FMT | News clippings and press releases archive (2010)

Cleveland - The Port of Cleveland exports a two million pound machine on Sunday. The machine is designed to cut 3 inch thick by 86 inch wide steel, and was made by the Butech Bliss Company in Salem. Company vice president Anthony Nackino credits low shipping costs from the port of Cleveland for helping beat bids posted by overseas competitors. 

“We’re very proud and excited about winning this job in a very high stakes bidding contest for one of the biggest machines of this type ever built,” says Nackino. “We were able to put together a competitive cost structure, which included all-water transportation from the Port of Cleveland that helped us to beat the European companies.”

It took over a year to construct the huge mill shear, using $9 million worth of materials from Ohio, and other parts of the U.S. The 2 million pound monstrosity is being shipped from the Port of Cleveland to the ArcelorMittal plant in Bremen, Germany. 

Will Friedman, CEO of the Cleveland-Cuyahoga County Port Authority says “this shipment really drives home that industrial goods manufactured in Ohio are competitive globally and that the Port of Cleveland helps these firms drive down transport cost. We are very focused helping exporters reach global markets.”

The work is being coordinated by Federal Marine Terminals and will be handled by the International Longshoreman’s Association.

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An international investment holding company that trades almost exclusively in hardwood pulp has bought the Domtar hardwood market pulp mill in Baileyville. The approximately 300 people who work at the mill have both a new corporate owner, International Grand Investment Corporation (IGIC), and a new mill name, Woodland Pulp LLC. Employment at the mill is expected to remain constant.

On October 1 Domtar Corporation announced that it had sold the mill, hydro-electric assets and related assets located in Baileyville and New Brunswick to IGIC. No timber lands were included in the sale. Domtar Vice President of Communications and Investor Relations Pascal Bossé says, "The buyer is committed to secure a supply of hardwood pulp. We were looking for a transaction that worked for everyone." Bossé explains that Domtar's strategy in the future is to focus more on softwood pulp and paper. "This is a good transaction for stakeholders, but it's also in the best interest of the men and women" who work at the mill.

IGIC Director Bert Martin says, "We bought the mill because it's a good mill. We'll operate it as it is with the same salary and benefits for employees." The long-term goal is to make it cost competitive, but Martin says that there are no plans at this time to invest in mill infrastructure or expand the operations. In a prepared statement, Domtar noted that IGIC is committed to maintaining and enhancing the Woodland mill's PEFC and FSC(R) certifications, to ensure sustainable and responsible fiber sourcing.

The mood at the Woodland plant is upbeat, says Scott Beal, spokesperson for the mill. "Folks that I've talked to are very encouraged. They recognize that this is a good decision on the part of Domtar. Now we're aligned with a business entity whose strategic purpose is pulp." Beal notes that the mill's general manager, Rick Polinski, will stay on during the transition and then return to his home state of Pennsylvania. The new general manager will be IGIC Director Bert Martin.

IGIC incorporated in Delaware in 2009 as a U.S. based holding company that represents international, individual investors in pulp trade and imports. According to Martin, IGIC is owned by a Chinese engineering and trading company whose principal, Mr. Chiu, trades in pulp. Martin says that Chiu trades over 700,000 tons per year and bought the Woodland mill because of the pulp production. "All the pulp will be shipped to China."

Federal Marine Terminals Manager Skip Rogers says the shipments through the Port of Eastport should remain close to the same. The smaller freight carriers that have been taking pulp to Europe will most likely be replaced with larger carriers going to China. He explains that if the volume to China "goes up, then I would hope that we would be released of the warehouse load more than once a month." These details, he says, get worked out between the carrier and the shipper, "but one ship every four weeks would be problematic." The larger ships are generally more efficient, he notes, so stevedore hours are not likely to increase, just scheduling may change.      "There are so many variables," he adds.

Three new large mills have been built in China, says Zeynep Turk, senior trade specialist and director of development at the Maine International Trade Center, "hence the increase in pulp demand especially for hardwood pulp, which they don't have and North America has. They are trying to develop a continuous supply chain." She notes that, for the months of 2010 through July, over 60% of Maine exports of pulp were to China at $121.7 million out of $199.6 million total pulp exports.

This is IGIC's second pulp mill acquisition in the United States. In February 2010 IGIC purchased Cascade Pacific Pulp, a mill located in Halsey, Ore. At the time of the sale the Halsey mill employed close to 170 people and annually produced approximately 180,000 tons of bleached and unbleached specialty kraft pulp. Martin says that the mill operation in Oregon is going well.

Domtar has been one of the top 10 producers of market grade pulp in the global market. Hardwood pulp production, which was not a primary company activity, was at 780,000 tons, or 2.8% of the global market. Numbers provided by Bossé show that the North American hardwood pulp market has a 2010 capacity of 2.975 million tons of hardwood pulp out of a worldwide capacity of 28.5 million tons. The Woodland mill has an annual production capacity of 400,000 tons. China's total capacity in 2010 for market pulp, hardwood and softwood, is at 1.065 million tons. Turk says that the Baileyville plant's annual production capacity "is pretty significant to IGIC's 700,000 tons."

The Woodland mill has been a part of the region's economic and cultural fabric since it was built in 1905 by St. Croix Pulp and Paper. In 1964 it was purchased by Georgia Pacific and sold by them in 2001 to Domtar. In 2007 Domtar stopped operating the one paper machine at the facility and continued with hardwood pulp manufacturing. In 2009 the mill shut down for six weeks because of economic conditions in the pulp market. The shutdown caused great concern in the Downeast region for the longterm prospects of mill employees, their families, the secondary industries affected by the shutdown and the Port of Eastport, which at the time had only the mill as its client. The mill reopened in June 2009, and sales of pulp have been robust.

The Woodland mill was Domtar's only non-integrated hardwood market pulp mill. Domtar President and CEO John D. Williams says, "The majority of our market pulp activities is in softwood and fluff pulp grades.... We concluded that this transaction was in the best interest of the company, in terms of strategy, and for the mill as it continues the employment of its dedicated workforce."

Senator Susan Collins said in a prepared statement, "During our conversation, Mr. Williams assured me that this sale would protect the jobs of the mill workers and, in his judgment, bring new market opportunities to the mill because the new owner has a greater knowledge of Asian markets than does Domtar."

Said Senator Olympia Snowe, "I am encouraged that International Grand Investment Corporation includes leadership with experience in our state and it is my sincere hope that this transition will ultimately provide stability for the region and to each and every person at the mill."

In a prepared statement, Governor Baldacci commented on the sale, "I have appreciated Domtar's commitment to the Woodland mill.... I also want to welcome International Grand Investment Corporation, the mill's new owners, to Maine."

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ALBANY, NY- Longshore workers are taking on new tasks at the Port of Albany in an innovative arrangement with Norfolk Southern Railway.

Since midsummer, they've been processing truckloads of cargo destined for intermodal trains. The truck traffic comes off area expressways and the trailers are stored at the port until they're shipped out by rail to the Midwest, said Robert Cross, chairman of the Albany Port District Commission. 

Norfolk Southern in the past stored its truck trailers at the Kenwood railyard operated by CP Rail. But CP needed the space, and Norfolk Southern sought a new arrangement. At the same time, the recession had reduced traffic at the port, cutting the number of hours for longshore workers.

"There's not a lot of work, but we've been picking up at least 100 hours a week of man-hours," said Richard Hendrick, the port General Manager.

The longshore workers take care of the paperwork and check the shipments in and out. The trucks arrive at the port at all hours, seven days a week. Hendrick, who arranged the deal, estimates the port has handled more than 1,000 trucks so far.

"We're doing 250 trucks a week," he said. "They're storing them here on an overnight basis."

The next day, they're taken to the Kenwood yard adjacent to the port and loaded onto trains. Norfolk Southern covers the cost of the labor. The longshore workers are employed by Federal Marine Terminals, Inc., which handles terminal operations at the port. It's not clear what the long-term outlook is for the arrangement. Norfolk Southern is partnering with Pan Am Railways on a new intermodal yard in Saratoga County.

"We may end up losing this" to the new yard, Hendrick said. "But they might find it works at both locations. (The Port of Albany) is a little better situated," he added.

Norfolk Southern officials couldn't be reached for comment.

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The Port of Indiana-Burns Harbor is handling one of the biggest single cargoes in the port's 40-year history.

A 388-tonne electrical transformer recently arrived on Beluga Recognition from Cordoba, Spain, and was transloaded at the port onto the largest railcar ever to enter the facility.

The transformer was loaded onto a 20-axle railcar for its trip to Ottawa, Ill., for installation at the Exelon Corp's LaSalle County Nuclear Generating Station.

The combined weight of the railcar and transformer is over 650 tonnes and the transformer is currently being stored at the port until final delivery to the LaSalle County station in the near future.

The transformer was unloaded from the ship by the port's terminal operator, Federal Marine Terminals, and a 16-man crew from the International Longshoremen's Association. Specialized Rail Transport is handling the rail loading and transportation of the transformer to Illinois.

"We've seen a significant increase in project cargo shipments this year," said Peter Laman, port director at the Port of Indiana-Burns Harbor. "This port has all the components a shipper would want to see for handling large cargoes - a world-class terminal operator, one of the most productive longshoremen labour units on the Great Lakes, sufficient draft for large ships, transload capabilities between rail, ship, truck and barge, and plenty of indoor and outdoor storage. Just take a look around our port today - we've got over 15 acres of wind turbine components, and more are on the way."

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TORONTO - Imbrium(TM) Systems announced today that its innovative Jellyfish(R) filtration system is being used to treat stormwater runoff at three new locations in North America.

This breakthrough stormwater filtration technology, which is known for its unique high surface area filtration tentacles and its small footprint, is now operating at a commercial redevelopment site in Newton, New Jersey; a high school in Westwood, New Jersey; and a stevedoring facility in Thorold, Ontario.

Since introducing Jellyfish into the marketplace, the membrane filtration system has seen a meteoric rise in popularity among environmentalists, civil engineers, environmental engineers and commercial developers who are committed to protecting the environment.

"The Jellyfish filtration system is the industry leader in capturing fine sediment," says Scott Perry, Imbrium System's Group Manager. "The Jellyfish membrane technology, light-weight cartridges, easy maintenance and small footprint means lower overall costs for any project - which is exactly what private developers and municipalities want."

Federal Marine Terminals, a major port cargo facility operator in the Great Lakes region, chose Jellyfish for its unique ability to filter neutrally-buoyant particles, its design flexibility, its low whole life costs, and its ease of installation and maintenance. The company installed Jellyfish as part of a "green initiative" designed to protect nearby waters from potential pollutants.

Jellyfish's state-of-the-art technology, which has been interim certified by the New Jersey Department of Environmental Protection (NJDEP), is helping the Westwood Regional School District in New Jersey meet state stormwater management requirements. The Jellyfish is being used to protect groundwater from harmful contaminants in runoff from a high school parking lot.

Martin Realty Development & Construction Co. installed Jellyfish to treat stormwater at a commercial bank redevelopment site in New Jersey. The developer chose Jellyfish for its small size, its light weight and its superior treatment flow rate of 50 gallons per minute per cartridge. Cost was also an issue. "For us, using the Jellyfish system was more economical," says company president Steve Martin, "and it met NJDEP requirements."

Jellyfish is a remarkably compact system that allows three times the flow capacity with just one-third the footprint and one-fifth the weight of conventional filtration BMPs. Its signature membrane filtration tentacles trap over 80% of the total suspended solids (TSS), effortlessly capturing neutrally-buoyant particles, oils and saturated hydrocarbon-based particles.

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Federal Marine Terminals, Inc., a subsidiary of the Fednav Group that offers customized cargo management services at ports in Canada and the U.S., was incorporated on April 22, 1965.

Thank you to all FMT employees, customers, and partners past and present for contributing to our success for the past 45 years.

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We are pleased to announce the opening of our FMT Mobile (Calvert) operation, based at the Thyssen River Terminal in Calvert, AL.

Federal Marine Terminals (FMT) and ThyssenKrupp Steel USA & ThyssenKrupp Stainless USA (TKS&S) have entered into an agreement, effective January 15, 2010, whereby FMT will provide crane operations and stevedoring services.

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