Note: The author is the Director of Polar Intelligence for Davie Group. The opinions and views expressed at Sixty Degrees North belong solely to the author and do not necessarily reflect those of his employer.
Big news from Texas!
From a Davie Defense press release:
GALVESTON, Texas, June 1, 2026 /PRNewswire/ -- Davie Defense today broke ground on the modernization of the Gulf Copper shipbuilding facilities in Galveston and Port Arthur. This historic milestone and investment in America's maritime industrial base also mark the return of complex shipbuilding to Texas for the first time in decades.
The groundbreaking ceremony featured remarks from the ownership and leadership of Davie Defense and Gulf Copper, and U.S. government officials, including Office of Management and Budget Director Russell Vought, U.S. Senator Ted Cruz, Congressman Randy Weber (TX-14), Texas Governor Greg Abbott, Department of Homeland Security Deputy Secretary Troy Edgar and U.S. Coast Guard Commandant Admiral Kevin Lunday.
Inocea Group posted a 3.5-minute highlight video from the event, featuring clips from the speeches, an animated rendering of the planned shipyard, and a salute fired from the Battleship Texas:1
The first phase of the shipyard upgrade, which overall could reach $1 billion, is scheduled for completion in 2028. This coincides with the beginning of construction of the first of three of five Arctic Security Cutters (ASC) for the U.S. Coast Guard. The first two vessels will be built at Davie Defense affiliate Helsinki Shipyard in Finland, with delivery of the first ship in 2028.
Davie Defense’s Arctic Security Cutter contract with the U.S. Coast Guard was finalized in May. Production work on the Finnish-built vessels will begin very soon.
Continuing from the press release:
The Gulf Copper project is expected to create approximately 2,400 new American jobs, with broader statewide economic impact estimated to support up to 7,000 jobs through supply chain and related economic activity, according to a 2025 independent economic study by Austin based analyst, Impact Data Source.
Many of the speakers highlighted the economic impact of the investment on the local economy, particularly on employment. Following Davie Defense’s purchase of Gulf Copper’s shipbuilding assets last summer, the local community began taking additional action to support Gulf Copper and the area’s maritime industry.
For example, the Port of Galveston is investing in local training and education. From a June 15th Chron article by Chris Gray:
Last month [May], the port announced the establishment of a $40,000 initial endowment for Galveston College students, to be managed by the Galveston College Foundation. The money, seeded by sponsorship proceeds from the port’s 200th-anniversary gala last fall, will support students pursuing degrees in maritime-related fields such as global logistics and supply-chain management, as well as technical certifications in welding and shipfitting, the port said.
In November, a few weeks after the gala, the port also announced it would establish a similar endowment of more than $300,000 for Texas A&M-Galveston students pursuing degrees in maritime and marine-related fields. Specifically, according to the port, money will fund four annual scholarships of $3,000 each for students in the Maritime Business Administration, Marine Transportation and Marine Engineering Technology programs.
Gulf Copper has started two programs with two local colleges, Galveston College and Lamar State College. From the same Chron article:
Not only has Galveston College received that $40,000 endowment to support the maritime industry, the island's newest employer has partnered with the school to create a 22-month apprenticeship program that covers students' tuition and guarantees them a full-time job at Gulf Copper upon graduation. Already, the program has inspired Lamar State College in Port Arthur to expand its own shipbuilding curriculum.
Over at Lamar State College, the U.S. Department of Labor certified shipfitter apprenticeship program lasts for six semesters/22 months. Each week involves 16 hours in the classroom and 36 hours of on-the-job training at Gulf Copper. Local CBS affiliate KFDM ran a story about the program in May that has more details.
Gulf Copper shares Pelican Island with Texas A&M University at Galveston. As I mentioned earlier, the Port of Galveston is establishing a $300,000 endowment there. But that is not the only initiative that involve the university. As Naomi Klinge recently reported in the Houston Business Journal:
Texas A&M University at Galveston, which largely focuses on the maritime economy, is considering adding courses or degree options directly related to shipbuilding, Col. Michael E. Fossum, vice president of Texas A&M University and COO of Texas A&M University at Galveston, previously told the HBJ.
Davie Defense is also working directly with the university. As Philip Burns-O’Brien, CEO of Davie Defense, said in his remarks at the groundbreaking:
We’re also proud to work with our friends in Texas A&M to develop a new ship-production technology program, helping build the skilled workforce for the future in Galveston and Port Arthur.
Davie Defense’s investment in Gulf Copper is creating momentum for other investments.
On June 11th, Rodger Rees, the Galveston Wharves Port Director and CEO, proposed $40 million in infrastructure improvements for Pelican Island, where Gulf Copper is located. From his post on the Port of Galveston website:
Now is the time for the Galveston Wharves to unlock the full potential of its undeveloped land on Pelican Island. The port owns 357 acres of prime waterfront acreage, including 100 acres on Galveston Harbor adjacent to Davie Defense – Gulf Copper’s new shipbuilding operation.
The port proposes to build a multi-use berth to support the $1 billion shipbuilding project and other growth opportunities, including roll-on/roll-off (ro-ro) cargo and much-needed LNG marine fuel bunkering.
We propose to fund the estimated $40 million berth and other infrastructure improvements with port operating reserves supplemented with federal and state grants.
In addition to supporting the shipbuilding expansion, this project will provide the following benefits to the region:
Create a new LNG bunkering site for cruise and cargo ships
Expand the port’s cargo handling capacity to generate more revenue and jobs
Enhance regional and national cargo movement
We’ve had plans for Pelican Island for some time, but the Davie Defense – Gulf Copper expansion is the catalyst to make these plans a reality.
Regular readers of Sixty Degrees North know that Gulf Copper has been doing work on Flight III DDGs for Ingalls Shipbuilding for some time. Last year, they signed a contract that expanded the scope of work Gulf Copper is doing for the project. And it’s going quite well. From a June 5th LinkedIn post by Gulf Copper:
GALVESTON, Texas, June 05, 2026 — Gulf Copper, LLC, the leading marine repair and new construction company, today announced it has completed its second set of outfitted structural units in support of the construction of select U.S. Navy Flight III Arleigh Burke-class guided missile destroyer (DDG) units. The work, performed in partnership with HII, reinforces the company's momentum following its expanded agreement with HII’s Ingalls Shipbuilding division announced in 2025.
Gulf Copper worked in close coordination with HII to manage planning, fabrication, assembly, quality controls, and delivery readiness activities to complete the DDG units in accordance with contractual requirements and customer expectations. Throughout the program, Gulf Copper emphasized disciplined execution, safety performance, and cross-functional collaboration across production, engineering, quality, and logistics.
"The Gulf Copper team has done an outstanding job producing quality work that meets the expectations of HII and SUPSHIP," said Carlos Ramirez, Project Manager. "We continue to focus on efficiency and close collaboration with HII, and we are making meaningful progress toward that goal."
DDG Block III work and other repair work will continue alongside the infrastructure improvements.
Many of you know that I’m a retired U.S. Navy Nuclear Engineer (Aircraft carriers, not submarines). With my background, I cannot resist commenting on the Battleship Texas, as she looked beautiful in her up-and-over flags. From the Davie press release:
Davie Defense was also honored to host Battleship Texas for a special salute during the groundbreaking event. An enduring symbol of American sea power, the ship served 34 years in the U.S. Navy, including five WWII campaigns, after being commissioned in 1914. Now under renovation at Gulf Copper, Battleship Texas will continue to receive in-kind support from the shipyard as the Battleship Texas Foundation transforms her into a modern, world-class museum.
I clipped the last twenty seconds from the Inocea video posted above. This clip features Battleship Texas, in her up-and-overs, firing from her main batteries. Note that the sound (along with the ship’s whistle, which sounded just before the shots) was much louder that it seems in the video.
I had a chance to tour her during an earlier visit to Gulf Copper. My tour wasn’t the standard one, as I was able to crawl around her engine rooms. There’s nothing quite like seeing the beauty of a triple-expansion steam engine.
I have been present at countless similar events in my Navy career, from changes of command to visits by senior personnel (including two presidents). This one just felt different. There was a certain optimism to this event, a spirit that seemed to recognize that this was the start of something big.
The optimism and can-do spirit among those assembled in the big tent—from shipyard workers to federal, state, and local leaders—was palpable.
Perhaps the best sense of this comes from a colleague of mine, who stopped at a local gas station on the way to the groundbreaking ceremony to pick up something to drink. After hearing that he was on the way to the groundbreaking, the young man working behind the counter said, “It’s going to be huge.” My colleague responded, “Yes, we’re expecting more than 300 people this morning. You’ll sell lots of coffee and gas.”
To which the young man responded, “No, I mean the shipyard. We’re going to start building ships here. It’s going to be huge!”2
One thing is clear—Davie Defense’s investment in Gulf Copper is leading others to invest in the region’s maritime industry, from education and worker training to new facilities. The momentum is building. Stay tuned for more!
All the Best,
PGR
According to the Battleship Texas foundation, they placed pyrotechnic devices in the barrels to achieve the effect. For information on the Battleship Texas renovation, see the foundation’s website. The foundation publishes weekly video updates; the video from June 5th describes getting the Battleship ready for the groundbreaking as well as the method of ‘firing’ the batteries in salute.
Paraphrased from memory.
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