Philly Shipyard - AKRRF STOCK NEWS

Philly Shipyard has delivered the Patriot State, the second of five National Security Multi-Mission Vessels (NSMVs) for America's state maritime academies. This vessel, built for the U.S. Department of Transportation's Maritime Administration (MARAD), will serve Massachusetts Maritime Academy. The NSMV program aims to provide state-of-the-art training for future mariners and support humanitarian assistance and disaster relief missions.

The contract was awarded to Philly Shipyard by TOTE Services, which MARAD hired as the Vessel Construction Manager. This marks the first use of the VCM model in a government-sponsored shipbuilding program. The first NSMV, Empire State, was delivered in September 2023 for SUNY Maritime College. NSMVs III and IV are currently under construction, with NSMV V in the early stages of production.

Each NSMV can accommodate up to 600 cadets and features instructional spaces and a full training bridge. The program is seen as a vital investment in America's shipbuilding industry and maritime education, supporting nearly 400,000 U.S. jobs.

Philly Shipyard (Oslo:PHLY) has released its first Sustainability Report, titled 'Building with Passion, Navigating with Purpose'. This inaugural report outlines the company's commitment to responsible environmental, social, and governance (ESG) practices in the maritime industry.

The report highlights:

• Baseline data collection and progress measurement efforts
• Key stakeholder engagement, including customers, employees, and suppliers
• Environmental stewardship initiatives
• Adoption of advanced technology for building greener ships
• Workforce and recruitment strategies centered around 'CORE' values
• ESG disclosures on waste recycling, greenhouse gas emissions (Scope 1 and 2), energy use, health and safety, diversity, equity and inclusion, and supplier responsibility

Steinar Nerbovik, President and CEO, emphasized the company's commitment to building a sustainable future, while Kelly Whitaker, VP of Sustainability and Communications, highlighted the ongoing nature of their sustainability efforts.

Philly Shipyard ASA (PHLY) has entered into a share purchase agreement with Hanwha Systems and Hanwha Ocean for the acquisition of Philly Shipyard, Inc. (PSI). The transaction will see PHLY selling all its business operations for a cash consideration of USD 100 million. The deal is subject to customary conditions, including approval by CFIUS and other regulatory bodies, with expected closure in Q4 2024. The board has approved the transaction based on a fairness opinion from Arctic Securities. If cost overruns exceed USD 100 million in PSI's current projects, the purchase price will be adjusted downwards accordingly. The board will define the company's future strategy and use of proceeds post-transaction.

Philly Shipyard and HD Hyundai Heavy Industries have signed a memorandum of understanding (MOU) to explore potential business relationships in U.S. government shipbuilding projects and maintenance, repair, and overhaul (MRO) projects. The MOU signifies a continuation of their successful partnership in the past for commercial product tankers. The collaboration aims to expand HHI's presence in the global defense market through cooperation with US companies.

TOTE Services, Philly Shipyard, and Cal Maritime marked the steel cutting for NSMV V, the fifth vessel for the NSMV program. The vessel is destined for California State University Maritime Academy in 2026. The NSMV program aims to provide training platforms for state maritime academies and support humanitarian missions. TOTE Services is the Vessel Construction Manager for the program, ensuring vessels are built with U.S. materials and labor. The construction of NSMV V signifies a significant investment in the U.S. maritime industry and will create over 1,300 shipyard jobs in Philadelphia.

TOTE Services, LLC, an affiliate of TOTE, LLC, and Philly Shipyard, Inc., marked a significant construction milestone at a keel laying ceremony for the fourth of five new purpose-built, state-of-the-art training vessels for America's state maritime academies. The keel laying is a ceremonial recognition in which the first grand block of the vessel is loaded into the building dock. The NSMV program is an important investment in America's shipbuilding industry, and TOTE Services is the vessel construction manager for the NSMV program. Congress has appropriated funding to replace aging training vessels with NSMVs at five state maritime academies. Each NSMV will feature numerous instructional spaces, a full training bridge, and accommodations for up to 600 cadets to train in a first-rate maritime academic environment at sea.

Philly Shipyard delivers first training vessel for state maritime academies

Philly Shipyard (XOAX:PHLY) announced the ratification of a new four-year collective bargaining agreement with the Philadelphia Metal Trades Council (PMTC), representing production and maintenance employees. The agreement aims to enhance the company's ability to attract and retain talent for its record order backlog of nine ships, amidst a competitive labor market impacted by the COVID-19 pandemic. This contract supports PSI's Apprenticeship Program, which trains new shipbuilders from day one. Union president Lou Agre emphasized the agreement's benefits for members and the shipyard's future viability.