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Corvus Energy secures Panama Canal contract

Corvus Energy is supplying the battery systems for ten new hybrid tugs to be used on the Panama Canal.

The expansion of the Panama Canal has led to ever larger container ships, liquefied gas tankers, cruise ships, tankers and bulk carriers using the shipping link between the Pacific and the Caribbean, which requires the use of more powerful tugs and pilot vessels. With the acquisition of new vessels, the Panama Canal Authority ACP intends to improve its handling capacities, modernise its fleet and replace tugs that it has chartered from other shipping companies.

ACP has ordered ten hybrid tugs from the Spanish shipyard Astilleros Armón with options for a further ten similar vessels. Battery manufacturer Corvus Energy secured the order for the energy storage systems for the hybrid-electric vessels. The contract signed in October 2023 between the Panama Canal Authority and Astilleros Armón has a total value of US$150m for the first ten vessels, each being 30 m long tugs with a 70 ton bollard pull.

The tugs will be equipped with hybrid-electric propulsion systems to reduce emissions when towing the vessels through the Panama Canal and docking in Panamanian ports. Corvus Energy will supply 450 kWh Corvus Orca ESS battery storage systems.

Corvus Energy expects exponential increase in demand from the tugboat segment

Tugs were among the first vessels in the world to adopt battery technology due to their proximity to shore and the ability to recharge regularly. The first hybrid tugs were put into operation in 2009, followed by fully electric, zero-emission tugs in 2019. In North America, the first fully electric tugs are now coming onto the market. In Western Canada, both HaiSea Marine and SAAM Towage have recently commissioned their respective fleets of all-electric tugs. In the United States, the first all-electric tugboat, the Crowley eWolf, will soon enter service at the Port of San Diego, and several other U.S. ports are applying for federal funding under the Green Ports Program to invest in electric tugs and onshore charging infrastructure.

The electric tugs HaiSea Marine, SAAM Towage and Crowley eWolf are all equipped with a Corvus Energy system, as are more than 50% of hybrid-electric and all-electric tugs worldwide, according to the company. “As the maritime sector increasingly pursues initiatives to reduce carbon emissions, the number of hybrid-electric and all-electric tugs worldwide is expected to grow exponentially,” says Corvus, providing an outlook on the segment.

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