Maryland Ship Scrapper Awarded Contract for Two Vessels

Two vessels will be shipped to Sparrows Point facility by end of year.

A shipyard in Baltimore Harbor will be paid $2.3 million to dismantle two aging ships from the U.S. Department of Transportation's James River Reserve Fleet in Virginia under a pair of contracts signed by Transportation Secretary Norman Mineta Sept. 13.

 

North American Ship Recycling, a subsidiary of Barletta Willis LLC, will get two retired ships, the Lauderdale and the Mormacmoon, by the end of this year. The company is expected to hire 50 people to do the work, nearly doubling its existing payroll, Mineta said. The federal contracts are the first for North American Ship Recycling.

 

Mineta added the contracts managed by his department's Maritime Administration could lead to more work for the company if the first two jobs go as planned.

 

Earlier this year Marine Metals of Brownsville, Texas was awarded contracts for two ships and ESCO Marine of Brownsville, Texas was awarded contracts for three ships earlier this summer.

 

The majority of the steel from the ships is expected to be recycled at a local business located in Sparrows Point, he said.

 

Since 2001, 25 obsolete ships have left the mothballed fleet to be scrapped, with an additional 60 ships awaiting the same fate. The federal government has given the U.S. Maritime Administration until September 2006 to get rid of the rest of the fleet.