Bay Ferries is exercising its option on the lease of The Cat and will use the high-speed ferry again in 2018.

When the company was awarded the contract in 2016 to operate the service between Yarmouth and Portland, Maine, its lease with the American navy for the ship was for two years, with options to renew in each of two subsequent years.

The service saw increased ridership this season over its first, going from 35,551 passengers in 2016 to 41,623 this year, but was marred this season by engine problems that resulted in a reduced number of crossings. Transportation Minister Lloyd Hines said Wednesday the service lost almost 25 per cent of its crossings this season.

Engine woes lead to cancellations

In July, the ferry's schedule was reduced from six round-trip crossings a week to five when the ship's starboard outer main engine stopped working. Plans for daily round-trip crossings in August were also curtailed as the engine problems added an hour to the trip.

Additional engine problems, which were repaired during the season, caused further cancellations in August. All engine repair work has and will be covered by the manufacturer.

Bay Ferries CEO Mark MacDonald said in an email that repair work on the ship's starboard outer main engine will start on Oct. 30 and is expected to take until the end of March. Aside from that work by the engine's manufacturer, the ship will also undergo her regular winter maintenance program, said MacDonald.

'We're onto something here'

Despite the engine problems, Hines said the ridership increase "sends a big message."

"It tells us that we're onto something here," he said.

Hines said he's comfortable with what he's hearing from Bay Ferries about the planned repairs for the ship and the fact the manufacturer is backing up its product.

No ask for more money

So far there is no indication the company will be looking for more money, although the minister cautioned all information about this season isn't in yet. Still, Hines said he doesn't expect a request to come, given that there wasn't one last year with fewer passengers.

The projected provincial expense on the service for this season is $9.4 million.

The subsidy for the first season was $10.2 million. In 2015-16, the province spent $13.1 million toward the startup of the service.