Oil Prices Higher Today
May 16, 2018
Top Economist Says Industry News is Good – and Not
May 16, 2018
FOR MARINE &RELATED INDUSTRIES
BY JOHN DESANTIS
Business leaders in Terrebonne and surrounding parishes say the maritime industry is crucial to economic survival. While crucially linked to the region’s oil and gas industry, marine also has a life of its own, and is made healthier through diversity.
Arlen “Benny” Cenac of Cenac Marine and its related companies are among industry leaders who have continued their investments in the field, not just for oil and gas vessels but for other purposes as well.
“We built this barge and donated this barge to the levee district in order to maintain our levee system,” Cenac said in 2016, when he donated a spud barge to the Terrebonne Levee and Conservation District. “It’s just our way of giving something back to help preserve our parish.”
It was during that same year that the Cenac family launched a new tug, for inshore service. And Cenac is not alone. Bollinger Shipyards is continuing a tradition of building vessels for military service. More and more, industry watchers say, coastal conservation and restoration activity will result in more contracts to more shipbuilders.
Bollinger as well as Thoma-Sea are building new vessels for Pacific fisheries. Gulf Island is among shipbuilders meeting the needs of a university research fleet. The list goes on.
Economists say the companies building the ships are not the only winners at a time when the economy is still flat because of less offshore oil exploration.
Drydocks, tool companies, machine shops and supply companies are just a few of the related firms that benefit from a robust ship-building economy.
“The marine industry has two types,” said Terrebonne Parish President Gordon Dove. “The oilfield and the non-oilfield.”
Non-oilfield vessels carry crews on the rivers, also chemicals and coal.
“I believe that is a strong industry,” Dove said. “The offshore supply boats and oilfield vessels we are seeing a pickup. They are pretty much locked in with what happens to oil and gas. But with oil reaching $70 per barrel and sweet crude close to $75 we are starting to see an uptick in offshore supply vessels. There are enough offshore platforms that vessels are going to work in deep water.
Rowan Drilling is among the firms keeping the industry moving forward, Dove said, while ticking off a litany of other oil and gas and marine firms for whom he forecasts a better future.
Port Fourchon is still a major oil and gas hub, and in addition to creating jobs in Lafourche, he said, the port has plenty of economic spillover into Terrebonne.
Terrebonne taxpayers have for the past two years invested $1.5 million into the Houma Navigational Canal, keeping it at a depth that will allow passage of ships. The Port of Terrebonne has invested one half million in the same years to keep the HNC open and available.
The channel must be dredged to a minimum of 15 foot, although to make that happen effectively, experts say, a depth of 18 feet is necessary.
“Overall, marine should be picking up by the beginning of 2019,” Dove said. “And overall there is no money spent more wisely in economic development than to keep that channel dredged.” •
