Four new methanol-ready tanker vessels to be built to ABS Class for Algoma

Classification society American Bureau of Shipping (ABS) on Tuesday (25 July) said dry and liquid bulk carriers owner and operator Algoma Central Corporation (Algoma) has ordered two, methanol-ready 37,000-DWT ice class product tanker vessels to be built to ABS Class.

This CAD 127 million (USD 96,334,362) investment followed an order for two new 72,250-DWT, methanol-ready, Kamsarmax-based ocean belt self-unloading vessels that will also be built to ABS Class from Algoma.

The new product tankers will be entered on long-term time charters under Canadian flag, trading primarily from Saint John, New Brunswick, with deliveries to ports in Atlantic Canada and the U.S. East Coast.

The methanol-ready Kamsarmax vessels will support Algoma’s decarbonisation efforts with the new ships designed to exceed EEDI Level III requirements and to include Tier 3 engines. The vessels are expected to be 40 percent more efficient than the ships they will replace, owing to a combination of fuel efficiency and optimised cargo lift.

“ABS is proud to help Algoma modernise their fleets and support their sustainability strategy. Methanol is a promising fuel source to reduce shipping emissions, and these vessels will be ready to adopt this as bunkering infrastructure matures,” said John McDonald, ABS President and Chief Operating Officer.

“These vessels have been designed with safety and optimisation at the top of mind and will be a model for the next generation of vessels. ABS has worked with Algoma for over 25 years providing technical expertise and services to help us achieve quality vessel performance, and we look forward to continuing to work together to maximise safety and accelerate efficiency,” said Gregg Ruhl, President and CEO of Algoma.

In a separate statement, Algoma said it placed the order for the 37,000 DWT product tanker vessels with Hyundai Mipo Shipyard in South Korea. Delivery of the new vessels is expected during the first quarter of 2025. Upon arrival in Canada, the vessels will be immediately deployed on the agreed time charter to Irving Oil.

New vessel highlights

• Eco-friendly optimised ice class 1B design
• Boston Beam width of 27.4 metres
• Methanol ready as per ABS Notations – Methanol Fuel Ready Level 3(S), Methanol Fuel Ready Level 2D (TA, ME)
• High voltage and shore power (cold-ironing) ready – ABS Notation HVSC-Ready
• Enhanced ballasting capabilities to optimise operations in the Bay of Fundy

Photo credit: Algoma Central Corporation
Published: 26 July, 2023