GLDD fleet renewal: Galveston Island in, Terrapin Island out, new TSHD on the way

Great Lakes Dredge & Dock Corporation (GLDD) has released an update on their fleet renewal program.

The Galveston Island, the first of two newbuild hopper dredges, is in the water and is scheduled to be in operation the first half of 2023 as planned.

This new dredge is a 6,500-cubic-yard-capacity trailing suction hopper dredge (TSHD) which will support the modernization of Great Lakes’ dredging fleet.

The TSHD will be equipped with a direct high-power pump-ashore installation, dredging system automation, dynamic positioning and tracking, U.S. EPA Tier IV compliant engines, and have capabilities of running on biofuel to minimize the environmental impact.

The Tier 4-compliant engines significantly reduce the vessel’s climate footprint, while other incorporated features minimize turbidity and marine species entrainment.

Also, during the fourth quarter of 2022, the Company will retire the hopper dredge Terrapin Island, which has a 42-year working history.

This vessel was planned for retirement upon the Galveston Island delivery, but based on her age the Company has decided to accelerate her retirement to significantly reduce its operating, labor and maintenance costs and improve productivity for the overall fleet.

Work planned for the Terrapin Island will be delayed until another hopper dredge completes its regulatory drydock at the end of December.

The retirement of the Terrapin Island will result in a non-cash write-off of approximately $8 million in the fourth quarter of 2022.

The hopper fleet renewal program will be complete in 2025 with the delivery of the sister dredger to the Galveston Island, at which time Great Lakes will have the largest and most modern hopper fleet in the US.