Fednav Group Brings New Green Ship to US Great Lakes

Montreal-based Fednav Group, owner of Federal Marine Terminals, Inc. (FMT), the leading terminal operator at the Port of Cleveland, has delivered three new state-of-the-art vessels to trade on the Great Lakes-Seaway System.

The MV Federal Satsuki, arrived at Federal Marine Terminals, Cleveland, this week from Europe, carrying steel for the coal mining, automotive, and cosmetic industries and machinery for the food industry. After unloading its cargo in Cleveland, the vessel will load grain in Toledo for export to Northern Europe.

The new ship was welcomed today in a special gift-exchange ceremony between Port of Cleveland officials and Fednav executives, on the occasion of its maiden voyage to the United States.

The Federal Satsuki adds to Fednav’s fleet of Seaway-sized bulk carriers that regularly transport cargo such as steel and specialized cargo from overseas into the Great Lakes, while shipping U.S. and Canadian grain, along with other bulk materials, to foreign markets. The first and third vessels of the series arrived in the Great Lakes in 2011 and in October 2012, respectively. In addition, Fednav has ordered six new vessels from Japan’s Oshima shipyard, bringing to nine the number of new Lakes ships delivered or ordered since 2011.

Privately owned Fednav Group is the largest ocean-going user of the St. Lawrence Seaway, with an average of 100 voyages each year.

From Paul Pathy, President and co-CEO of Fednav Group: “We are increasing the capacity of our fleet in the Great Lakes because we believe that there are opportunities in the region, and we are very positive about the long-term significance of the St. Lawrence Seaway. It remains the most economical and environmentally friendly way to move bulk cargo to and from the North American heartland.”

The Federal Satsuki has been built with the latest technology, which brings a number of environmental benefits:

  • The vessel is 12 percent more fuel efficient than Fednav’s previous class of ships, which were already among the most efficient of their generation, and will save 770 tonnes of fuel per year, while preventing the emissions of 2,500 tonnes of carbon dioxide from the atmosphere per year—the equivalent of planting close to 5,000 trees.
  • The Federal Satsuki and its sister ships are equipped with Tier II engines, which reduce nitrogen oxide (NOx) emissions that contribute to acid rain formation and global warming. Fednav committed to the installation of these types of engines a full two years before international regulations required it for new ships.
  • The design incorporates more powerful ballast pumps and enough space to enable the installation of ballast water treatment equipment. This equipment, which will be installed once the U.S. Coast Guard sets the type approval of equipment for the cold fresh water of the Great Lakes, will further eliminate the risk of introducing invasive species.

Mr. Pathy explained: “The environment is one of our top priorities when we consider the design of a new vessel. It is important to us and also to our customers that our vessels are as fuel efficient as possible. This fuel efficiency, along with new engine technology, significantly reduces air emissions.”

At a shipboard ceremony today, Will Friedman, President and CEO of the Port of Cleveland presented a commemorative gift to Federal Satsuki Captain Boben Kocherry.

“The Federal Satsuki’s maiden call to a U.S. port, and Fednav’s investment in this new line of more efficient, greener ships signals a bright future for international shipping on the Great Lakes St. Lawrence Seaway System,” said Will Friedman. “It also underscores the importance of the trade to the local economy and North American economy. We commend Fednav for its long-standing and continued commitment to Great Lakes Seaway maritime commerce and look forward to many more years in partnership.”

Fednav, December 14, 2012

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