ICEBERGS FOR KUWAIT

CASE STUDY

Tarunpreet Singh, Mengqi Lin, Chu

Zheng, Yong Xo & Xuewei Xia

Case Study

Index
Appendix

Appendix
Analysis

Assumptions

Recommendations

Current Issues

Analysis

Assumptions

Recommendations

Current Issues

Iceberg for Kuwait

Case Study

Current Issues

High costs of Desalinating seawater

Extensive consumption of oil using conventional technology

Feasibility of towing Icebergs from South Pole to Kuwait

Varying parameters associated with Alternative method

Profitability of Alternative method producing water from Iceberg

Iceberg for Kuwait

Case Study

Recommendations for using Alternative

method

Speed of the towing

vessel should be
5km/hr

Volume of the
Iceberg carry from
the South Pole
should be greater
than 6,054,466 m

Iceberg for Kuwait

Case Study

Assumptions
Only large towing ships are rented which can carry maximum of
10,000,000 Cubic meter of Iceberg
Towing ship can travel at three speeds only 1km/hr, 3 Km/hr & 5 km/hr
Melting Rate of the iceberg is linear function of the distance of destination
from the South Pole, if distance is less than or equal to 4000 km
(Appendix-1)
Melting Rate of the Iceberg is same for distance greater than 4000 Km
between destination and South Pole
Associated Fuel Costs of towing ship are logarithmic function of the
volume of the Iceberg carrying, if volume is higher that 1000 cubic meters
( Appendix- 2)
Minimum fuel cost for the towing ship is same as for 1000 m volume at
given speed.

Iceberg for Kuwait

Case Study

Assumptions
Rent and Fuel costs incur even in the case of iceberg completely melts
before reaching the destination
Fuel cost for the given day will be dependent on the volume of the
iceberg at the beginning of the day
Full day rent incur even if the towing ship reaches destination before day
ends. For Instance, at speed 3 Km/hr the total rent would be taken for
134 days rather than just for 133.33 days
Iceberg is spherical in shape, melting rate at any given speed is the
reduction in the radius of the Iceberg

Rent for large towing ship is 800/day (Appendix 3)

Kuwait govt. has monopoly on desalinating water, and desalinating costs
0.1/m

Iceberg for Kuwait

Case Study

ANALYSIS- 1
Recommendation 1:- Speed of the towing vessel should be
5km/hr
Model we created takes the speed of the towing ship and
Volume of the Iceberg it carrying.
Kuwait is at 9600Km distance from South Pole, so it takes
minimum of 400 days(@ 1Km/hr speed) or maximum of 80
days ( @ 5 Km/hr) to transport Iceberg to Kuwait.
Radius of the Iceberg at the beginning is given by 4/3 R .
Radius of the iceberg vary everyday depending on the
distance left at the beginning of the day from
destination(Appendix 4).
Fuel Costs vary everyday depending on the Volume of the
Iceberg left at the beginning of the day(Appendix 4).
Iceberg for Kuwait

Case Study

Analysis- 1
Recommendation-: 1 (contd.)
Cost of desalinating the seawater is 0.1/m of water.
Volume of water generated from the Iceberg at the destination is
0.85x volume of the Iceberg at the destination.
Total Profit from using Alternative method is difference between the
desalinating cost of same volume of water generated from Iceberg
and total cost incur from alternate method (Appendix-5).

Iceberg For Kuwait

Case Study

Analysis- 1
Results from our Analysis

Total Profit from Alternate method for towing 10,000,000 m at the speed of 5 Km/hr
is 203,430.33.
Total Profit from Alternate method for towing 10,000,000 m at the speed of 3 Km/hr
is 97,611.33
A Loss of 361,035.33 incur on towing 10,000,000 m of Iceberg at 1 Km/hr
To better understand the results from our model we did sensitivity analysis on
few parameters to check the profit variation.

Case 1

Profit is maximum or
loss is minimum at any
volume for speed of
ship at 5 Km/hr
(Appendix- 6)

Sensitivity of
our results

Case 2

Profit is directly related

to the volume of Iceberg
carry by the towing ship
from South Pole.

Iceberg for Kuwait

Case Study

Analysis

Case 1- Profit for any volume is greater at 5km/hr

Profit

Profit Sensitivity w.r.t Volume for a Given Speed

300,000.00
200,000.00
100,000.00
0.00
-100,000.00
-200,000.00
-300,000.00
-400,000.00
-500,000.00

1 Km/hr
3 Km/hr
5 km/hr
10,000,000.0

9,500,000.0

9,000,000.0

8,500,000.0

8,000,000.0

7,500,000.0

7,000,000.0

6,500,000.0

6,000,000.0

5,500,000.0

5,000,000.0

4,500,000.0

4,000,000.0

3,500,000.0

3,000,000.0

2,500,000.0

2,000,000.0

1,500,000.0

1,000,000.0

500,000.0

Volume of Iceberg in m

Profit

Case 2- Profit is directly proportional to the volume of the Iceberg

200,000.00
150,000.00
100,000.00
50,000.00
0.00
-50,000.00
-100,000.00
-150,000.00
-200,000.00
-250,000.00

Profit vs Volume of Iceberg

5 Km/hr

Volume of Iceberg in m

Iceberg for Kuwait

Case Study

ANALYSIS-2
Recommendation 2:- Volume of the Iceberg carry from the South Pole
should greater than 6,054,466 m
Based on our previous recommendation, we did further analysis to
quantize the minimum requirements for the alternate method to be
profitable.
We found that profit from alternate method is directly proportional to
volume of the Iceberg carrying by the towing ship at the beginning.

Iceberg for Kuwait

Case Study

Analysis- 2

Results of our Analysis

Alternate method of generating water is profitable only when the
towing ship runs at 5 Km/hr and carry atleast 6,054,466 m
(Appendix-7)
If the carrying volume of Iceberg is less than 6,054,466 m, then we
would recommend to use desalinating method of generating
drinkable water.
To further analyze our results, we found that our results are more
sensitive to the volume of the Iceberg than the Rent costs of
the towing ship (Appendix-8)

Icebergs for Kuwait

www.themegallery.com

Analysis- 2
250000.00

Profit Sentivity Rent Cost vs Volume of the Iceberg

150000.00
100000.00
200000.00-250000.00

50000.00

150000.00-200000.00

0.00

100000.00-150000.00
10000000.00

9500000.00

9000000.00

8500000.00

8000000.00

7500000.00

7000000.00

6500000.00

6000000.00
1000.00

Rent Cost

900.00

50000.00-100000.00
800.00

700.00

50000.00

300.00
400.00
500.00
600.00

Profit

200000.00

0.00-50000.00
50000.00-0.00

Volume of the Iceberg in m

Company Name

Case Study

LOGO

www.themegallery.com

Appendix -1
Melting Rate as afunction of distance
at speed of 1 KM/Hr y = 0.000060x

0.3

Melting Rate as afunction of distance

0.35
at speed of 3 KM/Hr y = 0.000080x

R = 1.000000

0.15

Linear (1)

0.1

Melting Rate

0.25

0.2

0.2

3
Linear (3)

0.15
0.1

0.05

0.05

0
0

1000
2000
3000
4000
Distance from South Pole

5000

1000
2000
3000
4000
Distance from South Pole

5000

Melting Rate as afunction of distance at

speed of 5 KM/Hr
y = 0.00010x
0.4

0.45

R = 1.00000

0.35

Melting Rate

Melting Rate

R = 1.000000

0.3

0.25

0.3
0.25

0.2

Linear (5)

0.15
0.1
0.05
0
0

1000

2000
3000
4000
Distance from South Pole

5000

Company Name

www.themegallery.com

Appendix -2
Fuel Cost as a function of Volume at
speed of 1 Km/hr

14

18

y = 0.912ln(x) - 2.1
R = 1

12

16

Fuel Costs

Log. (1 km/hr)

6
4

12

3 km/hr

10

Log. (3 km/hr)

8
6
4

0
0

5,000,000
10,000,000
Volume

15,000,000

5,000,000
10,000,000
Volume

15,000,000

Fuel Cost as a function of Volume at

speed of 5 Km/hr

25

y = 1.4332ln(x) - 3.3
R = 1

20

Fuel Costs

Fuel Cost

y = 1.1726ln(x) - 2.7
R = 1

14

10
1 km/hr

Fuel Cost as a function of Volume at

speed of 3 Km/hr

5 km/hr

15

Log. (5 km/hr)

10
5
0
0

5,000,000
10,000,000
Volume

15,000,000

Company Name

www.themegallery.com

Appendix -3

Parameters
Large Ship
Daily rental ()
Maximum load (cu. meter)
Speed of the Rented Boat
Cost of Desalinating Water in Kuwait

800.00
6,054,466
5
0.10

Company Name

www.themegallery.com

Appendix 4
Days
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

Calculation at the beginning of the Journey

Distance left
Distance left
Radius of the Volume of the Fuel cost
Total fuel Cost
after day
after day
Melting rate Iceberg
iceberg
per Km
for the day
9600
9480
0.400
113.07
6,054,466
19.1
2290
9480
9360
0.400
112.67
5,990,435
19.1
2288
9360
9240
0.400
112.27
5,926,857
19.1
2286
9240
9120
0.400
111.87
5,863,730
19.0
2284
9120
9000
0.400
111.47
5,801,053
19.0
2282
9000
8880
0.400
111.07
5,738,825
19.0
2281
8880
8760
0.400
110.67
5,677,043
19.0
2279
8760
8640
0.400
110.27
5,615,706
19.0
2277
8640
8520
0.400
109.87
5,554,813
19.0
2275
8520
8400
0.400
109.47
5,494,361
18.9
2273
8400
8280
0.400
109.07
5,434,349
18.9
2271
8280
8160
0.400
108.67
5,374,777
18.9
2269
8160
8040
0.400
108.27
5,315,641
18.9
2267
8040
7920
0.400
107.87
5,256,940
18.9
2265
7920
7800
0.400
107.47
5,198,673
18.9
2264
7800
7680
0.400
107.07
5,140,839
18.8
2262
7680
7560
0.400
106.67
5,083,434
18.8
2260
7560
7440
0.400
106.27
5,026,459
18.8
2258
7440
7320
0.400
105.87
4,969,911
18.8
2256
7320
7200
0.400
105.47
4,913,789
18.8
2254
7200
7080
0.400
105.07
4,858,091
18.8
2252
7080
6960
0.400
104.67
4,802,815
18.7
2250
6960
6840
0.400
104.27
4,747,961
18.7
2248
6840
6720
0.400
103.87
4,693,525
18.7
2246
6720
6600
0.400
103.47
4,639,508
18.7
2244
6600
6480
0.400
103.07
4,585,906
18.7
2242
6480
6360
0.400
102.67
4,532,719
18.7
2240
6360
6240
0.400
102.27
4,479,944
18.6
2238

Company Name

Case Study

Appendix- 4 (Contd.)
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65

6000
5880
5760
5640
5520
5400
5280
5160
5040
4920
4800
4680
4560
4440
4320
4200
4080
3960
3840
3720
3600
3480
3360
3240
3120
3000
2880
2760
2640
2520
2400
2280
2160
2040
1920

5880
5760
5640
5520
5400
5280
5160
5040
4920
4800
4680
4560
4440
4320
4200
4080
3960
3840
3720
3600
3480
3360
3240
3120
3000
2880
2760
2640
2520
2400
2280
2160
2040
1920
1800

0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.400
0.396
0.384
0.372
0.360
0.348
0.336
0.324
0.312
0.300
0.288
0.276
0.264
0.252
0.240
0.228
0.216
0.204
0.192

101.07
100.67
100.27
99.87
99.47
99.07
98.67
98.27
97.87
97.47
97.07
96.67
96.27
95.87
95.47
95.07
94.67
94.27
93.87
93.49
93.11
92.75
92.41
92.07
91.75
91.43
91.13
90.85
90.57
90.31
90.05
89.81
89.59
89.37
89.17

4,324,082
4,272,943
4,222,208
4,171,877
4,121,948
4,072,418
4,023,287
3,974,552
3,926,213
3,878,267
3,830,713
3,783,550
3,736,775
3,690,387
3,644,385
3,598,767
3,553,531
3,508,675
3,464,642
3,422,296
3,381,604
3,342,533
3,305,052
3,269,130
3,234,738
3,201,849
3,170,435
3,140,472
3,111,936
3,084,802
3,059,049
3,034,657
3,011,604
2,989,872
2,969,444

18.6
18.6
18.6
18.5
18.5
18.5
18.5
18.5
18.5
18.4
18.4
18.4
18.4
18.4
18.4
18.3
18.3
18.3
18.3
18.3
18.2
18.2
18.2
18.2
18.2
18.2
18.2
18.1
18.1
18.1
18.1
18.1
18.1
18.1
18.1

2232
2230
2228
2226
2224
2222
2219
2217
2215
2213
2211
2209
2207
2205
2202
2200
2198
2196
2194
2192
2190
2188
2186
2184
2182
2180
2178
2177
2175
2174
2172
2171
2170
2168
2167

Case Study

Appendix 4 (Contd.)
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100

1800
1680
1560
1440
1320
1200
1080
960
840
720
600
480
360
240
120
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

1680
1560
1440
1320
1200
1080
960
840
720
600
480
360
240
120
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

0.180
0.168
0.156
0.144
0.132
0.120
0.108
0.096
0.084
0.072
0.060
0.048
0.036
0.024
0.012
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000
0.000

88.97
88.79
88.63
88.47
88.33
88.19
88.07
87.97
87.87
87.79
87.71
87.65
87.61
87.57
87.55
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00

2,950,303
2,932,433
2,915,820
2,900,450
2,886,310
2,873,389
2,861,675
2,851,161
2,841,836
2,833,694
2,826,727
2,820,930
2,816,299
2,812,828
2,810,516
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00

18.1
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0

2166
2165
2164
2163
2162
2162
2161
2160
2160
2159
2159
2158
2158
2158
2158
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

Iceberg for Kuwait

Case Study

Appendix-5
Calculation Table
Calculation Table
Description
Distance from the south pole in km's
Speed of the Ship km/hr
Total Number of days to reach at destination

Calc.
9600
5
80.00

Radius of the iceberg at the begining

133.65

Radius of the ice berg at destination

108.13

Total Rental cost

Total fuel cost
Volume of Iceberg at the destination
Total cost incurred for the vol of water from iceberg
Vol.of water obtained from the iceberg at destination

64,000.00
182,713.92
5295814.72
246,713.92
4501442.508

Total Cost of Desalinating vol of water from iceberg

450,144.25

Total Profit

203,430.33
Iceberg for Kuwait

www.themegallery.com

Volume of Iceberg m

Appendix- 6
0.00
500,000.0
1,000,000.0
1,500,000.0
2,000,000.0
2,500,000.0
3,000,000.0
3,500,000.0
4,000,000.0
4,500,000.0
5,000,000.0
5,500,000.0
6,000,000.0
6,500,000.0
7,000,000.0
7,500,000.0
8,000,000.0
8,500,000.0
9,000,000.0
9,500,000.0
10,000,000.0

Sensitivity Analysis
Speed of the Towing Ship
1
3
-376,282.33
-206,255.44
-383,948.27
-213,126.23
-389,882.27
-209,749.17
-395,394.00
-201,682.81
-401,662.01
-190,696.91
-406,219.57
-177,638.72
-408,640.31
-162,997.06
-409,603.69
-147,086.63
-409,419.65
-130,125.36
-408,270.38
-112,272.20
-406,279.26
-93,647.69
-403,537.42
-74,346.05
-400,116.07
-54,442.75
-396,073.00
-33,999.47
-391,456.44
-13,067.42
-386,307.43
8,310.23
-380,661.47
30,096.67
-374,549.63
52,260.19
-367,999.37
74,773.20
-361,035.17
97,611.52

5
-190,145.57
-191,089.79
-182,218.80
-168,803.88
-152,597.66
-134,439.68
-114,810.44
-94,016.25
-72,267.08
-49,714.63
-26,472.93
-2,630.37
21,742.76
46,589.42
71,862.52
97,522.64
123,536.30
149,874.84
176,513.40
203,430.33
Company Name

Case Study

Appendix- 7
Break-even Point at volume at ship speed 5 km/hr
Calculation Table
Description
Distance from the south pole in km's
Speed of the Ship km/hr
Total Number of days to reach at destination

Calc.
9600
5
80.00

Radius of the iceberg at the begining

113.07

Radius of the ice berg at destination

87.55

Total Rental cost

Total fuel cost
Volume of Iceberg at the destination

64,000.00
174,893.86
2810516.04

Total cost incurred for the vol of water from iceberg

238,893.86

Vol.of water obtained from the iceberg at destination

2388938.635

Total Cost of Desalinating vol of water from iceberg

238,893.86

Total Profit

0.00

Icebergs for Kuwait

Case Study

Rent Costs

Appendix- 8
0.00 6000000.00 6500000.00 7000000.00
300.00
37369.63
61742.76
86589.42
350.00
33369.63
57742.76
82589.42
400.00
29369.63
53742.76
78589.42
450.00
25369.63
49742.76
74589.42
500.00
21369.63
45742.76
70589.42
550.00
17369.63
41742.76
66589.42
600.00
13369.63
37742.76
62589.42
650.00
9369.63
33742.76
58589.42
700.00
5369.63
29742.76
54589.42
750.00
1369.63
25742.76
50589.42
800.00
2630.37
21742.76
46589.42
850.00
6630.37
17742.76
42589.42
900.00
10630.37
13742.76
38589.42
950.00
14630.37
9742.76
34589.42
1000.00
18630.37
5742.76
30589.42

Volume of Iceberg in m
7500000.00 8000000.00 8500000.00 9000000.00 9500000.00 10000000.00
111862.52 137522.64 163536.30 189874.84 216513.40
243430.33
107862.52 133522.64 159536.30 185874.84 212513.40
239430.33
103862.52 129522.64 155536.30 181874.84 208513.40
235430.33
99862.52 125522.64 151536.30 177874.84 204513.40
231430.33
95862.52 121522.64 147536.30 173874.84 200513.40
227430.33
91862.52 117522.64 143536.30 169874.84 196513.40
223430.33
87862.52 113522.64 139536.30 165874.84 192513.40
219430.33
83862.52 109522.64 135536.30 161874.84 188513.40
215430.33
79862.52 105522.64 131536.30 157874.84 184513.40
211430.33
75862.52 101522.64 127536.30 153874.84 180513.40
207430.33
71862.52
97522.64 123536.30 149874.84 176513.40
203430.33
67862.52
93522.64 119536.30 145874.84 172513.40
199430.33
63862.52
89522.64 115536.30 141874.84 168513.40
195430.33
59862.52
85522.64 111536.30 137874.84 164513.40
191430.33
55862.52
81522.64 107536.30 133874.84 160513.40
187430.33
Iceberg for Kuwait