Crowley loses bid to renew Alyeska contract

MARCH 17, 2016 —Crowley Marine Services will no longer be providing oil spill prevention and response services in Valdez and Prince William Sound, Alaska, once its current contract expires June 30, 2018.

The company says that despite bidding aggressively for extension of its Ship Escort/Response Vessel System (SERVS) contract, it was not chosen by Alyeska Pipeline Service Company to retain the entire scope of the current contract.

Crowley says it is fully committed to continued professional service and full compliance as the marine service provider until the end of June 2018, and will be engaged in any transition process. Participants in the bidding process are restricted from disclosing details. Alyeska may be able to provide more information when the new contract is finalized.

"We bid this contract very aggressively and are extremely disappointed that we were not selected to retain this business," said Tom Crowley, company chairman and CEO. "We have been assured that this outcome is the result of a very competitive landscape and is not a reflection of Crowley's qualifications or record. We will continue to work constructively with Alyeska through the duration of our contract. Crowley and Alyeska agree that there is nothing more important than the continued protection of Prince William Sound."

"While it is difficult to fully convey our disappointment, we remain completely committed to upholding the tremendous responsibility we have to protect Valdez and Prince William Sound," said Rocky Smith, Crowley senior vice president and general manager, petroleum distribution and marine services. "Over the next couple of years, we will look for opportunities to redeploy our Valdez personnel and marine assets in new endeavors when our contract expires."

Crowley has been under contract with Alyeska since the inception of SERVS in 1990. Even before SERVS was formed, Crowley provided tanker docking services in Valdez beginning with the startup of the Trans-Alaska Pipeline in 1977.

Crowley currently has 17 vessels, 230 trained mariners and 17 shore side administrative personnel working together to provide service to Alyeska in Valdez.

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