THUNDER BAY — The owners of the Thunder Bay shipyard have landed a contract that will result in the idled yard mobilized for the winter.
Hamilton-based Ontario Shipyards Inc. will use local labour to do repair work on the bulk carrier Federal Yoshino.
The ship, which sails under the flag of the Marshall Islands, was recently moved to the yard near the mouth of the Current River.
According to the Transportation Safety Board of Canada, the Federal Yoshino was damaged in late November when its stern struck a submerged portion of a wharf on the Kam River after it sustained "total engine failure."
The 625-foot (190.4 metres) ship was in the process of leaving the port with a cargo of potash.
A TSB report on the incident lists the degree of damage as major, but provides no details.
"It's a unique scenario. We don't usually have foreign-flagged vessels winter in the Great Lakes...We've been called upon to do some emergency repairs," said Ted Kirkpatrick, director of business development and government relations for Ontario Shipyards.
Port of Thunder Bay chief executive officer Chris Heikkinen said he's pleased to see the shipyard back in business, even if it's only for one job.
Ontario Shipyards temporarily suspended operations in Thunder Bay last winter, citing market conditions and a lack of skilled labour.
"It's a great thing that we have that asset there and they're able to get it going when needed, for sure," Heikkinen said. "It's a really good news story for the community and for the industry as well. This is sort of a site in the right direction. We see that not only are they willing to continue utilizing the site, but they're also going to be utilizing some local labour."
The company stated earlier this year that it's committed to finding work for the Thunder Bay yard, and still sees it playing a key role in shipbuilding.
In an interview Monday, Kirkpatrick said "to have an opportunity to utilize it is great, and it will provide significant local employment through the winter, which is fantastic."
He wasn't able to say yet how many workers will be employed on the project.
"It's a fluid situation. The vessel's up, we're going to assess it, then we'll wait for guidance from the owner as to what the extent of the repairs will be. But it's important to focus on the fact that the Thunder Bay shipyard is a strategic location, and having that capability there and being able to call upon it in situations such as these just highlights how important it is to have shipbuilding and ship repair capacity in Ontario."
Last June, when the hull of the Great Lakes carrier Michipicoten ruptured on Lake Superior, the vessel was initially brought to Keefer Terminal, but then had to be taken to a shipyard in Superior, Wisc. for repairs.
In August, the Ontario government announced a $10 million contribution to Ontario Shipyards to help it train workers for its facilities in Hamilton, St. Catharines and Thunder Bay.
The government said the company would deliver training, re-skilling and up-skilling programs for careers in the millwright, welding, electrical and painting trades in the three locations.
But Kirkpatrick said none of that money is currently allocated specifically for training in Thunder Bay.
"We do have it if we need it, and I would imagine that this particular scenario will merit some funding being allocated to the Thunder Bay shipyard. I can't say that for sure, but we are hopeful we will be able to do that."
He reiterated that Ontario Shipyards continues to consider the Thunder Bay facility an important asset.
"That's why we have not divested from it. It is a strategic asset, and it's there for situations like these. Obviously it would be great to do more work up there, and I hope this situation will aid that, in that it highlights the ability to spin that capacity up more or less at a moment's notice. So it does bode well for the future of the shipyard."