JACKSONVILLE, Fla. — Genesee & Wyoming has a new partner in its CG Railway joint venture, which ferries freight cars across the Gulf of Mexico between Mobile, Ala., and Coatzacoalcos, Mexico.
Grupo Mexico Transportes will purchase SEACOR Holdings’ 60% stake in CGR pending regulatory approval, G&W announced today.
G&W initially formed a joint venture with SEACOR in 2017 to own and operate CGR, which has provided rail-ferry service between the ports of Mobile and Coatzacoalcos since 2001. SEACOR’s Seabulk subsidiary will continue to operate the vessels.
“This further strengthens our partnership with GMXT, a leader in rail transportation services in Mexico with a strong presence in the southern U.S., including 13 ports between the two countries,” Michael Miller, CEO for G&W North America, said in a statement. “Their network access and expertise, coupled with G&W’s ability to deliver safe and customer-centric first- and last-mile rail service, will enhance CGR’s overall service offering while extending the reach of CGR’s efficient and secure rail service into and out of Mexico.”
G&W and SEACOR spent $100 million to build two new 590-foot rail ferries, each of which can carry 135 freight cars. The ships, billed as the world’s largest rail ferries, halved the transit time across the gulf to three days. The Cherokee entered service in September 2021, while the Mayan made its maiden voyage in March 2022.
The ferry service handles more than 10,000 carloads a year, including shipments of chemicals and plastics, fructose and refined sugar, steel, and pulp and paper.
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