Vakarų ekspresas: What is Being Restored in the Quay Port?

15/09/2016

TEMPORARY. During the implementation of works on the port's territory, builders had to drive in a temporary supporting sheet-pile wall. Photo by Eimantas Hahlovas

There are a lot of different construction works being executed in the Port of Klaipeda by the Latvian Company Latvijas Tilti, which started working there 7 years ago. How does it manage to win tenders? Why it does not continue the second stage of reconstruction of Bega's two quays and ir reconstructing a different quay used by that company?

Currently, Latvijas Tilti is working in the Port of Klaipeda at three objects in addition to the recently finished overpass that connects the territory rented by the stevedoring company AB Klaipėdos Smeltė with the former territory of the company Progresas.

Currently, the quay No. 66, which is used by the marine cargo company Bega, is being reconstructed, as well as quays No. 101-104, which are used by UAB Birių krovinių terminalas (BKT). Furthermore, Latvijas Tilti has won the tender and is preparing to begin the construction of a protective underwater wall that will strengthen the shore of the Curonian Lagoon. It is the so-called 145 quay. The last works, the cost of which is around 14 million euros, must be finished in March 2018. According to the builders of the Latvian company, this work is more interesting than others are, because the underwater wall with a length of around 1.1 km was never before built in the Port of Klaipeda.

Boulders Complicate Works

On the quay No. 66 located to the right of the pier, with a length of about 93 meters and a width of 45 meters, works were commenced in the March of this year, when materials, i.e., sheet piles and pipe piles manufactured in Luxembourg, were delivered. It is one of the quays in the Port of Klaipeda that are left in a worse condition. The depth beside it currently is 6 meters in some places, and even zero at other locations.

ANOTHER. Another Latvian company, BMGS, is executing the second-stage reconstruction works of quays No. 67- 68. Photo by Eimantas Hahlovas.

Over 2 thousand tons of metal products have been driven in the ground on this quay. Not only sheet piles, but also pipe piles are being driven, and 1-meter thick reinforced concrete slabs will be laid as well, in order to reduce the load on the quay. The works, which will cost about 3.4 million euros, are planned to be finished later this year and delivered - at the beginning of the next year's January. Another contractor that won a different tender will perform dredging works at the quay up to 14.5 meters.

The Klaipeda branch of Latvijas Tilti is being led by Mindaugas Kelpsa (Mindaugas Kelpša), occupying this position for 5 years. He graduated from Vilnius Gediminas Technical University. He began his carrier in the port as the headman of the now liquidated UAB Klaipėdos hidrotechnika, and has been working in the Lithuanian port for 18 years.

According to him, the biggest surprise when performing works on the quay No. 66 are boulders that are found deep underwater, and which have made the situation much more difficult; this is because some of the pipe piles had to be driven down to the depth of 26 meters. Moreover, the builders of this Latvian company have not yet driven piles down to such a depth before in the Port of Klaipeda. Boulders prevented to do so, it was necessary to look for other solutions, as they have not been eliminated.

QUANTITIES. Over a thousand tons of metal products is being driven into the quay. Photo by Eimantas Hahlovas.

During the performance of works, an old sheet-pile wall, scrap concrete, stones, coverings and various debris that had to be eliminated, were found on the coastal territory. In order to install a 2-meter long anchor wall on the coast, to which the main wall will be anchored, the builders had to drive in a temporary supporting sheet-pile wall as well.

Latvijas Tilti have also completed the first-stage works on the reconstruction of quays No. 67-68 with a length of about 90 meters, which are used by Bega and whose cost was around 3 million euros. The company won the tender for the completion of second-stage works as well, but another Latvian company, BMGS, appealed the tender. Litigation continued for nearly a year and works could not be performed. At that period, prices for the second-stage works have increased significantly, and thus Latvijas Tilti was no longer interested in their implementation. Now, the second-stage works on quays 67-68, which are much less in comparison with the first stage, are being performed by BMGS. It has to lay rails and coverings.

Reconstruction is Being Performed in Stages

Works for reconstruction of quays 101-104 used by the Bulk Cargo Terminal (BCT (BKT)) should be completed at the end of the next year. Latvijas Tilti will perform the first-stage works for dredging of the bottom near those quays down to the depth of 14.5 m. In order to fulfil them, they promise to hire subcontractors. The cost of all works is almost 10 million euros. During reconstruction, these quays will be adjusted to the depth of 16.5 m. Other dredging works will be executed near quays after the navigable channel reaches the depth of 17 meters.

Old marine fenders of quays also will be changed, as well as mooring bollards. Old ones will be returned to the Klaipeda State Seaport Authority (Klaipėdos valstybinio jūrų uosto direkcijai). Latvijas Tilti will order new mooring bollards and marine fenders. Previously, they were envisaged by the designer, now they need to be coordinated with the captain of the Port of Klaipeda.

NOTHING TO BE AFRAID OF. The quay, at which the ship is standing, is normal. Since it is necessary to coordinate the reconstruction and loading works, the work is being performed in stages. When the quay No. 101 will be finished, the covering of the quay No. 102 will be removed, and works will be executed on it. Photo by Eimantas Hahlovas

Currently, the quay No. 101 is being reconstructed. Works began in the first days of September. The superstructure is already demolished, sheet piles are being driven in and pipe piles are ready for driving. Heavy machinery was brought from Latvia - an offshore platform with four hydraulic legs, a powerful vibrator for driving sheet piles, etc.

First, quays No. 101-102 will be reconstructed and after the completion of these works, the works on quays No. 103-104 will commence. During the first stage, about a thousand tons of sheet piles and about 300 tons of other structures will be driven. Sheet piles are manufactured in Luxembourg and pipe piles - in Finland. Works of this stage should be completed within 6 months.

When carrying out reconstruction works, the quay will be displaced into the sea for only 50 cm. New sheet piles will be driven near the old ones, at the distance of 25 cm, to the depth of 25 meters.

So the BCT has more works for Latvijas Tilti than for Bega, but currently fewer people are working because machinery is being used the most.

During our visit of the construction area, a diver submerged underwater. Four divers are working on this object, all of which are residents of Klaipeda who work in Latvijas Tilti. Currently they are making holes in old sheet piles underwater. Depth near the quay is about 12.5-13 meters.

Works are Being Coordinated with the Operator

Works on the BCT are somewhat complicated by the fact that it is necessary to work very close to railway wagons, in a rather narrow working area and an aggressive environment. Pipe piles designed for quays No. 101-102 did not fit on the small territory of works and therefore were temporarily unloaded on the quay No. 106. When Latvijas Tilti was constructing quays No. 7-8, which are used by AB Klaipėdos jūrų krovinių kompanija (Klasco), wagons were even closer, it was more difficult to work but it was possible to coordinate works.

Works for reconstruction of BCT quays are being coordinated with loading and unloading works in such a way that none of the parties would suffer losses. That is why the builders did not demolish everything immediately - it was done so in order for loading to be performed nearby.

THE PLATFORM. The platform of Latvijas Tilti is standing near the quay No. 66. Photo by Eimantas Hahlovas.

There are no stones near the quay No. 101, so in this sense conditions are better. With the help of the vibrator, sheet piles are being driven quite easily. If necessary, the driving will be finished using a drop hammer. According to M. Kelpsa, the vibrator does not create a lot of noise, it is the most noisy when the drop hammer is working. 'I do not think that we should use the drop hammer any more, right now we manage to do everything with the vibrator. Also, works with the drop hammer on the quay No. 66 are almost finished, so residents of nearby houses can stop worrying about the noise,' - he said.

About the Company

Latvijas Tilti company is a part of the LNK Group holding company, many shareholders of which are Lithuanians. Right now, the holding company includes 20 companies and 1,500 employees, 28 of which are doctors of sciences.

In the independent Latvia, the holding company acquired the major share of stock of the enterprise, which in Soviet times was called Mostootryad 17 («Мостоотряд 17»), and called it Latvijas Tilti. The privatised company for a few years had almost no work. The holding company had invested in its machinery, and the company returned to the market. Latvijas Tilti is more than 70 years old. It has built around 2 thousand bridges and dozens of berths.

It appeared in the Port of Klaipeda again 7 years ago. At first, only Latvians were working in Latvijas Tilti, dispatched to other countries. Later it was decided to fill up the team with local people. Right now, about 99 percent of workers in the Klaipeda branch of Latvijas Tilti are residents of Klaipeda; about 40-50 people are working there in total. The company is registered as a local enterprise, taxes are paid in Lithuania.

The first major project of this company in the Lithuanian port were quays and pier of the Klaipeda Central Terminal. The company won the tender, in which 13 companies had participated. This project still is the biggest challenge for Latvijas Tilti in the Lithuanian port, as it was necessary to win a considerable territory from the water by pouring 300 thousand cubic meters of sand brought from quarries in the water.

Latvijas Tilti is working both in Latvia and Lithuania, as well as in Estonia. Works in the Port of Klaipeda constitute only 15-20 percent of all of its works.

How Tenders are Being Won?

Alexander MILOV, Chairman of the Supervisory Board of the LNK Group holding company and its main shareholder.

There is no need to give something to someone in order to win a tender. We are lucky only when we offer the best possible price. The procurement system is organised in such a manner that there is no place, where one could possibly thank anyone for anything. Furthermore, in the Port of Klaipeda we never had a situation when we had to exceed the estimate of works. Our strategic competitor in the Port of Klaipeda is another Latvian company, BMGS. We have settled our disputes in the court as well. It accuses us that we offer inadequately low prices, that we are 'dumping' it.

We win because we comply with the main requirements of tenders regarding qualifications and the lowest price. As our company is 70 years old, we positively have the required qualifications. We can offer the best price because we have all the machinery needed for construction works - over 500 units. Therefore, we do not need to rent anything. In addition, the price depends on the price of technical products that it is necessary to buy, such as pipes, sheet piles, anchors. Since LNK Group is the biggest customer of such products in the Baltic States, it get big discounts. For example, Latvijas Tilti agreed to build the overpass in the Port of Klaipeda for a price that was more than 1 million euros smaller than the price offered by the participant, who got the second place in the tender.

During the 7 years of work in Lithuania, Latvijas Tilti performed works not only in the Port of Klaipeda, their cost is about 100 million euros. Thanks to the good price we offer, Lithuania has saved 15 million euros.

I do not like that in the Baltic States every time you participate in any tender, you have to re-certify the qualification - to present a lot of papers, to indicate constructed objects, etc. It works differently in Germany. Germany has accredited government agencies, which assign certain qualification to a company. When participating in a tender, it is sufficient to present the qualification certificate and to indicate the price. The winner of the tender is chosen practically within 24 hours. Recently we participated there in a tender for construction of a bridge's structure, which costed about 1.5 million euros. Unfortunately, we lost because our price was a thousand euros higher.

In Lithuania, there are positive tendencies in the sphere of tenders. Right now, it is necessary only to declare your qualification when participating, and to present all documents in case of a victory. This is the right step; it is a pity that Latvia still has not implemented this.