C&C Transports S.r.l., the new joint venture for the steel industry



July 06, 2022

Business Unit

Tramp Agency

The Fratelli Cosulich Group is pleased to announce the foundation of C&C Transports S.r.l., a new entity that will provide solutions tailored to the evolving dynamics in the steel industry. Through this newly formed company, a barge (Name P7 – Dimensions 81x24 meters, Loading capacity 5,500 tons) will shuttle between the ports of Monfalcone and San Giorgio di Nogaro for the transportation of slabs destined for the rolling mills in the area. Established on a parity basis between the parties, based on a long and fruitful collaboration with the Ocean Team Group led by the Cattaruzza Family, the name of the company pays tribute to both families.

C&C Transports is at the center of an ever-evolving project, providing logistic solutions to adapt to the needs of companies operating in the steel industry, especially in the Aussa Corno area. The Fratelli Cosulich Group, always working with the goal of reducing or solving the challenges faced by our clients, has established excellent relationships with steel industry companies in recent years, becoming business partners.

C&C Transports represents the evolution of an operational model, that of "allibo" (lightening), which was achieving success and was partially interrupted by the consequences of geopolitical events since the beginning of 2022. The original model arose after a careful analysis of logistical problems for the rolling mills in the area, which faced historical issues due to the morphology of the access channel to Porto Nogaro, leading to increased costs and time. Before the introduction of the model, 100% of slabs (estimated at about 1.5 million tons annually) were unloaded in Monfalcone and transported by truck to San Giorgio di Nogaro, creating a flow of about 100,000 truck trips annually. Unfortunately, these trips had negative repercussions not only on traffic but also on road safety and, above all, the environment.

The solutions brought by the Cosulich Group innovatively overcame these difficulties: through ships of about 15,000 tons, slabs were loaded at the port of Mariupol, arriving at the Port of Monfalcone. Part of the cargo was unloaded on-site, and once lightened, the ships reached the required draft to cross the channel (about 5.5 meters). The dimensions of the ships were carefully studied and possessed essential requirements in terms of length and width for crossing the channel of San Giorgio di Nogaro, continuing their journey to the nearest point to the relevant rolling mills.

This "allibo" model was recognized by the parties as a winning solution and received the support of the Friuli Venezia Giulia Region, which also allocated funds for processes with positive environmental impact. The Fratelli Cosulich Group is very proud to acknowledge that the model led to a 35% reduction in annual truck trips, with all the associated positive outcomes.

Following geopolitical developments in early 2022, the demand for slabs is no longer satisfied by Ukraine but by third countries such as China, Indonesia, Brazil. This requires ships with different characteristics (average payload of 40,000 tons) reaching the port of Monfalcone. Despite the paradigm shift, the Fratelli Cosulich Group's Tramp department worked with its network to create new solutions, leading to the decision to establish C&C Transports S.r.l. to propose them to the steel sector.

The Ocean Team Group led by the Cattaruzza Family (with Dr. Michela Cattaruzza serving as President of the newly formed company) has built over time an extensive activity with towing as the core business, making it a reference point in the Adriatic Sea area with a significant fleet of tugs, barges, and fueling stations in the ports of Trieste, Monfalcone, Porto Nogaro, but also abroad in the ports of Koper and Bar. The new joint venture will utilize the resources and technical expertise of the Ocean Team Group and will be able to manage the aforementioned volumes, transloading a portion of the slab cargo onto barge P7. It will be towed by the means provided by the Ocean Team Group and managed by the expertise of the Fratelli Cosulich Group's Tramp department (comprising the personnel of the historic company Marlines, which joined the Group at the beginning of 2021).

Through the new joint venture, it will manage the aforementioned volumes, transloading a portion of the slab cargo onto barge P7, which will be towed by the means provided by the Ocean Team Group and the expertise of the Fratelli Cosulich Group's Tramp department, with personnel from the historic company Marlines that joined the Group in early 2021.

Once transloaded, the slabs will cross the Porto Nogaro channel and be distributed to the rolling mills. The goal is to transport 500,000 tons annually, reaching the same volume as the original "allibo" model. Thanks to the network and collaboration with regional institutions, we are determined to continue eliminating as much as possible the environmental and road impact that supports a central activity not only for the local economy but for the entire national system.

It is worth noting that the Fratelli Cosulich Group has invested significantly in this important sector, not only through the aforementioned logistic services but also, and above all, through the shares purchased in 2020 in Trasteel Holding. The Group is directly involved in one of the four rolling mills in Monfalcone, Officine Tecnosider, where it provides logistic services, creating successful synergies.

The Group is determined to continue its journey alongside steel industry companies, and thanks to the new collaboration with the Cattaruzza Family, we are confident that in the future, we can expand our services and achieve important goals with this new operational model.