Aquametro Oil & Marine AG (AOM) is taking a hands-on approach to expand in the Middle East market, as a new local office is preparing to open in Dubai, UAE.
CEO Axel Schulz and International Sales Manager Thomson John shared their prospects of this market and the significance of AOM’s new image in the busiest maritime hub in the Middle East. Robban Assafina’s team was able to gather some of the company’s latest views and ideas of this new upcoming phase, during Seatrade Maritime Logistics Middle East 2023.
Tell us about Aquametro’s newest approach in the Middle East region.
Schulz: We have started our foundation in Dubai in DMCC, and things seem to be settling soon. It took longer than expected since Aquametro Oil & Marine is a family business, and the Middle East is not deeply familiar with the system or approach of such companies. This kind of business is very well known across Europe but maybe not in the Middle East. However, we are on the right track, and the new company in Dubai will be launched as “Aquametro Oil & Marine Middle East”. We are in the stage of finalizing all the matters in that aspect, and Mr. Thomson John will lead the company here in Dubai as General Manager.
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What are the expectations of this new expansion?
Schulz: Aquametro Oil & Marine is very well known in the market, with a wide presence in Europe and Asia, as well as the Middle East and India, but we need to have more hands on and get up to our clients’ expectations. The market is also increasing, a lot of capital has come in, oil and gas trades have changed, we have a lot of business here in the Middle East especially in Dubai. We need to have a direct point of contact that ensures prompt and immediate responsiveness and a team that clients can reach out to at any time.
According to your experience, what is main feedback that you are trying to convey in this exhibition?
John: These exhibitions are highly important as we convey our image and communicate with clients, making sure that Aquametro is always here, since it’s important to meet clients, signify our position in the market; that’s why such platforms are always the right way to network. And this can facilitate our approach in dealing with the challenges that the region is facing; fuel efficiency and managing the vessel. So, with communication, we are offering our solutions to help clients provide better performance.
Schulz: Trust is the building block of any business, and to build trust, you need direct contact, face to face meetings and complete understanding of the challenges that the other side is facing, and finally which solution can you provide to help. For Aquametro, communicating with clients is easy, and it helps a lot that Thomson speaks different languages and so he can reach people with the company’s local presence here. It is very important to have local people who understand the market and its demands. People are open and interested in new solutions. Furthermore, there is a great demand especially for the solutions that AOM can provide.
Through its products, mainly the Homogenizer, Aquametro Oil & Marine is keen to help ensure fuel stability and reduce incompatibility. How is your approach making ground?
Schulz: The Homogenizer can be applied in the marine and shipping market but also onshore, since there’re lot of onshore applications in this region where fuel might certainly get unstable. Big tank storages can use this homogenizer, circulate the fuel to make it harmonized and stable; and we have a lot of these situations in the region as the fuel or fuel blend quality is getting more complicated.
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What is next for Aquametro?
Schulz: Aquametro’s next plan is the “Shaft Power Meter” and the “Shaft Power Limitation” which help in fulfilling the new regulations, acting as the key component for measuring ship performance and fuel/propulsion efficiency.
In Europe, this is a big business, but many clients worldwide have started to think about these solutions and over a time of 5 years, each seagoing vessel needs to install them onboard. We are recognizing a great demand for this technology and have a good position in the market which is contributing greatly to the role of our company.
As for AOM, we had an excellent last year, the demand for our products and solutions was very high and currently our order books are well filled. I believe we will also check new products internally and if there is a chance for some good acquisitions, we might go for that. At least AOM has a stable financial foundation for this, and we are on the lookout of what the market can provide.
How do you see IMO’s role in facilitating companies and shipowners’ compliance?
Schulz: IMO has given certain targets to be accomplished in 2035 and 2050, but on the other side we have to take into consideration the split situation in the shipping market, which is the infrastructure for the alternative fuel, as shipowners are testing all kinds of fuels. Unfortunately, there’s very little support from the IMO, to make these regulations manageable for everyone in the market. There is some friction in that matter between shipowners and the IMO. I think these regulations should be functional worldwide, many regions still don’t have any alternative fuel available, or an infrastructure supporting these fuels. Looking at it in the 20 coming years, this will be a difficult task and will need support in infrastructure and financing.
As for shipowners, they are ordering vessels with dual fuel systems to be prepared for the future, since the vessel built today has a regularly lifetime of approx. 30 years plus, but we don’t know what fuel will be available on the market till that time. So, it’s difficult to choose the appropriate way to look for the best alternative. The guidance from IMO is weak, they just say “have it carbon free”. Shipowners need to have step by step guidance and be secured to invest successfully in the future.
Robban Assafina Magazine, Isue 84, May/ June 2023, Maritime Host, pg. 91
