By Moneth G. Deposa
Variety News Staff

THE Commonwealth Ports Authority says the California-based Worldwide Salvage LLC is interested in investing $10 million in the CNMI.
According to CPA Executive Director Clyde Norita, the company’s president James L. McCollum inquired and sought an application from the authority in January.
He said the company wants substantial space along the coastal water and main commercial dock facility to conduct and maintain its salvaging operations.
It also wants to build facilities for its offices, personnel living quarters, a warehouse, an incinerator plant and an oxygen plant, Norita said.
Worldwide Salvage specializes in maritime salvaging operation, including deep water activities, he added.
The company will bring to Saipan, by means of “dead ship” towing, non-armored military ships that have been decommissioned by the U.S.
These will be dismantled, taken apart by cutting the ships into scrap metal for shipment out of the commonwealth through commercial transpacific shipping vessels to international scrap metal buyers in Thailand and China.
Norita said the company anticipates employing up to 400 people in the first year of operations.
The company told CPA that its plan for expansion is limited only by the available work space at or near the dock site area, Norita said.
The company’s projected sales for the first year is estimated at $122.6 million — about $1.1 million in gross revenue tax to the CNMI government.
Norita said CPA has provided the company details on the space available for its proposed investment project.
Norita added that company officials are expected to return to the island soon to work on the documentation for a lease and/or the use of whatever specific site has been identified by CPA for Worldwide Salvage’s temporary or permanent use.
The company’s initial operating funds are $10 million which the Wells Fargo Bank in San Francisco, California has tentatively and conditionally approved.
Variety learned the site preparation is set for this month while actual hiring and initial staffing will follow in May.
The company told CPA that the success of its business mission is “dependent largely on the availability for lease/use of coastal land in the commercial port area or the North Sea Plane Ramp.”