HOPA Ports Seeks to Build New Port at Sault Ste. Marie

By Tom Ewing  |  Investment, Maritime Initiatives, Ports & Terminals
In September, the Hamilton Oshawa Port Authority (HOPA) and the city of Sault Ste. Marie, Ontario, announced a partnership to develop a multimodal port and trade corridor connecting northern Ontario to southern Ontario. HOPA and city officials referred to it as a “transformative infrastructure initiative.” The new linkup is called the “Sault to the South Trade Corridor.” 

The new port initiative is just getting underway. It’s been a long-time goal of the city to have a major commercial port as part of its regional infrastructure. The new partnership establishes a path forward to help reach that goal. 

Sault Ste. Marie, ON Mayor Matthew Shoemaker and HOPA Ports President/CEO Ian Hamilton

“We’re still in the early stages of the initiative,” said Ian Hamilton, president and CEO of HOPA Ports. “Stakeholder consultation is actively underway, led jointly by the city of Sault Ste. Marie and HOPA Ports.” He said that the preliminary reaction from government and industry has been supportive. 

Strengthening Canada’s Trade 

HOPA Ports is the largest port network on the Great Lakes. It includes three ports on the western end of Lake Ontario: Hamilton, Oshawa and Thorold. The fourth port, Port Colborne, is at the eastern end of Lake Erie. The new port will greatly expand HOPA’s reach as Sault Ste. Marie is 320 miles to the northwest, between Lake Huron and Lake Superior. 

Currently, HOPA’s multimodal hubs span 1,400 acres and support a range of industrial activity, connecting marine, rail and road transportation. The commodities handled across HOPA’s network are tied to $6 billion in economic activity and support 40,000 jobs in Ontario. 

Officials hope the new corridor will serve as a strategic asset to strengthen Canada’s internal trade and export networks, unlock new economic opportunities, and build industrial capacity in key sectors, including mining, forestry, steel, advanced manufacturing and agriculture. 

Hamilton said the new geographic connection will link industrial bases like Windsor, Port Colborne, Hamilton and Montreal to form powerful intra-provincial links between northern Ontario’s resource base and Canada’s largest industrial and consumer markets. Once cargo moves to HOPA’s eastern region, it can continue to more distant U.S. and European markets. 

Hamilton said initial research is starting with an analysis of the available property and infrastructure assets that could support port development. This analysis, he said, includes evaluating deepwater docking capabilities, identifying potential roll-on/roll-off (ro-ro) sites and assessing existing rail infrastructure. 

Possible Location 

One potential site is within Algoma Steel’s footprint. Algoma is a major steel producer in Sault Ste. Marie, with 70% of its customers within 500 miles of its Algoma plant. Algoma already has a deep-water port and rail links at the site. 

When the agreement was announced, Michael Garcia, Algoma’s CEO, commented, “Having Algoma Steel’s site under consideration as a port location positions us as a central player in regional economic diversification, beyond steelmaking, and it underscores our role as an anchor in nation-building infrastructure and highlights Sault Ste. Marie’s importance as a gateway for Canadian industry.” 

Hamilton said HOPA Ports is in active discussions with Algoma Steel to explore a collaborative approach that serves all parties. “HOPA and Algoma are working to identify areas within the steelmaker’s existing footprint that may be suitable for development as a multi-user public port,” he said. 

Potential Environmental Impacts 

Another challenge that needs to be better understood pertains to evaluating environmental issues, more specifically potential soil/property contamination. Hamilton said that HOPA has extensive experience in repurposing brownfields, returning such property for productive industrial and transportation uses. “It is HOPA’s goal to leverage that expertise to unlock new opportunities in Sault Ste. Marie while respecting the operational needs of Algoma Steel and supporting broader regional development,” he said.  

Hamilton said that right now it is too early to have detailed knowledge of the site, but it is a legacy industrial site not dissimilar to the other sites HOPA has experience with in Hamilton and Niagara. 

A comprehensive business plan is expected to be complete in January, addressing key factors such as location, operational models, market potential, infrastructure funding requirements and potential governance models. 

 Images courtesy of HOPA Ports

 

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