Algoma Central Corporation and Nova Marine Increase Investment in NovaAlgoma Joint Venture With Five Vessel Acquisitions
10 March 2022 - 11:00PM
Business Wire
Algoma Central Corporation (TSX: ALC) and Nova Marine today
announced an increased investment in their global short sea
shipping joint ventures, NovaAlgoma, by acquiring three cement
carriers from KGJ Cement in Northern Europe and two handy-size bulk
carriers from Swire Bulk Holdings Pte. Ltd. of Singapore. The
vessels will be strong additions to NovaAlgoma’s already
diversified vessel portfolio, which includes cement carriers,
mini-bulkers and handy-size bulk carriers.
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NACC New Yorker - Cement Carrier (Photo:
Business Wire)
“We carefully consider each opportunity for growth and these
vessel purchases fit perfectly into our long-term plan for
sustaining a profitable business alongside our partners at Nova
Marine,“ said Gregg Ruhl, President and CEO of Algoma Central
Corporation. “The three cement carriers will support increasing
cement requirements and significant global infrastructure
investments. The two handy-size vessels will be part of our active
international sales and purchase vessel platform, which has
delivered strong returns since 2018,” concluded Mr. Ruhl.
“The cement carriers will supply additional capacity for
NovaAlgoma Cement Carriers (“NACC”) and provide tailored and
flexible short sea logistics solutions for our customers in this
market,” said Vincenzo Romeo, Chief Executive Officer at Nova
Marine. “Working together with our partners at Algoma, we
continually review market conditions and add incremental
investments so we can strategically evolve with fluctuations in
industry demand,” added Mr. Romeo.
The first of the three cement vessels, the NACC Providence,
previously named the Glory Atlantic, was delivered in early
February. The second vessel will follow in early March and the
third is expected to be delivered in late June. All three vessels
will join the NACC fleet serving a growing list of clients around
the world.
The two handy-size bulk carriers, to be named the Sider Athena
and the Sider Bear will join the NovaAlgoma Bulk Holdings fleet in
late April and will be commercially managed by Nova Marine.
About NovaAlgoma Cement Carriers Limited
NovaAlgoma Cement Carriers (“NACC”), is a joint venture between
Nova Marine Holding of Luxembourg and Algoma Central Corporation of
Canada that operates specialized pneumatic cement vessels
worldwide. Once the above transactions close, NACC will be the
largest and most diverse fleet of specialized cement carriers
operating globally. The vessels utilize a compressor and pump
system to load and unload cement powder; this system is fully
enclosed with essentially no discharge to the atmosphere and
significantly reduces the carbon intensity of cement transportation
versus other modes. Cement shipping operates in regionalized
markets in service of large global manufacturers and in support of
infrastructure investments.
About NovaAlgoma Bulk Holdings
NovaAlgoma Bulk Holdings is a joint venture between Nova Marine
Holding of Luxembourg and Algoma Central Corporation of Canada and
operates handy-size bulk carriers worldwide. The vessels are part
of a platform that pursues international sales and purchase
opportunities in the handy-size market.
About Algoma Central Corporation
Algoma owns and operates the largest fleet of dry and liquid
bulk carriers operating on the Great Lakes - St. Lawrence Waterway,
including self-unloading dry-bulk carriers, gearless dry-bulk
carriers and product tankers. Since 2010 we have introduced 10 new
build vessels to our domestic dry-bulk fleet, with one under
construction and expected to arrive in 2024, making us the
youngest, most efficient and environmentally sustainable fleet on
the Great Lakes. Each new vessel reduces carbon emissions on
average by 40% versus the ship replaced. Algoma also owns ocean
self-unloading dry-bulk vessels operating in international markets
and a 50% interest in NovaAlgoma, which owns and operates a
diversified portfolio of dry-bulk fleets serving customers
internationally. Algoma truly is Your Marine Carrier of
Choice™.
About Nova Marine
Nova owns and also operates through its subsidiary Nova Marine
Carriers SA, headquartered in Lugano, Switzerland, a varied fleet
of modern bulk carriers and belt self-unloading vessels ranging
from 5,000 dwt up to 57,000 dwt. With around one hundred ships
under control, Nova specializes in bulk traffic in the
Mediterranean, Atlantic and Middle East and in Italian/European
cabotage. In 2021 Nova Marine Carriers undertook over 2000 voyages
and transported around 26 million tonnes of cargo. In 2021 Nova
undertook its first carbon neutral voyage, offsetting the CO2
emitted by one of its vessels by voluntarily purchasing carbon
credits for a Madagascan solar farm project.
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version on businesswire.com: https://www.businesswire.com/news/home/20220310005125/en/
Gregg A. Ruhl President & CEO Algoma Central
Corporation 905-687-7890
J. Wesley Newton Senior Vice-President, Corporate
Development Algoma Central Corporation 905-687-7836
Vincenzo Romeo Chief Executive Officer Nova Marine 41 91
822 73 05
Or visit
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www.novaalgoma.com
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