Over next two years Irving Shipbuilding will invest an estimated $300 million to modernize Halifax Shipyard to prepare for the Canadian Surface Combatant (CSC) program of the National Shipbuilding Procurement Strategy (NSPS). Upgrades will be complete in time to accommodate the scheduled 2015 cut-steel date for the first set of NSPS vessels, the Arctic Offshore Patrol Ships (AOPS).

The new Halifax Shipyard site comprises (see illustration on previous page):

• A new Assembly Hall with:

A Steel Assembly area containing a 12-metre-wide panel line and sub-assemblies area
11 Unit Assembly /pre-outfit/ 3-D unit workstations
Low assembly area: 22 metres; High assembly area: 27 metres

• A dedicated paint area used for painting of outfitted Units

• An Ultra Hall (47-metre-high) used for Block and Mega Block assembly

• Assembly, Paint and Ultra hall building length: 408 metres

• A land level Construction Point at which final ship erection would occur prior to launch

• A launch barge area in which a barge would be positioned to receive the complete ship

• A serviced outfitting pier (165 metres in length) located alongside the ship-erection platform

Parking Garage:

A new parking garage for Irving Shipbuilding employees, accommodating 520 cars is expected to be complete by January 2014. Currently, the company is encouraging employees, suppliers and partners to use carpooling, public transit and other transportation modes.

Following completion of the parking garage, Irving expects to continue encouraging multi-transit practices.

Offsite Steel Fabrication Facility:

Due to a lack of sufficient space within the footprint of the existing yard, Irving will be establishing an Offsite Steel Fabrication Facility on Windmill Road in Dartmouth. The facility will be owned and operated by Irving Shipbuilding.

In addition, these services will be marketed to other industries such as Offshore Oil & Gas and Oceans Technology

Construction Timelines:

Building demolition is expected to be complete in the first quarter of 2014. The offsite Fabrication Facility will be complete first quarter 2015. Steel cutting for the first AOPS is scheduled to take place in the Offsite Fabrication Facility in second or third quarter of 2015.

All modernization work at Halifax Shipyard is scheduled to be complete in the third or fourth quarter of 2015.