The U.S. Army Corps of Engineers awarded a contract option Tuesday for the deepening of the Delaware Bay and River shipping channel.

Norfolk Dredging Co. can begin deepening the shipping channel Friday from 40 to 45 feet in a section of the estuary near Wilmington, Del., known as "Reach C," Army Corps spokesman Ed Voigt said. The rest of the deepening plan remains temporarily on hold due to a judge's order that allowed only limited work to begin.

The Army Corps' plan calls for deepening the channel from west of Cape May in the Delaware Bay up to the Port of Philadelphia.

The state governments of New Jersey and Delaware have challenged the deepening project in federal courts, but Delaware's effort fell short when a judge allowed work to begin on Reach C. Five environmental groups, including the Delaware Riverkeeper Network, have appealed that ruling. New Jersey's case is pending in a different court.

The project, estimated to cost more than $300 million, has drawn the ire of environmental groups and some members of Congress, who say it is a waste of money, will stir up contaminants buried in the riverbed and result in the dredge spoils being dumped almost entirely at federal sites in New Jersey.

Conversely, employee unions, maritime businesses and the state of Pennsylvania say it will bolster activity at the Port of Philadelphia, create new jobs and save them money.

The Philadelphia Regional Port Authority is expected to wrap up acquisition of emission-reduction credits needed to comply with the Clean Air Act by the end of the week, Voigt said. Once that is wrapped up, work can begin.

Associated Press, 2/24/2010