Great Lakes Fleet Renewal Program on Schedule with the Launch of the Galveston Island Last Week
December 05 2022 - 4:02PM
Great Lakes Dredge & Dock Corporation (“Great Lakes” or the
“Company”) (NASDAQ: GLDD), the largest provider of dredging
services in the United States, provided today 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 which will support the modernization
of Great Lakes’ dredging fleet. The dredge 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.
The upcoming delivery of the Galveston Island enables the
Company to continue the rationalization of its older assets. 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 ship to the Galveston Island, at which
time Great Lakes will have the largest and most modern hopper fleet
in the US.
Lasse Petterson, President and Chief Executive Officer of Great
Lakes commented, “After implementing our restructuring plan in
2017, we have invested in both productivity upgrades to our best
performing vessels and executed on our new build program. This has
provided us with additional capacity and improved efficiencies and
will allow us to retire some of our older dredges and rationalize
some of our older support equipment. These strategic moves will
have a positive impact to our emissions footprint and our
competitiveness in the coastal protection and maintenance markets
as well as address the specific needs in the growing offshore wind
market.”
The Company Great Lakes Dredge
& Dock Corporation (“Great Lakes” or the “Company”) is the
largest provider of dredging services in the United States. In
addition, Great Lakes is fully engaged in expanding its core
business into the rapidly developing offshore wind energy industry.
The Company has a long history of performing significant
international projects. The Company employs experienced civil,
ocean and mechanical engineering staff in its estimating,
production and project management functions. In its over 132-year
history, the Company has never failed to complete a marine project.
Great Lakes owns and operates the largest and most diverse fleet in
the U.S. dredging industry, comprised of approximately 200
specialized vessels. Great Lakes has a disciplined training program
for engineers that ensures experienced-based performance as they
advance through Company operations. The Company’s Incident-and
Injury-Free® (IIF®) safety management program is integrated into
all aspects of the Company’s culture. The Company’s commitment to
the IIF® culture promotes a work environment where employee safety
is paramount.
Cautionary Note Regarding
Forward-Looking Statements Certain statements in this
press release may constitute “forward-looking” statements as
defined in Section 21E of the Securities Exchange Act of 1934 (the
“Exchange Act”), the Private Securities Litigation Reform Act of
1995 (the “PSLRA”) or in releases made by the Securities and
Exchange Commission (the “SEC"), all as may be amended from time to
time. Such forward-looking statements involve known and unknown
risks, uncertainties and other important factors that could cause
the actual results, performance or achievements of Great Lakes and
its subsidiaries, or industry results, to differ materially from
any future results, performance or achievements expressed or
implied by such forward-looking statements. Statements that are not
historical fact are forward-looking statements. These cautionary
statements are being made pursuant to the Exchange Act and the
PSLRA with the intention of obtaining the benefits of the “safe
harbor” provisions of such laws. Great Lakes cautions investors
that any forward-looking statements made by Great Lakes are not
guarantees or indicative of future events.
Although Great Lakes believes that its plans,
intentions and expectations reflected in this press release are
reasonable, actual events could differ materially. The
forward-looking statements contained in this press release are made
only as of the date hereof and Great Lakes does not have or
undertake any obligation to update or revise any forward-looking
statements whether as a result of new information, subsequent
events or otherwise, unless otherwise required by law.
For further information
contact: Tina BaginskisDirector,
Investor Relations630-574-3024
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/e53f3d6b-f708-41ba-a026-711497f62a87
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