Navy announces $536 million award for commercial dismantling of CVN-65

The Navy has selected a contractor to dismantle the retired aircraft carrier Enterprise (CVN-65), awarding a $536 million, first-of-its kind contract to NorthStar Maritime Dismantlement Services.

NorthStar is tasked with completely dismantling, recycling and disposing of the carrier in Mobile, AL, where the company has partnered with Modern American Recycling and Radiological Services. The work is expected to take four years, concluding by November 2029, according to the May 30 contract announcement.

“Under this contract CVN 65 will be dismantled in its entirety, and all resulting materials will be properly recycled or disposed of,” the notice states. “Specifically, hazardous materials, including low-level radioactive waste, will be packaged and safely transported for disposal at authorized licensed sites.”

Enterprise, which was commissioned in 1961 and deactivated in 2012, is the first nuclear-powered carrier to be disposed of by the Navy. Though there is precedent for dismantling nuclear-powered submarines, this work has been performed by the nation’s public shipyards and the Energy Department rather than a third-party contractor.

In a June 2 LinkedIn post, Naval Sea Systems Command called the move to contract NorthStar a “landmark step,” saying the use of a private partner will yield $1 billion in cost savings compared to performing the work in the public yards.

“This approach enables the Navy to prioritize public yard resources toward fleet readiness and modernization -- while upholding its longstanding commitment to environmental stewardship and nuclear safety,” the NAVSEA post continues.