Global Commercial Marine Risk Management

Marine Vetting and Audit Criteria

Summary for Vessel Operators

Marine Vetting and Audit Criteria

for Vessel Operators

Issue Date:
11/30/2009
Revision:
5.0

TABLE OF CONTENT
1.0

GENERAL .....................................................................................................................................4

2.0

OBJECTIVE ..................................................................................................................................4

2.1
3.0

Vessels Subject to ConocoPhillips Vetting Criteria: ..................................................................4

VESSEL ACCEPTANCE REQUIREMENTS - SHIPS...................................................................5

3.1
3.2
3.2.1
3.2.2
3.2.3
3.3
3.4
3.5
3.6

Term Charted Vessels ..............................................................................................................5

ConocoPhillips Double Hull and Age Criteria for Ships and Barges .........................................6
General Barges, Tugs and Towboats (Worldwide) ...............................................................7
Barges......................................................................................................................................8
Tugs and Towboats .................................................................................................................8
Additional Vessel Criteria: .........................................................................................................8
Manning and Certification- Ship ................................................................................................8
Compliance with Local and International Conventions and Regulations - Ship ........................9
Protection and Indemnity (P&I) Club Ship..............................................................................9

4.0

VESSEL ACCEPTANCE REQUIREMENTS - U.S. BARGE, TUG, TOWBOAT ...........................9

5.0

ADDITIONAL CRITERIA FOR ALL VESSELS ...........................................................................10

5.1
5.2
5.3
5.4

Drug and Alcohol Policy ..........................................................................................................10

Flag State................................................................................................................................11
Acceptance and Rejection on Status Changes.......................................................................11
Conditions resulting in Vessel and/or Operators Being Placed On Hold or On Notice:......11

APPENDICIES........................................................................................................................................13
Appendix A
Appendix B
Appendix C

Requirements for Condition Assessment Program (CAP)...........................................13

Acceptable Classification Societies.............................................................................15
Contact Information .....................................................................................................16

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Marine Vetting and Audit Criteria

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5.0

11/30/2009

Updated barge technical criteria

Director,
Vetting

4.0

09/16/2009

Double Hull Criteria updated for US carriers conference

Director,
Vetting

3.0

03/13/2009

Revision for posting through Intertanko publication

Director,
Vetting

2.0

06/2006

Updated/edited for external sharing through SIS link

Director,
Vetting

1.0
Revision

08/2003
Date

Original Summary after corporate merger

Description of Changes

Director,
Vetting
Owner

Issue Date:
11/30/2009
Revision:
5.0

Manager,
Marine Risk
Management
Manager,
Marine Risk
Management
Manager,
Marine Risk
Management
Manager,
Marine Risk
Management
Manager,
Marine Risk
Management
Approved by

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Marine Vetting and Audit Criteria

for Vessel Operators

1.0

Issue Date:
11/30/2009
Revision:
5.0

GENERAL

ConocoPhillips (COP) is a marine shipper of large volumes of hydrocarbons and related chemicals
globally; while participating in several industry organization forums, such as Oil Companies
International Marine Forum (OCIMF), American Waterways Association (AWO) and Society of
International Gas Tanker and Terminal Operators (SIGTTO), the company incorporates the guidelines,
recommendations and best practices set forth by these industry forums and regulatory agencies in its
vetting criteria.
ConocoPhillips in partnership with certain other oil companies uses the software system known as
SIS3 or the Ship Information System to store and process technical information regarding Ships,
Barges, Tugs, and Towboats. The SIS3 program allows certain information to be shared amongst the
partnered companies, thus reducing the workload and redundancy of requests to the Ship-owners /
Operators. Please note that acceptance / non acceptance of all vessels is not shared amongst the
partners and the information remains private to each individual company.
ConocoPhillips also participates in and supports the OCIMF SIRE program. The scheduling of the
SIRE inspections is achieved through the SIS3 system with the exception of US Tugs and Barges.
SIRE inspections conducted by SIS partner companies will be equal to a ConocoPhillips SIRE
inspection with the exception of vessels being considered for, or engaged in term charters.

2.0

OBJECTIVE

ConocoPhillips objective is to meet its Marine Transportation needs in the most responsible manner by
placing special emphasis on protecting the People, the environment, assets, and its reputation.
ConocoPhillips expects to achieve this by using good quality vessels that remain accident / pollution
free.
2.1

Vessels Subject to ConocoPhillips Vetting Criteria:

All vessels carrying ConocoPhillips owned cargo (including part cargoes).

defined as Petroleum, Chemical and Gas Products

All vessels calling at a ConocoPhillips owned/operated terminal.

All vessels calling at a ConocoPhillips leased terminal with COP titled cargo.

All vessels calling at a ConocoPhillips owned/operated offshore field/installation.

All vessels chartered by or on behalf of ConocoPhillips with the purpose of carrying hydrocarbon
or chemical cargoes

Cargo shall be

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Revision:
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All vessels involved in STS (Ship To Ship) transfer, when ConocoPhillips has title to cargo, or
operates/owns any of the vessels involved including the Service Vessel and Ship To Be
Lightered.

3.0

VESSEL ACCEPTANCE REQUIREMENTS - SHIPS

Hull Criteria is governed by section 3.2 of this document. Additionally, each Ship and Non-U.S Barge
being considered for a potential Marine Movement must meet the following criteria:

Be nominated by a ConocoPhillips or ConocoPhillips Joint Venture accepted entity.

Be accepted individually by the appropriate regional vetting Team.

approvals for any specified period of time.

Include the submission and assessment of a current and valid Ship Questionnaire (SQ)
submitted to www.SIS3.com with a date-stamp not exceeding one month. The SQ shall be
submitted by the vessels technical operator, defined as the entity stated on the vessels current
Document of Compliance.

Have been inspected by an OCIMF member or CDI participant within the past 6 months and the
report made available in the appropriate database. At least one discharge SIRE must be
available within the past 12 months. The requirement for annual ConocoPhillips SIRE
inspections for non-term vessels basis vessel age has been removed.

The combined sea-going experience of the Master and Chief Officer on any type of tanker
should be no less than 9 years.

The combined in-rank experience of the Master and Chief Officer must be at least 3 years
actual sea-time on tankers.

For all Gas Ships, in addition to the above, the Master must have a minimum 1 year sea-time
experience as a senior office on LNG and/or LPG and the Chief Officer must have a minimum 1
year sea-time experience as an Officer of the Watch on LNG and/of LPG.

3.1

Term Charted Vessels

Any vessel currently engaged or being considered for time charter equal to or greater than 6
months must posses the following :

1.
2.
3.

A ConocoPhillips Inspection annually, irrespective of vessel age.

A valid ship questionnaire (SQ) in www.SIS3.com .
A valid and accepted ConocoPhillips TMSA report and audit. If the charter exceeds a term
contract of more than 24 months, an additional audit shall be conducted twice in five years.

There are no blanket

Additional Criteria for Marine Movements involving Lightering (Vessel to Vessel Transfers):

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Revision:
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Marine Vetting and Audit Criteria

for Vessel Operators

Vessel operator should meet the guidelines of OCIMF STS recommendations.

Overall capability of vessel and staff experience will be considered.

The STS operation must be performed by a ConocoPhillips approved STS Service provider.

STS Service providers are to be audited twice in five years unless circumstances warrant a
more frequent audit is necessary.

Bunkering operations are not covered under STS operation guidelines.

Both the Ship to be Lightered (STBLs) and Service Ship must be accepted by the COP Vetting
Team.

Barge to Barge Transfer operations are not applicable at this time.

3.2

ConocoPhillips Double Hull and Age Criteria for Ships and Barges

ConocoPhillips has enhanced the Double Hull and age criteria with the following effective dates:

Non US Ocean Going Vessels

Compliance Date

Size

Hull Type

Age

August/31/2009

Over 5000 DWT

Double Hull

Less than 25 years

August/31/2009

Less than 5000 DWT

All hull types

Less than 25 years

January/1/2010

Over 6000 DWT

Double Hull

Less than 25 years

January/1/2010

Less than 6000 DWT and carrying

1
Heavy Grade Oil (HGO)

Double Hull

Less than 25 years

January/1/2012

All vessels

Double Hull

Less than 20 years

Compliance Date

Size

Hull Type

Age

August/31/2009

Greater than 600 DWT

All hull types

Less than 35 years

August/31/2010

Greater than 600 DWT

Double Hull

Less than 35 years

January/1/2010

Less than 6000 DWT and carrying

Heavy Grade Oil (HGO)

Double Hull

Less than 35 years

January/1/2012

All vessels

Double Hull

Less than 30 years

Non US Inland Vessels

Heavy Grade Oil (HGO) as defined in MARPOL: Under the new regulation, HGO means any of the following:
i) Crude oils having a density at 15C higher than 900 kg/m3;
ii) Fuel oils having either a density at 15C higher than 900 kg/ m3 or a kinematic viscosity at 50C higher than 180 mm2/s;
iii) Bitumen, tar and their emulsions.

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Marine Vetting and Audit Criteria

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Issue Date:
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Revision:
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US Flag Ships
There are trade provisions for US Flag Jones Act Trade Vessels. Please contact the ConocoPhillips
Marine Vetting Team for information about ships at vetting@conocophillips.com or for barges and tugs
at bargevetting@conocophillips.com

US Ocean Going Barges

Compliance Date

Size

Hull Type

Age

August/31/2009

Over 5000 DWT

Double Hull

Less than 35 years

August/31/2009

Less than 5000 DWT

All hull types

Less than 35 years

January/1/2010

All barges

Double Hull

Less than 35 years

Compliance Date

Size

Hull Type

Age

August/31/2009

Over 5000 DWT

Double Hull

Less than 35 years

August/31/2009

Less than 5000 DWT

All hull types

Less than 35 years

January/1/2010

All barges

Double Hull

Less than 35 years

US Inland Barges

Tugs and Push Boats (Term Charter only)

Compliance Date

Size

Hull Type

Age

August/31/2009

All

N?A

Less than 50 years

Note: US Barges, Tugs and Push Boats exceeding the above age criteria may be used if accepted
through the use of an enhanced technical review. Such reviews will result in a maximum 5 year
extension.
Note: All tugs and push boats may be required to undergo a technical review starting at 25 years of
age and every 5 years thereafter.
3.2.1

General Barges, Tugs and Towboats (Worldwide)

The technical review for use of a barge, tug or towboat beyond the nominal age criteria falls
under the Exception request process. This requires detailed structural and technical evaluation
prior to utilization.
The list of documents to be furnished for these vessels will be provided upon request.

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Marine Vetting and Audit Criteria

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3.2.2

Issue Date:
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Revision:
5.0

Barges

Detailed history and documentation is required to review all barges beyond the nominal age
criteria.
3.2.3

Tugs and Towboats

Technical reviews of tugs and towboats that are age 25 or older have significant documentation
requirements for machinery, propulsor, steering, stability and any major upgrades or renovation
from when the vessel was delivered.
Technical reviews of tugs and towboats that are age 50 or older are reviewed with the same
documentation requirements of the 25 year old vessels plus significant documentation
requirements for hull and outfit.
3.3

Additional Vessel Criteria:

Vessels built under enhanced criteria for longer life-span and design construction will be
evaluated on a case-by-case basis.

All double hull conversions to be evaluated by ConocoPhillips technical group.

Gas tankers (LPG carriers and LNG carriers) may be accepted up to 30 years and should have
a CAP grade of 2 or better on or before the completion of the 4th Special Survey.

OBOs may be accepted up to 15 years, subject to CAP requirements. A regular pattern of

cargo changes from wet to dry are acceptable as long as the previous cargo was wet.

When ConocoPhillips is a time charterer, the vessels age is not to exceed 20 years within the Time
Charter. A COA contract is not considered as a time charter
Structural Requirements:

All ships must be enrolled in a ConocoPhillips accepted Condition Assessment Program

(CAP). A current minimum CAP 2 rating for hull is required for ship approval. Additionally,
commencing end of January 2012, for crude and product tankers a minimum CAP 2 rating will
be required for machinery and cargo systems. Accepted CAP programs are listed in Appendix
A.

A New build vessel being nominated on her maiden voyage shall be evaluated on a case by
case basis.

3.4

Manning and Certification- Ship

The ship operators must utilize the SIS3 SQ to confirm that:

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Marine Vetting and Audit Criteria

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Issue Date:
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Revision:
5.0

Officers hold a current license/certificate of rank, including STCW endorsement/certificate. If

this certificate is not issued by the vessels Flag State, then a letter of acceptance from that Flag
State, acknowledging acceptance of the endorsement, must be provided.

All officers have either Dangerous Cargo Endorsements or the satisfactory training specified in
STCW. In addition, ship operators will confirm the four Senior Officers have completed the
accepted specialized training program and hold an advanced certificate, as per STCW.

Crewmembers (ratings) have sufficient knowledge and experience to carry out their duties and
must hold relevant certificates as per STCW.

Manning and certification complies with minimum Flag State Safe Manning and Certification
requirements. However, operational circumstances may require additional manning.

All deck officers communicate effectively in English and are able to communicate effectively with
crewmembers in a common language.

Multinational crews may be considered if all are fluent in a common language.

On board training programs are conducted, with training manuals available to the crew and
inspector.

3.5

Compliance with Local and International Conventions and Regulations - Ship

Ship owner/technical manager must certify, through completion of the SQ Statement,

compliance with all Local and International Conventions and Regulations. Ships trading
internationally must have a Shipboard Oil Pollution Emergency Response Plan
(SOPEP/SMPEP). In addition, ships trading to the United States must have a Vessel Response
Process (VRP) accepted in accordance with all applicable United States laws and regulations.
The VRP and SOPEP may be incorporated into one document.

3.6

Protection and Indemnity (P&I) Club Ship

The ship shall be insured with a member of the International Team of P&I Clubs.

Clubs not included on this list may be reviewed and accepted on a case-by-case basis.

Ships shall carry P & I insurance coverage (pollution and other third part liabilities) which shall
be no less than the minimum required by the international/national authorities for the trading
areas operated, including US waters.

4.0

VESSEL ACCEPTANCE REQUIREMENTS - U.S. BARGE, TUG, TOWBOAT

Each U.S. Barge, Tug or Towboat being considered for a potential Marine Movement must meet the
following criteria:

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Have a SIRE inspection report available in the OCIMF SIRE system. The Sire Inspection to be
completed within the past 12 months; in special cases where a valid SIRE Inspection Report is
not available, the vessel may be evaluated on a case by case basis by COP Vetting.

Any double hull barge 15 years or older must have a UT report available that is not more than
10 years old. Any single hull barge 10 years or older must have a UT report available that is not
more than 5 years old.

It is the intent of the Marine Barge & Tug Vetting Process that all Time/Term Chartered Tugs
and Towboats maintain a current SIRE Inspection Report. The SIRE Inspection Report may be
considered valid for up to 12 months from the date of inspection. Non-time chartered tugs and
towboats may be vetted to verify compliance with the Marine Barge and Tug Vetting process on
a case by case basis.

All marine tank barges, tugs, and towboats must be operated under a safety and/or quality
management system structured and adhering to practices identified in Standards such as the
ISM code if applicable, or, in the USA, the AWO Responsible Carrier Program (RCP) or
similarly COP accepted program, depending on the region where the equipment is being
operated. Certifications must be valid and current at all times during the vessel usage.

Inland barges, tugs, towboats, and self propelled barges may not be required to comply with
International Conventions or be classed with a Classification Society. While an owner/operator
may adopt such options, the absence of such does not preclude ConocoPhillips entities from
utilizing such equipment.

If a barge is chartered by ConocoPhillips and participates in the TAIP program, the

owner/operator will comply with the USCG requirements associated with the Tank Barge
Alternate Inspection Protocol.

Where a barge is classed, a recent Class Survey Report may be requested by the COP Barge
Vetting Team.

5.0

ADDITIONAL CRITERIA FOR ALL VESSELS

5.1

Drug and Alcohol Policy

Ship owner/operator shall certify that it has in effect a Drug and Alcohol Policy, complying with
OCIMF Guidelines for the Control of Drugs and Alcohol Onboard Ship, unless not permitted by
the Flag State.

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5.2

Flag State

While it is recognized, that individual ships should not be overly burdened by their flag; where
casualty or detention history documented by a Port State Authority results in a targeted flag
designation by that authority, this designation will be considered in the review process.

Additionally, ConocoPhillips can exclude certain flag states, if they have been found not to
comply with ConocoPhillips associated Processes or criteria.

ConocoPhillips shall follow all US Regulations regarding trade with sanctioned countries. All vessels
owned, technically managed or commercially operated by a company headquartered in, or flying flags
of US Sanctioned countries shall be rejected.
5.3

Acceptance and Rejection on Status Changes

Vessel approval as a result of the vetting process is integral to the conclusion of any fixture and a
continuing requirement thereafter. Vessel acceptance may become invalid with any change of
ownership of the vessel, classification society, P&I Club, technical or operational management;
significant technical or procedural changes on board the vessel, or defects that would affect meeting
the designated factors.
Additionally, casualties and other incidents, port state detentions,
unsatisfactory reports from marine terminals, and any other factors judged by us to be material which
arise before or after the conclusion of a fixture, are likely to impact negatively on our ability to use the
vessel and we reserve the right to withdraw approval in all such circumstances. However, where a
vessel has changed ownership but otherwise the technical management shows a continuity including
the vessel and shore staff, the vessel can be considered for COP service.
5.4

Conditions resulting in Vessel and/or Operators Being Placed On Hold or On Notice:

Definitions:
On Notice A warning to the vessel operator/manager due to concern caused by negative
operational or HSE trends or a one-off event; this is generally used to notify the vessel operator and
assure corrective and preventative actions are taken.
Technical Hold A temporary rejection of a vessel(s) and/or technical operator for continued use of
their fleet, due to an extraordinary event or significant negative trends or cause. A technical hold is
effective until corrective actions and/or answers acceptable to COP Marine Vetting are received and
deemed satisfactory by the Vetting Director.
Examples of Technical Holds:
1.
2.

Office Audit - an unsatisfactory assessment of a ConocoPhillips office Audit

In the event a vessel nominated for ConocoPhillips service is deemed unacceptable or below
standard on more than one consecutive occasion, a ConocoPhillips SIRE inspection may be
warranted. If the results of this inspection result in no improvement to the vessels status, the
vessel may be placed on hold and will require a ConocoPhillips re-inspection.

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3.

Issue Date:
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Revision:
5.0

However, the vessel may not be eligible for re-inspection until after 3 months from the date of
original inspection. This period of time is necessary in order to allow the vessel operator and
staff sufficient time to develop, implement and verify the effectiveness of corrective actions
taken.
A vessel previously accepted for ConocoPhillips service will be placed on Technical Hold in the
event the vessel becomes Unseaworthy prior to the commencement of service. The vessel will
remain on hold until a satisfactory class report, causal analysis and corrective actions/lessons
learned are received by COP and deemed satisfactory.

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APPENDICIES
Appendix A Requirements for Condition Assessment Program (CAP)
Vessels which are >3000 dwt require a valid Condition Assessment Program (CAP). A valid CAP is
defined as:

Approved by ConocoPhillipss Vetting Team, and

Conducted by an acceptable Classification Society, and

Have a rating as Minor defects (or equivalent) or better, and

Less than 3 years old (from first survey or per the validity date)

The Acceptable Classification Societies for CAP certification are:

American Bureau of Shipping, USA (ABS)

Det Norske Veritas, Norway (DNV)

Lloyds Register of Shipping, UK (LR)

Bureau Veritas, France (BV)

Germanisher Lloyd, Germany (GL)

Nippon Kaiji Kyokai, Japan (NK)

Korean Register (KR)

Additionally, a one time acceptance of another Class Society may be accepted by the Director of
Vetting on a case-by-case basis.
Vessels subject to the Additional Age Criteria <3000 dwt require a valid Small Ship CAP or
Condition Survey (CS).
A valid Condition Survey (CS) is defined as:

Approved by ConocoPhillipss Vetting Team, and

Conducted by an acceptable Classification Society, and

Have a rating as Good (or equivalent) or better, and

Less than 3 years old (from first survey or per the validity date).

If the inspection reveals major deficiencies, or the general condition of the vessel is below
ConocoPhillips standard, a valid Condition Assessment Program (CAP) will be required.

Acceptable Classification Societies for a valid Condition Survey (CS) are:

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Det Norske Veritas (DNV)

Lloyds Register of Shipping, UK (LR)

Bureau Veritas, France (BV)

American Bureau of Shipping, USA (ABS)

Issue Date:
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Revision:
5.0

For vessels subject to the Additional Age Criteria which are <500 dwt, a valid Extended Inspection
(EI) can be accepted to replace a valid Condition Survey (CS).
A valid Extended Inspection (EI) is defined as:

Accepted by ConocoPhillipss Ship Vetting Team, and

Less than 1 year old

If the inspection reveals major deficiencies, or the general condition of the vessel is below
ConocoPhillips standard, a valid Condition Survey (CS) will be required.

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Appendix B Acceptable Classification Societies

ConocoPhillips requires that an acceptable classification society is member or associate of the
International Association of Classification Societies (IACS).
The following classification societies are acceptable to ConocoPhillips:

American Bureau of Shipping, USA (ABS)

Det Norske Veritas (DNV)

Lloyds Register of Shipping, UK (LR)

Bureau Veritas, France (BV)

Germanischer Lloyd, Germany (GL)

Nippon Kaiji Kyokai, Japan (NK)

Registro Italiano Navale, Italy (RINA)

Korean Register of Shipping, Korea (KR)

China Classification Society, M-L China (CCS)

Russian Maritime Register of Shipping, Russia (RS)

Indian register of Shipping, India (IRS)

ConocoPhillips may accept that smaller vessels are classed by national /maritime authorities/ flag
states.

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Appendix C Contact Information

For ship vetting information, contact:

vetting@conocophillips.com

For barge vetting information, contact:

Bargevetting@conocophillips.com

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