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NETHERLANDS MARITIME INSTITUTE OF TECHNOLOGY

DIPLOMA OF MARITIME TRANSPORTATION MANAGEMENT

INDUSTRIAL TRAINING PROJECT REPORT

Continental Platform (M) SDN BHD

K-02-05, Kuchai Business Park, No.2, Jalan 1/127, Off Jalan Kuchai Lama, 58200
Kuala Lumpur.
-Kuala Lumpur Base-

Prepared by:

NAME : FATIN NUR ATHIRAH BINTI SUKUR

STUDENT ID : 1140901223

PROGRAM : MARITIME TRANSPORTATION MANAGEMENT

TRAINING DURATION : 3 MONTHS

NAME OF INTERNAL SUPERVISOR : DR MANSOR BIN ABDUL RAHMAN


DECLARATION OF ORIGINAL WORK

DIPLOMA IN MARITIME TRANSPORTATION MANAGEMENT/DIPLOMA IN


SHIPPING MANAGEMENT
NETHERLANDS MARITIME INSTITUTE OF TECHNOLOGY

"DECLARATION OF ORIGINAL WORK"

I, Fatin Nur Athirah Binti Sukur, (I/C Number: 931026-11-5558)

Hereby, declare that:

This work has not previously been accepted in substance for any diploma, locally or
overseas, or any other diploma.

This project-paper is the result of my independent work and investigation, except


where otherwise stated.

All verbatim extracts have been distinguished by quotation marks and sources of my
information have been specifically acknowledged.

Signature: _________________________ Date:______________________

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ABSTRACT

This Industrial Training Report is to introduce or clarify the organization of which has

involved or become the platform for the industrial training carried out as well as the

base which gives the overall training to the student. This includes the organizations

main activity and nature of business as well as its structure. The organization expertise

in the oil and gas industry, which stands as one of the well-known company which

serves as the oilfield service provider. The structure of whole organization, including

the departmental aspects as well as the segments involved in the business production.

More information and details regarding to the organization are provided within this

report accordingly.

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ACKNOWLEDGMENT

First of all, I would thank to my college Netherlands Maritime Institute of

Technology (NMIT), for providing me the opportunity to undergo the internship

program in the last semester of my Diploma in Maritime Transportation

Management. I would also like to thank my lecturers and internal supervisor for

assisting me in every stage in my industrial training, from seeking for an internship

placement and completing the industrial training report.

Next, I would like to thank Continental Platform (M) Sdn Bhd, for giving me an

opportunity to carry out my industrial training in Continental Platform. In addition, I

would like to thank my supervisor, Mr Kamal Syafiq and the colleagues for giving me

the opportunities to experience and handle different kinds of tasks which are related

which the subjects I had learnt in NMIT.

Last but not least, I would like to take the opportunity to thank all the

colleagues in Continental Platform (M) Sdn Bhd, for the patience in teaching me the

daily operation of commercial in the shipping industry.

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TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION .................................................................................. 6


1.1 INTRODUCTION OF PROJECT (TASK/ASSIGNMENT) ................................. 6
CHAPTER 2: REPORT OF TASK ASSIGNED ........................................................ 15
2.1 INTRODUCTION ............................................................................................ 15
2.2 PROJECT DESCRIPTION.............................................................................. 16
2.3 ROLES/RESPONSIBILITIES .......................................................................... 16
2.4 CONCLUSION ................................................................................................ 23
CHAPTER 3: CONCLUSION ................................................................................... 24
3.1 INTRODUCTION ............................................................................................ 24
3.2 LESSON LEARNED SKILLS DEVELOPED (TECHNICAL,
COMMUNICATION, HUMAN, AND ETC.) ............................................................ 25
3.3 KNOWLEDGE GAINED .................................................................................. 26
3.4 LIMITATIONS AND RECOMMENDATIONS................................................... 27
REFERENCES ......................................................................................................... 28
APPENDICES .......................................................................................................... 29

LIST OF FIGURES
FIGURE 1.. 10
FIGURE 2.. 11
FIGURE 3.. 12
FIGURE 4.. 12
FIGURE 5.. 13
FIGURE 6.. 14
FIGURE 7.. 18
FIGURE 8.. 29
FIGURE 9.. 29
FIGURE 10 30
FIGURE 11 31

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CHAPTER 1: INTRODUCTION
1.1 INTRODUCTION OF PROJECT (TASK/ASSIGNMENT)
Along with the company as a broker, the overall tasks and projects are

based on the shipping operations which consists of 5 stages. As to meet a

standard as dependable and steadfast participant in the Petroleum industry,

supporting long terms customers and supplies through mutual understanding

and benefits.

The shipping operation teams are responsible for the chartering services

which the teams need to prepared all documents such as Domestic Shipping

Licences (DSL), demurrage claims and negotiate for the pricing methods.

Since the operation related to the shipping industry that used vessel for

their operations, the topic maximizing the vessel performances is very

suitable to make sure they enhance the performance of the vessels.

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DAILY TASKS

Before I started doing the daily tasks, the most important things is I need to

learn the five stages of shipping operations. Where I need to study the shipping

operations routines theoretically.

The five stages of shipping operations that I learned were:

Stage 1: negotiation/planning

The broker will find a vessel and negotiate with the owner. Shell scheduler will

give out the cargoes to the company for the whole month first, but they do not have

the vessel to perform it yet. So it is the company job to get them vessel to carry their

cargo. The company will propose the cargo-by-cargo to the owner, propose vessel to

shell/ charterer. The owner will reply and send the stowage plan and Q88 to the

charterer to let them know that the vessel able to carry the cargo.

Stage 2: cargo nomination/ fixture note

Usually the company will receive cargo nomination from the charterer and will

receive the cargo nomination after the negotiation is done. After receiving the cargo

nomination, the company will forward it to the owner and pass to the master. So that

the master can proceed the voyage with the instruction provided and then the master

must give the ETA notice to the relevant people. Fixture note is a contract between

broker, owner, and charterer. The fixture note is signed by both parties is essentially

a simple chartering contract performed by both parties. The company needs to issue

the fixture note on the date received the cargo nomination.

Stage 3: load port operations

Then, the broker, owner and charterer must know the berthing prospect before

reaches the terminal. It is a scheduled to know the number of the vessel berth. Then

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the NOR (Notice of readiness) must be tendered within the laycan to avoid the risk of

cancellation of the shipment. If it is too early, she will probably have to wait. And the

company needs to monitor the loading operations thoroughly. After the cargo

discharged, the master and agent will submit the cargo documentation to all ETA

notifying parties.

After receiving the loading cargo document, the company will issue the full time

log together with the cargo documents to be sent to the charterer for the custom

clearance purpose at discharge port. After loading is done, LOI (letter of indemnity)

will be prepared and sent to the charterer to invoke it and forward it to the owner. LOI

is a letter for charterers to invoke that the vessel need to discharge the cargo at

discharge port. This indemnity got a secure which the charterer need to secure the

vessel to discharge according to the description of the bill of lading. LOI is needed for

discharge without the presentation of original bill of lading on board. Finally, the

company can issue freight invoice to the charterer once they received the bill of lading

after the loading operation is done.

Stage 4: at discharge port

ETA must be served to the relevant people at discharge port as listed in cargo

nomination. Broker, owner, charterer must know the berthing prospect before reaches

the terminal. NOR is tender for discharge operations. And the company must monitor

the operation thoroughly. A master and an agent will submit the discharge cargo

documents. Full time log will be prepared by the broker to the owner and need to pay

once hose disconnected at discharge port.

Stage 5: Demurrage

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Demurrage can be done after the shipment completed discharge. It can be

referred from the itinerary that have been updated day by day. After know which

shipment or voyage number is completed discharging, we can proceed to print out all

cargo documents which is load port documents and discharge port documents then

prepared the calculation.

After done the calculation with all documents, we need to get owner revert with

confirmation or calculation whether there are NIL demurrage or demurrage incurred.

If there are NIL demurrage, the person in charge according to demurrage who

is Janny will send NIL demurrage notice by email (for non STSB and SMT) or submit

as NIL in i-demurrage system for STSB and SMT within 30 days from date of

completed discharging. After that, the file closed.

If there is demurrage incurred, Janny will reconcile the calculation with owners

calculation. If there is any error, Janny will request owner to revise the calculation

before submitting to charterer (in order to expedite claim process). Then, Janny will

send demurrage notice to charterer by email (for non STSB and SMT) within 30 days

from date of completed discharging.

Last but not least, Janny will submit demurrage claim with full documents in i-

demurrage system or by email if SRC and Shell cargo within 60 days from date of

completed discharging.

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Update itinerary of the vessel

Itinerary of the vessel must be updated every day which the information of the

vessel can be find at the email. The itinerary must be updated since the Shell parties

request for some vessels itinerary for the vessel related that carry their cargo. So that,

by the itinerary they will know current location of the vessel and also estimated time

the vessel to arrive, berth and departure.

An email is a medium for the all parties to get information fast, accurate and

communicate with each other to get some information. But, before I can reach the

information, the laptop or pc need to be installed with this outlook by the person in

charge.

After done installed, then I can start digging for the information to update the

itinerary.

Figure 1
The image of the outlook

I just need to search the name of the vessel and her voyage number and then

the list of the vessel will come out. Just need to filter the information and make sure it

is the information needed.

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After that, I can proceed to update the itinerary by using the Microsoft excel. I

just need to fill the time that is stated at the email.

That is not as easy as ABC where I need to understand the status required to

fill at the load port and discharge port. For example, move load port means that the

vessel is moving to the load port and await berth means that the vessel is berthing. At

first I always makes mistake where I always stated the wrong status just because I do

not really understand the meaning of the status first. But practice makes perfect when

I am able to the daily itinerary perfectly without any mistakes.

Figure 2
Daily itinerary using Microsoft Excel

After done updating the itinerary, I need to give to Atta who is Operation

Assistant that always send the itinerary at the email to the related parties. After the

daily itinerary send, the picture can be seen like this:

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Figure 3
Daily itinerary send in the email

After sending the daily itinerary through email, it will be print out and given to all the

colleagues as a references.

Track the Vessel Current Location

Since I already master with the itinerary, I have given a task to update the track

of the vessel. I need to update daily with the summary of the vessel tracking and

submitted to the same person on 11 am, Operation Assistant as he need to give it to

the boss.

Figure 4
Vessel Tracker in Microsoft Excel

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The word marking with red colour means there is no updated of the vessels and

maybe updated from the site but still it is not the latest so still it will consider as no

update.

From this vessel tracking, I can know whether this foreign vessel enter the

Malaysian water or not. Since the vessels are foreign vessel, they are not allowed to

enter the Malaysian vessel without permissions.

I get the information of the vessels by searching at the search engine and make
sure that I have enter the correct name of the vessels. And the information will appear
like this and I just fill the information in excel.

Figure 5
Information get by using search engine

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Demurrage

Since I have learned demurrage theoretically, it is easy to apply the work in real

life where I already the work flow of the demurrage.

After shipment complete discharge, I will proceed to the calculation of the

demurrage whether there is nil demurrage or demurrage incurred. Then, I will submit

in idemurrage whether it is nil or demurrage incurred. If it is nil demurrage, the process

is quite simple which I just need to submit in idemmurage and update in the work card.

Work card need to be updated for the references of the company and no need to be

submit to another parties.

Figure 6
Idemurrage website

The idemmurage id and password will be key in by Janny, the senior claim and

demurrage executives. After that, I can start key in the details of the voyage and submit

whether it is nil or demurrage incurred.

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CHAPTER 2: REPORT OF TASK ASSIGNED
2.1 INTRODUCTION
Report of Task Assigned is a compulsory to be accomplished in order to

complete the Internship Programme for Diploma in Maritime Transportation

Management in Netherlands Maritime Institute of Technology. The tittle of the

report was given either by Internal Supervisor or External Supervisor.

The purpose of this report is to evaluate the skill has been developed

during internship. There is a section in this report where the students will explain

the lesson learned in terms of their technical, communication, human, image

building and et cetera.

Apart of that, by complete this report, students will be more

understanding about the work flow, advantage, disadvantage of the company

of their placement. By doing this report, students will come out with some

recommendations for better improvement either for students itself and the

company of Internship Programme.

My reports tittle was given by my External Supervisor, Mr Kamal. He

asks me to do the how to maximizing the vessel performance since our

business is relating to shipping business.

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2.2 PROJECT DESCRIPTION
For three months doing my internship in Conti, I was placed in chartering

under commercial department with guidance by Assistant Chartering Manager,

Senior Demurrage and Claim Executive, and Operation Assistant. I was guided

to do the shipping operations for the department. This activity is to support the

commercial team by improving their performances and also the vessel

performances.

The purpose of this project is to analyse and maintain the performance

of the vessels and make sure that the vessels able to perform well and the

operations also will going smoothly without any problem occur.

2.3 ROLES/RESPONSIBILITIES
Make a research to maximize the vessel performances

Improving total ship efficiency reduces lifecycle costs and emissions. By

the combining knowledge and technology of automation, propulsion and

control of them can with an optimised ship design into a single integrated

solution, a truly efficient ship operation can be achieved. From a long

term perspective, the potential for improving has been estimated to be

30%-50%. This will achieved by optimising component performance,

ship design, waste heat recovery and the recovery of other losses,

weather and voyage routing and by taking advantage of potential new

technologies.

2.3.1 Engine Efficiency Improvements

The efficiency of diesel and gas engines ranges between 42-52%,

depending on the type engine. The peaking efficiency of 52% for the best

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engines is one of the highest efficiency ratings among existing prime

movers. The improvement in efficiency is becoming more challenging as

the emission requirements are getting increasingly stringent.

One key success in this field has been development of integrated

engine functionalities that enable low emissions and high engine

efficiency. The air and fuel admissions are controlled by an automated

system that provides optimal combustion under all operative conditions.

The research and development of two-stage turbocharging is another

important part of aiming to achieve the goals in environmentally sound

solutions of engine fuel efficiency development.

However, improving the efficiency of a single component does not

necessarily guarantee the best overall outcome. In marine, more can be

achieved through comprehensive ship design, system integration and

machinery optimisation. Similarly, in power plant applications, by

combining various technologies an overall efficiency rating of 90% is

possible.

2.3.2 Propeller Efficiency Upgrades

The propellers efficiency, amongst other parameters, is an

important consideration for achieving economic sailing.

Fouling, surface roughening and leading edge damage to the

propeller, when in service, can result in efficiency losses of 3-7%. Also,

by replacing outdated existing propeller with new ones designed based

on the latest knowledge, propeller designs and operating profile of the

vessel, significant savings with short payback periods can be achieved.

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For ships like oil tankers and container vessels with annual fuel

costs exceeding USD 5 million, propulsion degradation can easily cost

several hundred thousands of dollar per years.

The results of ongoing projects investigating the efficiency loss of

propellers in service will improve the performance based maintenance

of a ships propeller and will thus increase the vessel overall efficiency

throughout its lifecycle. Special attention is paid to the propeller-ship

design integration, aiming at the optimization of the overall efficiency

under real operational conditions.

Figure 7
Propeller with four blades

2.3.3 Ship Machinery and Equipment Maintenance

Ship machinery maintenance is of predominant importance of

accurate operation of ship. For this purpose, the ships machinery plant

should be kept well maintained and clean at all times for assuring safe

and smooth operation and functionality of the ship.

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Furthermore, it is most significant that ample new spare parts

and equipment are carried on board in order to correctly accomplish

maintenance in due time under the supervision of fully competent staff

according to the manufacturers instructions. Fuel oil and lube oil must

be analysed in order to ensure that they do not contain any debris and

contamination. Main as well as auxiliary engines result in a breakdown

that cause severe damage like fire that may require the ship from

terminating its service until lengthy and costly repairs and maintenance

measures are accomplished.

For proper machinery maintenance and loss prevention,

following measures must be undertaken:

1) Lubricating oil

Lubricating or lube oil sampling should be maintained at

frequent levels and regularly recorded as a recommended practice.

Also, lube oil purifiers must be operated continuously and adequately.

The gravity disc should be chosen so as to achieve the desired oil

water interface at a maximum level of temperature nearing 90 degree

celcius according to the specifications.

Furthermore, the lube oil feed system applied to the purifiers

must be evaluated for ensuring the optimum flow rate between the

feed pump and the purifiers capacity. Old lube oil feed system designs

utilize a direct drive pump that bears a large capacity as against the

recommended flow through the purifiers.

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2) Crankshaft safety

The engine should be stopped as soon as the oil mist detector

alarm rings or overheating of engine is detected. To avoid further

damage, the main cause overheating of engine must be identified and

correction measures must be taken before the engine is restarted. The

lube oil must be kept clean as far as possible by continuously by using

the lube oil purifiers at the recommended temperature over 90 degree

Celsius. Also, lube oil filters must be maintained and placed in clean

and suitable environment by frequent routines. Crankshaft deflections

should be regularly taken in order to ensure that the operation of the

engine is within the limit as permitted by the manufacturer.

3) Bunkers

Bunkering processes that includes fuel-testing procedures must

be carefully reviewed for ensuring accuracy in procedures while

dealing with off-specification bunkers. Each precaution must take to

make sure that adequate amount of bunker supplies are made

available in order to allow proper testing before any new bunkers are

used. Furthermore, water, high ash, and total sediment potential

content also must be considered as well as high sodium and water

contain that indicates the presence of seawater within the bunkers.

At sea, loss of structural integrity due to grounding and collision

are the most significant contributors to accidental pollution. Hulls must

be designed by considering two most important factors:

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I. Improvement in the hull strength as well as energy

absorption.

II. Sufficient residual strength subsequent to damage for

allowing salvage operations.

2.3.4 Hull Coatings

The hull of the ship is a key piece of the ship efficiency puzzle.

The physical ability of the ship is cut through waves in a streamlined

manner is of paramount importance to fuel economy.

Therefore, improving hull performance plays an importance role

because a smooth hull is an optimally hydrodynamic hull.

The key factors that affect hull performance are the shape of the

hull, the condition of the hull itself, the coating used on the hull and the

nature and extent of fouling the hull.

By improving hull and propeller performances, the world fleet can

reduce fuel costs by as much US$30 billion per year and achieve an

estimated 0.3% reduction in manmade GHG emissions. The main barrier

to realising this potential has been a lack of an accurate and reliable

method for measuring hull and propeller performance over time.

The performance of a ships underwater hull deteriorates over a

dry docking interval (the interval between two dry docking). This

deterioration is mainly caused by biological fouling and by mechanical

damage to hull and propellers. The aforementioned damage and bio-

fouling build up on the hull is also known collectively as hull roughness.

Understanding hull roughness is an important factor in

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understanding ship, and therefore hull performance. Any increase in hull

roughness will increase the hull frictional resistance which will either

require additional power and fuel to maintain vessel speed or, if

maintaining constant power, will result in speed loss and longer voyage

times.

There has been a great deal of attention amongst ship hull paint

manufacturers on the subject of fully transparent measurements of hull

and propeller performances.

Broadly speaking, three different methods can be deployed to

confirm the effectiveness of hull coatings at preventing marine fouling:

2.3.4.1 Comparing two different coatings against each other, on

different vessels of a similar type, over the same period of time.

2.3.4.2 Comparing two different coatings against each other, on

the same level, in two different service intervals such as before

and after dry docking.

2.3.4.3 Comparing one coating against baseline ship

performance, over a period of time.

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2.4 CONCLUSION
Continental Platform (Conti) has been established to provide high

quality ship brokering and chartering services. In order to have efficient

management, Conti have several division under commercial department

which is chartering, hydrocarbon and retail station.

Since I was intended under operation teams which is one of the job is

to discuss, monitor the pricing, operation and HSSE concept, I was asked by

my external supervisor to do how to maximizing vessel performances.

Based on the factor that can be taken to maximize vessel

performances, it helps the operation teams to maintain the vessel

performances without any problem incurred that will caused delays and extra

charges because of the delays.

All parties need to know how to maximize vessel performance since

sea transport is very crucial where they need to maintain according to the

required and manage the vessel properly. It is important to avoid any

damages and problem in future.

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CHAPTER 3: CONCLUSION
3.1 INTRODUCTION
Continental Platform Sdn Bhd (Conti) is a premier provider of Continental

Platform which focused on provides high quality of ship brokering and

chartering services that meets the requirements of the clients who competitive

shipping and offshore industries.

Conti is led and managed by a team of highly capable individuals with

vast experience in the commercial and technical aspects of shipboard and fleet

management.

Conti key team members consist of Chief Engineers and Master

Mariners, who not only have extensive knowledge in the technical and

operational management of a wide range of vessels and offshore crafts.

Conti main department is commercial department consist of several

division which is chartering, hydrocarbon and retail station. This division is

related to each other which chartering is more focused on the ship brokering

and chartering services related to the oil and gas and the negotiation will be

done by the operations team based in KL. And hydrocarbon is also the

operation team which also the third party between supplier and clients such as

Shell, Petron and Chevron. The hydrocarbon team responsible for the handling,

ordering, receiving and buying the hydrocarbon.

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3.2 LESSON LEARNED SKILLS DEVELOPED (TECHNICAL,
COMMUNICATION, HUMAN, AND ETC.)
During my placement in Conti for three months in Operation Teams

under commercial department, I have improved my skill on real working

environment.

Technically, internship programmed helped to improve my

management in time, improvise discipline and attitudes. This is because the

environment of the real work forces me to always focus on the vessels

schedule where I need to be alert to make sure that we do not exceed the

time barred which is demurrage need to claim within 30 days of the vessel to

complete discharge. This environment needs high disciplines in managing

time and better attitudes in handling the work pressure.

In terms of communication skills, the dealing process not only

Operation Team but also all departments in Conti shall able to have

communication skills between co-workers and ship owners and all parties.

This is to build good relationship between Conti and ship owners so that the

process of business can be done smoothly.

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3.3 KNOWLEDGE GAINED
While accomplish my Internship Programme, I have been exposed to do

the operation daily activities. To provide the payment of the demurrage and

freight is not simple as it looks.

To issue broker commission, we will send an invoice for the payment

purpose and ask for the payment advice and payment value date that they will

pay for us. The Purchase Order (PO) is issue if the broker want to pay for the

agents. For example, total freight charges is USD 120,000.00 and we will issue

the Sale Order (SO) to make a claim as a broker. For example, we as broker

and the charterer is Shell and the owner is Hong Lam. So we will pay the total

of freight to Hong Lam and for the broker commission will be deducted from the

freight. And lastly, the accountant will revert tax invoice.

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3.4 LIMITATIONS AND RECOMMENDATIONS
Based on my experience on Internship Continental Platform (Conti),

there is only two matters need to improve by Conti for Internship Programme.

Firstly, there is an issue where female students not allowed

experiencing site work. I also admit the site works more challenging and need

to prepare in terms of physically. But, in my opinion, Internship Programme is

suitable place and time for students to experience real time works although

there is impossible for company to give real works and responsibilities for

trainee to handle the job scope in order to avoid any mistakes that may lead

to the losses.

In Amity Platform, the site work can be experience under Continental

Platform Sdn Bhd where the trainee is send to Tanjung Langsat Port in Johor

Bharu and site visit and vessel visit under Ship Management in MarOff.

Usually the male trainee was send to the port for 3 months. But, in my opinion,

for the female trainee is more than enough for them to experience such

knowledge at least for a week. Give them a try and evaluate their work done

for better improvement.

Second, there are many departments in Amity Platform divided

according three associates marine company which are Marine & Offshore

Solution Sdn Bhd (MarOff), Energy Platform Sdn Bhd and Continental

Platform (M) Sdn Bhd. The company can rotate the department each months

during their Internship Programme.

Here also my recommendation for Netherlands Maritime Institute of

Technology (NMIT) which NMIT shall also take the opportunity to link up with

the industries while the students undergone training so that they will also get

the new insight on today industries.


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REFERENCES

1) Improving efficiency. (n.d.). Retrieved December 18, 2016, from


http://www.wartsila.com/sustainability/environmental-responsibility/products-and-
environmental-aspects/improving-efficiency

2) The top 4 levers for improving vessel performance. (n.d.). Retrieved December 18, 2016,
from http://blogs.dnvgl.com/performance/the-top-4-levers-for-improving-vessel-performance/

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APPENDICES

Figure 8
MT Erowati

Figure 9
Calculation demurrage done by Microsoft Excel

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Figure 10
MT Aquabelle one of the CVC vessel.

Figure 11
MT precedence the spot vessel.

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