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Caution necessary when loading Nickel Ore in the Philippines in Marine Insurance P&I Club News 30/01/2026 Gard once again alerts Members and clients to the significant risks involved in the carriage of nickel ore, particularly loaded from the Philippines. The recent tragic loss of life of crew on a bulk carrier off the Philippines has renewed concerns regarding the safety of nickel ore originating from the region. While the cause of the loss has not yet been confirmed, the ship was carrying nickel ore when she capsized and sank. Liquefaction of mineral ores, resulting in cargo shift and loss of stability, has been a major cause of marine casualties for many decades as highlighted in Intercargo’s ‘Bulk Carrier Casualty Report 2015-2024’. In particular, the loading and carriage of nickel ore from the Philippines have remained a long-standing concern. We continue to encounter instances where cargo is loaded in a dangerously wet state, a problem driven by systemic misdeclaration and unreliable moisture management by shippers. While Intercargo’s report notes that the last major casualty with loss of life from cargo liquefaction occurred in 2019 the recent tragedy off the Philippines serves as a stark reminder that this remains a critical safety threat to crew and bulk vessels carrying Group A cargoes globally. Overview of nickel ore shipments from Philippines Our correspondent, Pandiman, has prepared a useful report on the shipment of nickel ore from the Philippines. The key points they highlight are as follows: Mining areas: There are 14 nickel ore mining areas across the Philippines, as shown in the image. The bulk carrier that sank recently, had loaded Nickel Ore in Gutalac Zamboanga. Surigao and the surrounding islands remain the most active loading regions. It is worth highlighting that several laden vessels have previously run aground in Dinagat Sound. Unreliable certification: There are documented concerns as to the veracity of the loading certificates being provided by the local mines in-house laboratories. This has been based on comparison analysis of cargo undertaken at independent laboratories by shipowners. The analysis undertaken for the determination of the moisture content and Flow Moisture Point (FMP) by mining company’s own labs may not follow the IMSBC Code requirements. Infrastructure shortcomings: Mines commonly stockpile nickel ore in open, exposed areas on or near the foreshore. There are no dedicated jetties or port facilities at these locations. Loading is conducted offshore at anchor using barges, which may be uncovered. The ore is unprocessed, sourced from open‑cast operations, and remains exposed to the elements throughout handling. Weather challenges: Climate patterns have changed significantly over the past 30 years, with the once clear distinction between the dry and wet seasons now blurred. Frequent rainfall results in inherently wet cargo due to prolonged exposure of stockpiles to the elements. Obstruction of Verification: Shippers and mines often restrict access to their sites and laboratories, limiting opportunities for independent verification. Local mines frequently decline joint surveys by independent experts representing shipowners. In some cases, vessels have withdrawn and sailed without loading due to the inability to scientifically confirm the cargo’s safety for carriage under the IMSBC Code. Case study: Liquefaction of cargo loaded in Surigao Last year, Gard handled a case involving a charterer clien
Caution necessary when loading Nickel Ore in the Philippines
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