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Maine shipyard loses out on Coast Guard contract

Bath Iron Works said it’ll be seeking a meeting with the Coast Guard.

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WASHINGTON – The Coast Guard awarded a contract to Eastern Shipbuilding Group, Inc., of Panama City, Florida, Thursday for the production of the lead Offshore Patrol Cutter (OPC) and up to eight follow-on cutters.

An announcement was made Thursday evening by the US Coast Guard, Bath Iron Works will not be awarded a government contract to manufacture Coast Guard cutter vessels.

Eastern Shipbuilding Group was selected to finalize its design and construct the first series of Nine Offshore Patrol Cutters to replace the Medium Endurance Cutters now in service. The contract is initially for nine Offshore Patrol Cutters (OPC), with a program goal to build a total of 25 at a cost of more than $10 billion.

“We worked hard to submit a bid to the Coast Guard which we hope will be competitive enough to prevail over two other smaller, more nimble shipbuilders”, wrote Fred Harris, president of BIW, in an August newsletter. The second phase (Phase II) was only to be awarded to a single shipbuilder and consists of the detailed design and construction contract.

Brian D’Isernia, Eastern CEO and Joey D’Isernia, Eastern President expressed their absolute confidence in the ability of ESG to secure this contract.

“The Offshore Patrol Cutter acquisition is the Coast Guard’s highest investment priority, and we are proud to announce this important milestone”, said Commandant of the Coast Guard Adm. Paul Zukunft.

Construction of the first vessel is expected to commence in 2018 with delivery anticipated for fiscal year 2021.

Eastern Shipbuilding is a family held shipbuilding company located in Panama City, Florida.

Eastern Shipbuilding now employs more than 1,500 employees.

During their patrol, the 270-foot Northland coordinated maritime migrant interdictions in support of the Department of Homeland Security’s Southern Border and Approaches Campaign, and the Coast Guard’s Western Hemisphere Strategy, which together strengthen security along the United States’ maritime borders. Since 2008, it has spent more than $75 million in upgrades and expanding its shipbuilding facilities.

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The Coast Guard conducted a thorough evaluation of the three proposals based on technical, management, producibility, and price factors.

An artist's conception of Eastern Shipbuilding's Offshore Patrol Cutter design