04
Fri, Apr

Caterpillar Marine and SAAM Towage in MOU on electrification and alternative fuels

Caterpillar Marine and SAAM Towage in MOU on electrification and alternative fuels

World Maritime

Caterpillar Marine has entered a memorandum of understanding (MOU) with SAAM Towage to assess and implement alternative power solutions, including electrification and alternative fuels such as methanol and ethanol, for the SAAM

Written by Nick Blenkey
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SAAM Toage tug

Photo: SAAM Towagr

Caterpillar Marine has entered a memorandum of understanding (MOU) with SAAM Towage to assess and implement alternative power solutions, including electrification and alternative fuels such as methanol and ethanol, for the SAAM tugboat fleet. The first SAAM Towage tugboat powered by Cat 3500E dual-fuel methanol marine engines is anticipated to embark on its first job in 2026.

Headquartered in Santiago, Chile, SAAM Towage is a leader in towage and maritime services at more than 90 ports spanning 13 countries. With more than 150 of its fleet of nearly 200 tugs powered by Caterpillar Marine engines, SAAM Towage works closely with Cat to leverage the latest technologies to enhance fleet performance. The MOU builds on this strong foundation to intensify the towage company’s continued investment in new propulsion and power technologies that align with the global maritime industry’s carbon reduction efforts.

MOU with SAAM Toage hanshake shot
L to R: Pablo Cáceres, director of sustainability and development at SAAM Towage, Brad Johnson,vice president and general manager at Caterpillar Marine.

“We’re committed to empowering SAAM Towage to reduce fuel consumption and greenhouse gas (GHG) emissions during idle time while enhancing the operational efficiency of their fleet,” said Brad Johnson, vice president and general manager at Caterpillar Marine. “Maritime electrification and the use of alternative fuels offer significant opportunities for the tugboat segment, depending on operators’ needs.”

“Adopting alternative energy sources that reduce GHG emissions, such as electrification and lower carbon intensity fuels, positions us at the forefront of maritime innovation,” said Pablo Cáceres, director of sustainability and development at SAAM Towage. “We’re excited to forge this strategic alliance with Caterpillar Marine to help pioneer sustainable tug power options as we support our operational and climate-related objectives.”

Supported by the global Cat dealer network, the collaborative initiative aims to advance SAAM Towage’s climate-related objectives across its Americas operations. SAAM Towage company currently operates a select number of electrified Cat-powered tugs in British Columbia, Canada and is preparing to receive its third tugboat for SAAM operations in Chile. SAAM Towage anticipates expanding its electric fleet with Caterpillar’s marine-certified battery solutions under the MOU.

Additionally, the MOU enables SAAM Towage to augment its use of alternative fuel Caterpillar Marine engines with the methanol dual-fuel Cat 3500E. The engine is optimized to achieve high methanol substitution rates over a wide range of load factors, including the low load ranges used most by tugs.

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