Canada’s Algoma Central Corporation has reached an agreement with Croatian shipbuilder 3Maj Brodogradiliste to acquire the second of two sister Equinox Class 650’ self-unloading bulkers ordered before the shipyard got into financial difficulties in 2017.
Algoma took delivery of the first ship, Algoma Innovator, near the beginning of the 2018 navigation season. However, the shipyard’s financial woes caused Algoma to cancel the contract for the second ship along with the contracts for three Seaway-max self-unloading vessels.
Under the contract announced today, 3Maj will complete the vessel with financing provided by the Croatian Bank for Reconstruction and Development (HBOR) and has committed to a delivery date of September 15, 2020. Algoma will pay the agreed price of the vessel at delivery, subject to certain penalties for late delivery, including a cancelation right if delivery is delayed beyond an agreed date.
“We want to extend our sincere thanks to the Government of Croatia for their support of this project and the Shipyard,” said Gregg Ruhl, President & CEO of Algoma. “The Croatian government worked closely with the shipyard’s management to navigate a complicated process and successfully coordinate the interests of suppliers and workers to complete hull 733, which will be named Algoma Intrepid.”
Algoma Intrepid will join her sister ship Algoma Innovator as the newest and most efficient river class vessels to enter the Great Lakes market in nearly 40 years. Both ships feature forward-mounted booms permitting cargo to be delivered at hard to reach docks typical of Algoma’s short sea customers.