Upper Lakes Group Inc News

Algoma Central Corporation expects to invest close to $400m in Great Lakes shipping as it takes bold steps for the future, Algoma President and Chief Executive Officer Greg Wight said during his keynote address at the Top Hat ceremony marking the 182nd opening of the Welland Canal. “This level of commitment to this industry is unprecedented,” Mr. Wight said. Algoma’s fleet renewal program is starting with the purchase of five new state-of-the-art Equinox Class vessels, with the hope to expand this order. The new Equinox Class was developed in St. Catharines, Ontario by a team of designers at Algoma’s downtown headquarters in partnership with engineers from around the world. Equinox Class ships are the next generation of bulk carriers on the Great Lakes.

McAsphalt Industries Ltd. and Upper Lakes Group Inc. have recently announced a joint venture for the formation of McAsphalt Marine Transportation Limited. The company will construct and operate a new ATB unit for the carriage of heavy oils and asphalt products serving the Great Lakes, St. Lawrence River and East Coast. A synergy between the two parent companies combine the long experience of an asphalt producer, supplier and marketing team, with a respected marine transportation and ship management group. A new barge called the Norman McLeod is currently under construction at the Jinling Shipyard in China with expected delivery to Canada in late June 2001. Fraser Marine and Industrial of Port Colborne will perform completion of outfitting, with operational status ready for fall 200.

The Star has reported that Canadian Shipbuilding & Engineering Ltd. (CSE) will seek government money, cut labour costs and restructure before resorting to a sales process if necessary, the monitor overseeing its bankruptcy protection said in court documents. CSE was formed 20 years ago by the merger of the shipbuilding and repair divisions of two of Canada's biggest private shipping companies, Canada Steamship Lines and what is now called Upper Lakes Group Inc. The CSL Group — owned by former Prime Minister Paul Martin until 2003 — sold its remaining interest in Canadian Shipbuilding & Engineering in November. Upper Lakes Group Inc. now owns more than two-thirds of CSE, which had 420 employees when all its operations were running.

Sam Hayes, President of The CSL Group Inc. (CSL) and Jack Leitch, Chairman of Upper Lakes Group Inc. (ULS) have announced the signing of a Letter of Intent concerning the purchase by CSL of ULS' 50 percent share of Marbulk Canada Inc. (MCI). MCI is owned jointly by ULS and Algoma Central Corporation (Algoma). Marbulk Shipping Inc. of Salem, Mass., a subsidiary of MCI, operates a fleet of eight self-unloading bulk carriers in international trades on the east coast of North America and in South America, Europe and Asia. The transaction is subject to Board of Directors and regulatory approvals. CSL International Inc. (CSLI), a subsidiary of CSL…