The deal involved investment of government cash worth CAD 40m ($32m), it said.

The 30,300-gt Atlantic Vision (built 2002) will stay on until November 2017, serving routes connecting Newfoundland and Labrador with the rest of Canada.

“Chartering this vessel provides Marine Atlantic with better options for fleet configuration and helps improve the service to Port aux Basques, Argentia and North Sydney,” it said.

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