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United States Coast Guard icebreaker program_seminar 2018

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United States Coast Guard icebreaker program_seminar 2018

  1. 1. © Finpro 1 United States Coast Guard Ice Breaker Program 30 January 2018 Ulla Lainio Rights: Tim Bird
  2. 2. Finland has the solid Ice Breaker value chain
  3. 3. United States Coast Guard Ice Breaker Program (USCG IPB) – main players • USCG • US Navy • Integrated Program Office (IPO) • US Shipyards (5) • Ship engineering and design companies, Gibbs & Cox - ( 5 +) • Lobbyist companies • US Congress, US Congressional Arctic Caucus • Ship equipment & system suppliers
  4. 4. United States Coast Guard Ice Breaker Program (USCG IPB) – status • Coast Guard is the U.S. agency responsible for polar icebreaking. • USCG has announced that they require 3 large and 3 medium size icebreakers to ensure continued access to both polar regions and support the country's economic, commercial, maritime and national security needs. • It is a replacement of 40 year old Polar Star, photo by USCG • USA has 1 icebreaker, Russia has 41.
  5. 5. USCG Ice Breaker Program – Shipyards • USCG awarded on Feb. 22, 2017 five contracts for heavy polar icebreaker design studies and analysis. The objective of the studies is to identify design and systems approaches to reduce acquisition cost and production time-lines. Current work (industry studies) goes until February 2018. • The contracts were awarded to Bollinger Shipyards LLC of Lockport, Louisiana; Fincantieri Marine Group LLC of Washington, D.C.; General Dynamics/National Steel and Shipbuilding Company of San Diego; Huntington Ingalls Inc. of Pascagoula (photo), Mississippi; and VT Halter Marine Inc. of Pascagoula. The total value of the award is ca. $20 million.
  6. 6. USCG Ice Breaker Program – RFP schedule in 2017-2019 • The U.S. Navy and U.S. Coast Guard (USCG) under an Integrated Program Office (IPO), released a draft Request for Proposal (RFP) 19.10. – 11.12.2017 for the detail design and construction of a Heavy Polar Icebreaker (HPIB). • The draft RFP was for one HPIB, with options for two additional HPIBs. (1+2) • USCG will give the final RFP in 2018. • The integrated USCG-Navy program office plans to award a single contract for design and construction of the lead heavy polar icebreaker in 2019.
  7. 7. USCG Ice Breaker Program – Building schedule • USCG wants to begin building in 2019-20. Icebreaker could enter service in 2023. • Procurement of long leadtime materials (LLTM) for the three ships would start in Q4 of 2019, Q2 of 2021, and Q2 of 2022. • The ships would be delivered in Q3 of 2023, Q2 of 2025, and the Q2 of 2026. • Coast Guard envisions having a single U.S. shipyard build all three ships under a contract with options, as a form of annual contracting. An alternative would be a block buy contract.
  8. 8. • Cost estimate of the 1st heavy icebreaker is $983 million. Average cost is ca. $791 million, acquisition of 4 ships. • Cost estimate of a first-of-class medium icebreaker is $786 million. The 4th ship $692 million. • Cost Estimate is based on a ship with integrated electric drive, 3 propellers, a combined diesel and gas (electric) propulsion plant. Icebreaking capability would be equivalent to the POLAR Class Icebreaker Polar Star and research facilities and accommodations equivalent to HEALY. Cost Estimate of Icebreakers $4,704 million for 6 ships—an average of $784 million each
  9. 9. • “Coast Guard is cautiously optimistic it will get the funding” • “To get there, the service will need to tap expertise from overseas.” • “We haven’t built a heavy icebreaker in this country since the Polar Sea and the Polar Star in the mid-1970s” • “All the major icebreaker technology developments over the past 40 are all overseas in countries like Finland, Sweden, Russia. It’s going to require a significant bit of foreign expertise.” Statement of U.S. Coast Guard Vice Commandant Adm. Charles Michel
  10. 10. • Team Finland Business Delegations to USA in March-April and November 2017 • Meetings with the shipyards, USCG, Navy, Congress, design companies • 9.-11.4.2018 Next Business Delegation to Sea Air Space, Washington DC area to continue meetings with stakeholders • 5.-7.11.2018 ATC (Arctic Technology Conference) Houston: Finland pavilion and Business Delegation • Common tools: Finland Icebreaker Sales Brochure and a video • Navy and USCG high level visits in Finland in March and May 2018 WORLD IDEASFinnish companies’ activities in the Ice Breaker Program
  11. 11. THANK YOU! • ulla.lainio@businessfinland.fi • Program Director • Tel. +358 40 3433357 Visit Arctic Maritime and Offshore from Finland web site with event calendar, news and country reports at www.businessfinland.fi

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