Port owner inks deal to boost Nunavut supply chains

The Port of Churchill’s owner has inked a deal with an Inuit-led company to improve its Nunavut supply chains.

Arctic Gateway Group announced today a new memorandum of understanding with Nunavut Sealink and Supply Inc. (NSSI), a sealift carrier that transports general cargo and fuel.

The two groups will look to launch a Churchill-origin sealift as early as next year. They’ll work together on rail, port and sealift supply chains reaching Nunavut’s Kivalliq region.

Building materials, construction equipment and trucks once flowed through the northern port to Nunavut.

“The relationship between Churchill and Nunavut was disrupted when the rail line fell into disrepair,” Chris Avery, Arctic Gateway Group’s president, said in a news release.

“Today, with the Hudson Bay Railway operating reliably… we are ready to rebuild northern connections.”

Arctic Gateway Group, which is comprised of 41 Indigenous and Bayside communities, took ownership of the rail line and port in 2018. It’s since focused on upgrading the infrastructure.

Previous owner Omnitrax suspended service on the rail line indefinitely after portions of the track bed had been washed away in 2017.

Nunavut Sealink and Supply Inc. will look for ways to ship resupply goods for Nunavummiut through Churchill.

“Our shareholders know the value this route once delivered to communities across the Kivalliq,” David Kakuktinniq, a NSSI board member, said in a news release.

“NSSI believes it is important to pursue options that could enhance northern shipping flexibility and contribute to the Port of Churchill’s revival.”

NSSI is recognized as Arctic Gateway Group’s “preferred carrier for sealift opportunities” originating from Churchill through the agreement, the news release reads.

The MOU also entails a joint steering committee that’ll cover transport operations, port infrastructure and cargo handling improvements, business development of Nunavut communities and regional industry, along with proposals for co-investment in Arctic corridor infrastructure.

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In September, Arctic Gateway Group signed a memorandum of understanding with Sakku Investments Corporation to increase shipping and economic activity with the Kivalliq region.

Sakku is the development arm of the Kivalliq Inuit Association. It and Arctic Gateway Group aim to grow their respective communities’ economies in transportation, energy and telecommunications and infrastructure, among other sectors.

Five months ago, Arctic Gateway Group made a deal with the Saskatchewan and Manitoba governments to build port capacity and ship Saskatchewan goods through.

The Manitoba government has funnelled $87.5 million into the rail line and port. Ottawa has spent more than $300 million.

gabrielle.piche@winnipegfreepress.com

Gabrielle Piché
Reporter

Gabrielle Piché reports on business for the Free Press. She interned at the Free Press and worked for its sister outlet, Canstar Community News, before entering the business beat in 2021. Read more about Gabrielle.

Every piece of reporting Gabrielle produces is reviewed by an editing team before it is posted online or published in print — part of the Free Press‘s tradition, since 1872, of producing reliable independent journalism. Read more about Free Press’s history and mandate, and learn how our newsroom operates.