MarAd awards ESCO Marine $2.2 million contract for ship disposal

MarAd awards ESCO Marine $2.2 million contract for ship disposal    The U.S. Maritime Administration has awarded a $2.2-million contract to ESCO Marine of Brownsville, Texas, to dispose of three obsolete vessels from the James River Reserve Fleet.
   MarAd serves as the government agent for disposing of merchant vessels of more than 1,500 gross tons. There are about 130 obsolete vessels at three National Defense Reserve Fleet sites, 70 of which are located on the James River.
   Maritime Administrator William G. Schubert announced the contract at a Senate Commerce, Science and Transportation Committee field hearing at Fort Eustis, Va., on July 7. “This issue has been an intense focus during my tenure,” Schubert told the committee.
   In fiscal year 2003, Congress appropriated $31 million to MarAd for ship disposal.
   ESCO Marine was one of five companies to bid for the recent ship disposal contract. In February, Marine Metals, also based in Brownsville, was awarded a $600,000 contact to remove two vessels from the James River Fleet.
   “We have seen more competition and a significant decrease in disposal proposal costs since we first began paying for services is FY 2001,” Schubert said.