July 22, 1999

IMMEDIATE RELEASE

Duluth, Minn., U.S.A.— If iron ore is the cargo king in the Port of Duluth-Superior, western coal has become the crown prince.

Although iron ore shipments have been Duluth-Superior’s tonnage leader for most of the past century, low-sulfur coal has become firmly entrenched as port’s No. 2 commodity---and continues to climb.

Year-to-date tonnage figures reported by the Seaway Port Authority of Duluth show coal shipments through June totaled 5.4 million metric tons, 41 percent of the port’s total traffic and only slightly behind outbound iron ore (5.5 million tons and 43 percent of the total).

All cargo through June was slightly more than 13 million tons, two percent above the 12.9 million for the same period a year ago and five percent ahead of the five-year average of 12.5 million.

Bulk grain, historically the port’s third-leading commodity, stood at eight percent of the total, 1.04 million tons.

Clean-burning low-sulfur coal began moving through the port from Montana and Wyoming in 1976 with the opening of the Midwest Energy Resources Energy Co. terminal in Superior.   By five years ago, the facility broke a port coal-handling record set in 1923 when all coal was inbound.  The record has been broken for five consecutive years and Midwest appears headed for another record year in 1999.

Midwest now moves more tonnage annually than any other single dock operation in Duluth-Superior, including the two large ore docks operated by the Duluth, Missabe & Iron Range Railway and the Burlington Northern Santa Fe.

Coal, shipped to both U.S. and Canadian destinations, and overseas grain shipments led a port increase in both international and domestic commerce.   Iron ore was down almost 10 percent to both U.S. and Canadian ports.

Grain exports were up through June despite a soft world market.   Port officials credit the increase to low ocean vessel freight rates compared with delays and high barge rates on the Mississippi River.

Total international trade of 3.7 million metric tons placed it three percent above the 3.6 million tons reached during the same period in 1998.  Domestic trade of 9.4 million tons represented a one percent increase from the 9.3 million tons reached last year.

Vessel calls held nearly even with last year’s figure with 357 vessels visiting the Port through June compared with 364 in 1998.  Making up that figure were 226 U.S.-flag, 91 Canadian-flag and 40 overseas vessels.

CONTACT: Ray Skelton, Environmental & Government Affairs Director

Lisa Marciniak, Port Promotion Manager, 218-727-8525