February 16, 2021

Philly Shipyard Awarded New Contracts

Philly Shipyard has been awarded a contract to participate in an industry study for the development and design of the U.S. Navy Cable Ship T-ARC(X) Program – a replacement for the Navy’s only undersea cable installation and repair ship, USNS ZEUS (T-ARC 7). The ship’s primary mission will be to transport, install, retrieve, and repair undersea cables and equipment, with many additional capabilities including ocean surveys and deployment of unmanned underwater vehicles (UUVs).

Philly Shipyard News

Press Release

Philly Shipyard Awarded Repair Contract for USNS Charlton

Philly Shipyard, Inc., the sole operating subsidiary of Philly Shipyard ASA (OSE: PHLY), today announced it has been awarded a contract by Patriot Contract Services – the ship manager on behalf of the U.S. Navy’s Military Sealift Command (MSC) – for the repair of the USNS Charlton (T-AKR-314). The repairs will be completed in the Q3 2021 timeframe.

“This is a great win for our shipyard and demonstrates our ability to acquire substantial repair jobs going forward,” said Steinar Nerbovik, Philly Shipyard’s President and CEO. “We look forward to working with Patriot as we continue on our journey as a strong partner for government projects.”

The USNS Charlton is one of MSC’s large, medium-speed, roll-on/roll-off ships. With a displacement of 69,000 tons and a length of 950 feet, the vessel carries prepositioned U.S. Army tanks, armored personnel carriers, tractor-trailers, and other equipment and supplies to potential areas of conflict around the world. It also provides surge sealift support of remote military actions.

This is another positive step in the company’s ambition to establish a mixed platform of ship maintenance, repair, and conversions, along with ship construction for the commercial and government new build markets.  It also marks the third government repair contract that Philly Shipyard has been awarded since the end of 2019 and their first contract with Patriot as ship manager.

“Patriot is excited to further support U.S. shipyards on behalf of MSC and, specifically, Philly Shipyard’s growth platform and deepening domestic expertise,” said Ryan Libhart Pereyda, Patriot’s Principal and CEO.

Metal Trades Workers at Philly Shipyard Cut First Steel on NSMV

NSMV I Start of Fabrication Ceremony – December 15, 2020

Watch the video here

TOTE Services and Philly Shipyard achieved the first construction milestone moving toward a new era in maritime education with the cutting of steel for the new National Security Multi-Mission Vessel (NSMV) at Philly Shipyard. Includes remarks by Jeff Dixon, President, TOTE Services; Rear Admiral Mark H. Buzby, Administrator, U.S. DOT MARAD; and Steinar Nerbovik President & CEO, Philly Shipyard.

On December 15, 2020 Metal Trades Workers at the Philly Shipyard began construction of the new National Security Multi-Mission Vessel (NSMV). The NSMV will be used as a training facility for America’s future mariners and, as needed, to provide humanitarian assistance and disaster relief missions.

“This new state-of-the-art modern school training ship will be a tremendous addition to the U.S. Flag fleet, be available to respond to disaster relief efforts, and support about 1,200  jobs in Philly Shipyard,” said U.S. Secretary of Transportation Elaine Chao.

“Philadelphia Metal Trades Council President Lou Agre and I spent the better part of a year working to get this ship built at the Philly Shipyard by Metal Trades Workers — the best damn shipbuilders in the world,” said Metal Trades Department President Jimmy Hart. “It is a great day seeing the first piece of steel cut.”

In April, TOTE Services, LLC, was contracted to be the Vessel Construction Manager for the NSMV program. TOTE then contracted Philly Shipyard, Inc. to construct up to five NSMVs.

“TOTE Services is proud to have been awarded a contract by MARAD to be the vessel construction manager for this new, state-of-the-art training ship that will help provide qualified officers to support the domestic maritime industry,” said TOTE Services President Jeff Dixon. “Each of us at TOTE Services is thrilled to be part of this historic investment in the U.S. maritime industry, and are working closely with MARAD and Philly Shipyard to advance this new class of vessel built by union labor in a U.S. shipyard with U.S.-made steel and U.S.-made engines.”

Steinar Nerbovik, Philly Shipyard President and CEO said: “This is a tremendous honor and recognition of our history of building high quality ships over the last 17 years. This project begins a new chapter in our history, a new customer and the first in series, which is a challenge we are eager to meet. I am confident that our workforce will deliver ships that the state academy cadets will be proud to sail for many years to come.”

The NSMV program is an important investment in the U.S. shipbuilding industry, which supports nearly 400,000 American jobs.

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