-assembled vehicles that are being imported from Asia. For the vehicle assembly factory, 20 per cent of the vehicle parts must be made locally, and the other 80 per cent can be imported. Explain what Country X should do to ensure that the vehicle assembly industry can grow in size and in profitability.   [4]

3.2.      What type of ship will be used….

3.2.1.   to bring vehicle parts from Asia to Port A?    [2]                                        

3.2.2.   to carry completed vehicles from Port A to India?   [2]

3.3.      At Port A, drivers who load the completed vehicles onto ships go on strike. The vehicle factory has a contract to supply 8400 completed cars to India within the next four months. The vehicle factory shipping manager discusses the problem with the port manager at Port B (700 kilometres away by rail, and 320 nautical miles further from India than Port A) who makes a berth available for the export of the cars. The cars will be sent by railway from Port A to Port B, each train carrying 120 cars.

3.3.1.   How many trains will be needed to move all the cars from Port A to Port B?   [4]

3.3.2.   Explain why the landed cost of the cars in India will now be greater.   [8]

3.3.3.   Each ship chartered for the export of the cars to India can carry 700 cars, meaning that 12 ship loads (i.e. 3 per month over four months) will be needed to move the cars from Port B to India. Note the following :

  • Each ship will spend 3 days in Port B.
  • The voyage to India will take 7 days.
  • Each ship will spend 3 days in India.
  • The voyage back to Port B will take 7 days.
  • Estimated anchorage time on each return voyage will total 1 day.
  • A return voyage will begin on arrival at Port B and will end on arrival back at Port B. It includes the anchorage time.  How many days will a ship take to complete a return voyage?   [6]  How many ships will the vehicle exporters need to charter to complete the shipment of the cars to India? Remember that the first ship will be able to return to Port B after ….. days. (See your answer to Question above.   [6]  What is the effect of the diversion of export cars from Port A to Port B on each of the following?

(a)        the car drivers at Port A   [4]

(b)        the railway company    [4]

3.4.      The message to her port agents indicates that Bergenzee moved from Kuwait (in the Arabian Gulf) to Rotterdam (Netherlands).

3.4.1.   List three convergence zones through which she would have steamed on that voyage.      [3 x 2: 6]

3.4.2.   Choose ONE of those convergences zones. Explain its importance in modern shipping.  [10]

3.5.      A South African seafarer is employed on a German-owned ship and is earning his salary in US dollars. He serves in the ship for three months (December, January and February), earning US$4000 a month. From the master of the ship, he drew US$280 to buy a new camera in January, and he drew US$64 in February to buy his wife a present, and he drew US$120 to have some money with him when he flew home at the end of February.

3.5.1.   How much will he earn during his time at sea?    [4]

3.5.1.  How many US dollars will the company have paid him after his expenses were paid?    [4]

3.5.3.   The exchange rate (US$ to South African rands) was as follows :

  • December         US$1 = SA Rand 14.7
  • January            US$1 = SA Rand 14.9
  • February           US$1 = SA Rand 14.6

Now calculate the payment made into his bank for each month in South African Rand, and the total amount that was paid into his bank account.    [4]

3.6.      Give the term described in each of the questions below:

3.6.1.  The document that sets out the conditions governing the carriage of goods by sea.    [2] 

3.6.2.  The Incoterm that indicates that the costs of carrying the cargo (from the time that it is aboard the ship until it reaches the consignee’s premises) will be paid by the consignee. Choose your answer from : FOB; FAS; CIF; EXW; DDP    [2] 

3.6.3.  The Incoterm that indicates that the costs of shipping the cargo (until it is ready to be loaded aboard the ship) will be paid by the consignor. Choose your answer from : FOB; FAS; CIF; EXW; DDP.     [2] 

[ 90 MARKS ]


4.1.   Before his ship arrived in Fremantle, the master of Bergenzee indicated that ballast water had been exchanged as required.

4.1.1.   Explain the term ballast water exchange, and explain why this process is necessary in terms of where this ship has come from.     [6] 

4.1.2.   In terms of which IMO code is ballast water exchange necessary?     [2] 

4.2.      The tanker Sherpa is off the coast of the Cape Peninsula and Robben Island – about 7 miles off her port bow – is clearly visible on her radar screen. Visibility has been reduced to less than 200 metres because thick fog has covered the entire area from Cape Columbine to Cape Point.

4.2.1.   Explain the cause of this fogbank.     [6] 

4.2.2.   What effect will this have on her ETA at Cape Town?     [2] 

4.2.3.   Will the fog prevent her from entering port? Answer YES or NO.     [2] 

4.2.4.   Give a reason for your answer to Question 4.2.3.     [2] 

4.3.      The Australian government is extremely concerned about the conservation of the Great Barrier Reef, an extensive coral formation that is hundreds of nautical miles long and that lies parallel to the country’s east coast. It is mostly underwater, but many small islands form part of the reef which abounds in various forms of sea life. Strict shipping and fishing regulations apply in the area. Write a note in which you explain why the Australian government is so protective about this reef.     [10] 

[ 30 MARKS ]

[ TOTAL : 300 MARKS ]