Seaspan signs MOU with Algoma Steel, Stigterstaal Canada to strengthen domestic steel supply chain

An artist's impression of Seaspan's Multi-Purpose Icebreaker. Seaspan hopes to build 16 of the ships for the Canadian Coast Guard. (Seaspan)

Seaspan's Vancouver Shipyards has signed a memorandum of understanding (MOU) with Stigterstaal Canada in Brantford, Ontario, and Algoma Steel in Sault Ste Marie, Ontario, to “explore a strategic partnership aimed at re-establishing a domestic steel supply chain focused on bolstering and expanding shipbuilding in Canada”, a company statement said on 15 July.

The agreement “provides a framework for the companies to assess the feasibility of Algoma Steel supplying class and non-class steel to Seaspan through Stigterstaal, who will act as a commercial and logistical subcontractor”, the statement said.

Seaspan

Seaspan was selected as a contractor for the non-combat vessel package under Canada's National Shipbuilding Strategy (NSS) in 2011, with responsibility for several Canadian Coast Guard (CCG) vessels and two Joint Support Ships (JSSs) for the Royal Canadian Navy (RCN). This led to a significant modernisation programme to bring the shipyard “to a standard and capacity that could accommodate the NSS”, Kate Morton, vice-president of supply chain management at Seaspan, told Janes on 25 July.

Seaspan Vancouver Shipyards in North Vancouver, British Columbia, is the new construction yard, she said. Seaspan also operates two repair and in-service maintenance yards: Vancouver Drydock and Victoria Shipyards on Vancouver Island, Morton noted.

The company is a full life-cycle shipbuilder, capable of functional engineering, detailed design, procurement, supply chain, nesting (the process of laying out cutting patterns to minimise material waste), cutting, manufacturing, and construction, she added.