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| COS Weekly News - Friday, 14 August 2026 |
| | | | Local News | Corvus Energy Secures Major Battery Contract with BC Ferries Corvus Energy has been awarded a contract to supply battery energy storage systems (ESS) for BC Ferries' four new hybrid-electric Summit Class ferries, marking a significant milestone in the operator’s fleet renewal and decarbonization strategy. The Vancouver-developed technology will provide 40 MWh of installed battery capacity, with 10 MWh per vessel, making the ships among the highest-capacity battery-powered ferries in the world. The design also includes provisions for future expansion to 70 MWh per vessel, enabling near zero-emission operations as charging infrastructure becomes available. The new double-ended ferries, named Summit Arbutus, Summit Cedar, Summit Maple, and Summit Spruce, will each carry up to 360 vehicles and 2,100 passengers and crew. Construction is underway at China Merchants Shipbuilding Industry Group Weihai Shipyard, with the first vessel expected to enter service in 2029 and all four operational by 2031. BC Ferries says the project represents a major step toward a more sustainable future for one of the world’s largest ferry systems. | Canada’s Railways Set New Grain Transportation Records Canada’s two largest railways achieved record grain volumes during the 2025-26 crop year, highlighting the critical role rail transportation plays in moving western Canadian agricultural exports to global markets. Canadian National Railway (CN) moved more than 33.8 million tonnes of grain, surpassing its previous record of 31.2 million tonnes set in 2024-25, while Canadian Pacific Kansas City (CPKC) hauled 30.66 million tonnes of grain and grain products, an 11 per cent increase over the previous year and a new company record. Railway officials credited years of infrastructure investments, improved network capacity and collaboration with grain shippers for the strong performance. Looking ahead, both railways expect another robust year, with CN indicating capacity to move up to 36.7 million tonnes and CPKC forecasting grain shipments of up to 34.5 million tonnes in 2026-27. The record volumes underscore the importance of an efficient rail network to maintaining Canada's reputation as a reliable supplier of agricultural products to international markets. | Pipeline Contracts Awarded as Ksi Lisims LNG Advances towards FID The Ksi Lisims LNG project has taken another step toward a final investment decision (FID) with the award of major pipeline construction contracts for the Prince Rupert Gas Transmission project. The Nisga’a Nation and Western LNG have selected the Surerus Murphy Joint Venture to construct the first 193-kilometre segment of the pipeline between Chetwynd and Mackenzie, while Allseas has been contracted to install the subsea section near the project’s marine terminal. Project proponents highlighted the use of experienced Canadian contractors and emphasized commitments to Indigenous participation, local hiring and regional economic benefits. The proposed $30 billion export facility has secured buyers for approximately half of its planned 12 million tonnes per year LNG capacity, with additional commercial agreements anticipated ahead of a targeted final investment decision by year-end. If approved, construction of both the LNG facility and pipeline could begin in early 2027. | Passing of George Adams (1938-2026) George Arthur Adams, a respected leader in British Columbia’s maritime and transportation sectors, passed away last August 4th. A Master Mariner by training, George built a distinguished career spanning more than four decades, beginning at sea with Shell Tankers and Furness Withy before moving into senior leadership roles with Canadian Transport Company Ltd. and MacMillan Bloedel Limited. As President and CEO of Canadian Transport and Vice President Transportation at MacMillan Bloedel, he helped guide major changes in shipping, stevedoring, labour relations and transportation strategy, including the transformation of Canadian Transport from a charter operator to an owner-operator. George also gave generously of his time to industry and community organizations, serving on the boards and in leadership roles with the Chamber of Shipping of British Columbia, the BC Maritime Employers’ Association, the Chartered Institute of Logistics and Transport, the International Sailors’ Society Canada, the Pacific Pilotage Authority and numerous other maritime bodies. He will be remembered for his deep knowledge of shipping, steady leadership and lasting contribution to Canada’s West Coast marine community. A memorial service will be held at St Christopher's Anglican Church at 1068 Inglewood Avenue in West Vancouver on Wednesday, September 23rd at 2pm. In lieu of flower, memorial donations can be made to Mission of Seafarers- Vancouver. | New Subsidiary to Advance Roberts Bank Terminal 2 The Vancouver Fraser Port Authority has established a dedicated subsidiary, the Roberts Bank Terminal 2 Management Corporation, to oversee the delivery of the Roberts Bank Terminal 2 project in Delta. This month the project was referred to the federal Major Projects Office, selected a preferred construction partner for the landmass and wharf and launched its community investment program. Cheryl Nelms, a veteran infrastructure executive with more than 25 years of experience delivering major projects across Canada, has been appointed president of the new corporation. She will be supported by a four-member board whose combined experience spans more than a century of major infrastructure, transportation, energy and governance expertise. | | Government News | Federal Government Invests $30.5 Million in BC Businesses The Government of Canada has announced more than $30.5 million in funding for 24 British Columbia businesses and organizations through PacifiCan's Regional Tariff Response Initiative, aimed at helping companies respond to global trade disruptions, strengthen supply chains, increase productivity, and expand into new domestic and international markets. Major investments include $5.5 million for Nanaimo Forest Products to increase pulp production capacity, $5.3 million for BC Wood Specialties Group to support export development and trade missions, and $3.6 million for clean technology company Quadrogen to advance renewable natural gas systems for international markets. Funding also supports advanced manufacturing, aerospace, marine, forestry, food processing, clean technology, and Indigenous-owned businesses, including Jastram Engineering, which received funding to expand production of marine steering and control systems, and COTA Aviation, a majority Indigenous-owned manufacturer supplying the aerospace and defence sectors. The investment is intended to help B.C. businesses diversify export markets, create and protect skilled jobs, and improve Canada's competitiveness in an increasingly uncertain global trading environment. | Government of Canada Invests in Science Hub The Government of Canada has awarded a $768.6 million construction contract to PCL Construction Canada Inc. for the Regulatory and Security Science Main (RSS Main) project in Ottawa, a key component of the $3.8 billion Laboratories Canada initiative to modernize federal science infrastructure. The new campus will bring together scientists and researchers from the Canadian Food Inspection Agency, Canada Border Services Agency, Health Canada, and the Public Health Agency of Canada in six state-of-the-art facilities designed to strengthen food safety, public and animal health, border security, and emergency preparedness. Construction is expected to be completed by 2031, with the project supporting Canadian jobs, advancing national security objectives, and enhancing Canada's scientific capacity to respond to emerging risks while facilitating safe trade and travel. | Canadian Carbon Intensity Indicator Reporting Requirements Transport Canada has issued Ship Safety Bulletin 11/2026, updating reporting requirements for the Canadian Carbon Intensity Indicator (CCII), a measure of a vessel's greenhouse gas emissions efficiency. The bulletin applies to Canadian vessels of 5,000 gross tonnes and above operating primarily in Canadian waters and outlines annual fuel consumption and carbon intensity reporting obligations. Ship operators must submit verified data to their Recognized Organization by March 31 each year, with compliance statements issued by May 31. Vessels receiving a D rating for three consecutive years, or an E rating at any time, will be required to implement a corrective action plan through an updated Ship Energy Efficiency Management Plan. The updated guidance also provides clarification on calculating carbon intensity for conventional and biofuels as Canada continues efforts to reduce emissions from the domestic marine fleet. | | US News | Jones Act Waiver Extended with New Restrictions The Trump administration has extended its temporary Jones Act waiver for another 90 days, allowing foreign-flagged vessels to continue transporting oil and certain other commodities between US ports amid ongoing energy market disruptions, while introducing a stricter case-by-case review process for individual voyages. At the same time, the US Internal Revenue Service has ruled that foreign shipping companies operating under the waiver cannot claim the tax exemptions normally available to international shipping income, requiring them to report and potentially pay US taxes on revenue earned from domestic US voyages. The ruling is expected to increase the cost of operating under the waiver and could reduce its attractiveness to foreign shipowners, while supporters of the Jones Act view both the tighter review process and tax clarification as steps toward better protecting the US maritime industry. | | International News | Rhine River Water Level Impacting Inland Trade Low water levels on the Rhine River are once again disrupting one of Europe’s most important inland freight corridors, forcing barges to operate with reduced cargo loads and increasing transportation costs for shippers. Beyond impacts on inland navigation, industry stakeholders are warning that prolonged low water conditions could create congestion at the ports of Rotterdam and Antwerp as cargo movements between the seaports and inland markets slow. Reduced barge capacity may lead to the accumulation of containers and bulk cargo at terminals, increasing pressure on storage capacity and shifting more freight to already constrained rail and trucking networks. The situation highlights the growing vulnerability of European supply chains to climate-related transportation disruptions, with potential consequences for industrial production, logistics planning, and trade flows across the continent. | Far East container capacity cut by 14% Escalating security concerns in the Gulf region are reshaping container shipping services between the Far East, Indian Subcontinent, Middle East, and Red Sea. According to Alphaliner, deployed capacity on the trade lane fell by more than 14% year-over-year in July 2026, a reduction of approximately 312,000 TEU, as carriers adjusted operations in response to risks around the Strait of Hormuz and the wider Middle East. The largest capacity withdrawals came from HMM and SeaLead, while some major carriers, including CMA CGM, expanded their presence, underscoring the uneven impact of the conflict on vessel deployment strategies and regional supply chains. | IMO condemns attacks on ship in the Red Sea The International Maritime Organization (IMO), along with many industry groups, strongly condemns the recent Houthi attack on the cargo vessel Tihamah in the Red Sea, which claimed the lives of six people, including four crew members and two rescuers. The vessel, reported to be carrying food, was struck by missiles while transiting the strategically important Bab al-Mandab Strait, triggering a fire on board. According to Yemeni authorities, an additional missile was launched during rescue operations, killing two members of the Yemeni armed forces. The attack is the latest in a series of assaults on commercial shipping in the region and underscores the ongoing risks facing seafarers who keep global trade moving. The IMO reiterates its unequivocal condemnation of all attacks on merchant vessels and innocent seafarers and calls for the protection of maritime personnel and the preservation of safe passage through international waterways. | Status of the Strait of Hormuz Traffic through the Strait of Hormuz remains severely disrupted nearly six months into the US-Iran conflict, with vessel movements still well below normal levels despite efforts to maintain commercial navigation. While some traffic continues to transit the waterway, volumes remain a fraction of pre-conflict levels as security concerns, elevated insurance costs, and ongoing military tensions deter ship operators. Recent drone and missile attacks targeting vessels linked to the United Arab Emirates, along with continued threats attributed to Iranian-backed forces, have further heightened concerns about the safety of shipping in the region and reinforced the perception that the Strait remains an active conflict zone. Maritime security agencies have recorded numerous incidents involving vessel damage, near misses, and vessel losses in the Strait of Hormuz, the Persian Gulf, and the Gulf of Oman, prompting many operators to reassess voyage risks. Analysts continue to describe the situation as a strategic standoff in which neither the United States nor Iran exercises full control over the waterway. Given that the Strait normally handles approximately 20% of global oil trade, ongoing disruptions continue to place pressure on energy markets, supply chains, and global shipping networks. | | Upcoming Events | | | Aug 22/23 - Richmond Maritime Festival
Aug 29 - Port Day @ Canada Place, Vancouver, BC
Aug 31 - Info Session on WCMRC agreements transitioning from COS @ 10:00 Sep 7 - Labour Day - Office Closed
Sep 15-17 – ACPA Ports Canada Conference, Windsor, ON
Sep 16 - VMCC State & Future of Maritime Fuels Workshop, Vancouver, BC
Sep 19 – 19th Annual Cycle for Seafarers, Vancouver, BC
Sep 22-23 – CMCF Imagine Marine Conference, Ottawa, ON
Sep 23 – Vancouver Grain Exchange Golf Tournament, Surrey, BC
Sep 26/27 - Fraser River Discovery Centre - RiverFest 2026
Sep 28 - Indigenous Awareness Training sponsored by COS @ 13:00
Sept 30 - Truth and Reconciliation Day - Office Closed Nov 3-5 - Canadian Marine Advisory Council - Ottawa, ON | | Ship of the Week | | | 14 August - Seaspan BenefactorContainer ship congestion at the Panama Canal is intensifying, with the Seaspan Benefactor reportedly paying up to US$4 million to secure a priority transit slot and avoid lengthy delays. Growing traffic, ongoing disruptions to alternative trade routes, and water-conservation measures that have reduced vessel draft limits have pushed wait times for non-reserved vessels to up to 10 days, with more than 110 ships waiting to transit the canal. Industry experts note that while the fee is unusually high for a container ship, the cost of missing scheduled connections and disrupting supply chains can far exceed the price of securing an expedited passage. With forecasts pointing to below-average rainfall and possible drought conditions, shippers are preparing for continued congestion, higher transportation costs, and additional canal-related surcharges. |
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