SAAM Towage and Caterpillar Marine have signed a Memorandum of Understanding (MOU) to evaluate and implement alternative power solutions, including electrification and alternative fuels such as methanol and ethanol, for the tug fleet, according to SAAM's release.
As part of this initiative, the companies are collaborating on a new dual-fuel engine—the Cat® 3500E—designed to run on methanol. Testing is set to begin this year, and the first deployment in tugboats is planned for 2026.
SAAM Towage operates in more than 90 ports across 13 countries in the Americas, with a fleet of over 150 tugs powered by Caterpillar Marine engines. The company has already deployed two electric tugs with CAT engines in British Columbia (Canada) and is set to receive its third for operations in Chile.
Caterpillar Marine vice president and general manager Brad Johnson commented, “We are committed to supporting SAAM Towage in reducing fuel consumption and greenhouse gas (GHG) emissions while improving its fleet’s operational efficiency.”
Through this agreement, SAAM Towage and Caterpillar Marine aim to integrate low-emission technologies into the maritime sector, contributing to industry-wide decarbonization efforts.
SAAM Towage is a provider of marine towage services, operating in over 90 ports across 13 countries in the Americas. The company has a fleet of more than 150 tugboats and focuses on innovation and sustainability in maritime operations. SAAM Towage is actively investing in alternative energy sources, including electric and dual-fuel tugboats, to reduce emissions and improve efficiency.
Caterpillar Marine, a division of Caterpillar Inc., specializes in designing and manufacturing marine propulsion systems, including engines, generators, and advanced energy solutions for the global shipping industry. The company is actively involved in developing lower-emission technologies and alternative fuel solutions to support the maritime industry's transition toward sustainability.