The value of a centimetre: improving shipping efficiencies through underkeel clearance management technology

Arrium Ltd is an international diversified mining and minerals company, with Arrium Mining being the company’s iron ore export business. The recent decline in iron ore prices has forced many miners to reduce costs across their entire logistic chains in order to survive. This paper presents the case study of the adoption of Dynamic Underkeel Clearance (DUKC®) for use in reducing freight costs through maximisation of vessel draughts. This is the first ever application of dynamic under keel clearance management technology to a transhipment operation. The implementation of DUKC® has enabled Arrium to achieve new records for single vessel tonnages, and draughts. These improved efficiencies in the shipping operations have resulted in considerable freight savings and increased revenues.

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