The Coast Guard on Friday exercised its agreement alternatives with Eastern Shipbuilding Group to begin building of the lead offshore patrol cutter (OPC) in Panama City, Florida.

Eastern Shipbuilding has actually likewise obtained the permission to obtain long lead-time products for the 2nd OPC.

The Coast Guard in October 2016 granted ESG the agreement to layout as well as construct the very first collection of 9 Offshore Patrol Cutters, noting largest-ever vessel purchase agreement ever before granted in the background of the Coast Guard.

The OPCs will certainly change the aging solution’s aging fleet of 29 tool endurance cutters, a few of which are greater than half a century old. The Coast Guard prepares to construct an overall of 25 OPCs, standing for a complete financial investment of even more $10 billion.

The overall worth of the alternatives revealed Friday is $317.5 million, the Coast Guard stated.

In enhancement to covering manufacturing of the lead OPC, the agreement likewise covers the first order of elements as well as products essential to sustain the future building of the 2nd OPC by obtaining prop as well as guiding elements, aquatic diesel motor, the ship incorporated control system, switchboards, as well as generators.

Delivery of the lead OPC is presently prepared for 2021.

“Recapitalization of the Coast Guard’s aging fleet of vessels, aircraft, systems and support infrastructure remains one of my highest priorities as commandant,” statedAdm Karl Schultz, commander of theCoast Guard “Today’s actions are a critical step towards delivering a fleet of offshore patrol cutters that will provide Coast Guard men and women with the tools to enforce our laws, secure our maritime borders, and execute the full range of Coast Guard missions for decades to come.”

Update: GAO Study Finds Significant Risks in Coast Guard’s Offshore Patrol Cutter Program