Big Project; More Jobs

By George Miller, Erie Times-News, Pa.

Jun. 19–Erie Shipbuilding Co. has started to build a tug-barge, a $55 million to $60 million project that’s nearly the length of three football fields.

The project is by far the firm’s largest since it started operations at the shipyard at the foot of Holland Street in late 2005.

Ned Smith, Erie Shipbuilding’s chief executive, said work on the project has already begun, although final details of the contract are still being negotiated.

“We feel very confident it’s going to get done,” he said. “We’re so confident, we’ve already started.”

He said the tug-barge will consume most of the shipyard’s time, although there could be some side projects.

“This will be our full-time project for the next 15 months,” he said.

Employment, now at just over 100, will increase to 150 to 175 as the project intensifies this fall, he said.

Work started six weeks ago on the 135-foot tug. Construction of the 740-foot barge is expected to begin in mid-July to early August.

The tug-barge, which will be done in late 2009, will haul limestone or iron ore pellets, or both, on the Great Lakes.

Smith said Erie Shipbuilding Co. is working to land at least one similar contract, and possibly two or three more, which would be a major boost to future business.

“The shipyard has a great future, and there is a lot to be done,” he said.

When Erie Shipbuilding Co. took over the former Litton Industries’ shipyard, no ships or boats had been built since 1973.

That dry spell ended in September when the company launched two barges — a 244-foot-long steel dump scow and a 165-foot steel-deck barge.

The company is now building its 10th and 11th deck barges.

Once they are finished, the shipyard will go “full bore” on the tug-barge, he said.

The tug-barge will have an articulated design. The tug fits into a notch in the stern of the barge, where hydraulic connections allow them to dip and rise independently, increasing maneuverability, especially in bad weather.

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