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SAFETY4SEA

Philly Shipyard to build another maritime training vessel after receiving $300m award

by The Editorial Team
April 18, 2022
in Shipping
Philly Shipyard to build another maritime training vessel after receiving $300m award

Credits: Philly Shipyard / Above image is being used for illustration purposes only.

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Philly Shipyard, Inc. (PSI) announced the authorization by the U.S. Department of Transportation’s Maritime Administration (MARAD) and subsequent order from TOTE Services for the construction of one additional National Security Multi-Mission Vessel (NSMV).

As informed, the construction of this new vessel (NSMV 5) is expected to commence in 2023. The contractual delivery date for NSMV 5 is set in 2026. The vessel will replace the aging training vessel at California State University Maritime Academy in Vallejo, California.

The initial award included the first two vessels in the NSMV program (NSMVs 1 and 2). The next two vessels in the NSMV program (NSMVs 3 and 4) were ordered in January 2021.

The award for NSMV 5 is valued at approximately USD 300 million, bringing the total order intake under the contract for the five-ship program to be approximately USD 1.5 billion.

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As announced in November 2021, PSI’s order backlog also includes a contract from Great Lakes Dredge & Dock Company, LLC to construct one Jones Act-compliant Subsea Rock Installation Vessel (SRIV), with a contract value of approximately USD 200 million. The SRIV will be constructed in between NSMVs 4 and 5.

It is truly a great day for Philly Shipyard as we are now responsible for building the complete series of the NSMV program – a physical symbol of MARAD’s investment in the future of maritime education and training

…said Steinar Nerbovik, President and CEO of Philly Shipyard noting that “The NSMV program continues to mark a turning point in our Company’s transformation to serve both commercial and government markets.”

I would like to thank both TOTE Services and MARAD for their continued support. This award increases our order backlog to six vessels, which includes five NSMVs and one SRIV. Together with our union partners, workforce, and supplier network, our current backlog reinforces that shipbuilding is here to stay in Philadelphia

…Mr. Nerbovik continued.

The NSMVs will be owned by MARAD, which developed the initial concept for the design. Construction of the NSMVs will not require any third-party financing.

Tags: CaliforniaTOTEUS MARAD

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