Coast Guard, Eastern Shipbuilding end offshore patrol cutter contract

The U.S. Coast Guard and Eastern Shipbuilding Group have reached an agreement to terminate the Panama City, Fla., shipbuilder's long-running contract for the offshore patrol cutter (OPC) program, according to reporting by USNI News.

The Coast Guard confirmed to USNI News that it had reached an agreement with the Stage 1 OPC builder to close out the contract.

Eastern was awarded the original contract in 2016 to build the first four OPCs at its Florida shipyard. The cutters are intended to replace the Coast Guard's aging Famous-class medium endurance cutters, commissioned in the 1980s, and Reliance-class cutters, some of which date back to the 1960s.

Work on the first two OPCs, Argus and Chase, was halted last year while the Coast Guard explored alternative options for completing the vessels. The program reached a milestone in October 2023 when Eastern Shipbuilding hosted a launch and christening ceremony for Argus, the first vessel in the Heritage-class OPC program.

The OPC program has faced several challenges since its inception. Construction delays followed Hurricane Michael's devastating impact on the Florida Panhandle in 2018, while design concerns identified by the Government Accountability Office also affected the program schedule.

In 2022, the Coast Guard selected Austal USA to construct the next phase of the OPC program beginning with the fifth vessel, Pickering.

Argus and Chase are expected to be delivered this year, while Pickering is scheduled for delivery in 2027, according to USNI News.

The Coast Guard has not released additional details regarding the contract termination agreement or how the remaining work on the first two cutters will be completed.

WorkBoat reached out to Eastern Shipbuilding Group for further information on the contact termination.