New London — The city is applying for $10 million in federal funding to accelerate Mohawk Northeast’s plans to build a $25 million industrial marine complex on the banks of the Thames River.

Mohawk, a heavy civil construction and engineering company with a marine services division in Groton, last year purchased three acres of property on Eastern Drive, north of the Gold Star Memorial Bridge. The Plantsville-based company envisions a phased project to construct a new marine terminal with a 500-foot wide bulkhead extending 150 feet from the shore, a 400-foot-long by 100-foot-wide pier and railroad spur.

As part of a newly formed partnership, the city will seek $10 million through the federal Port Infrastructure Development Program to help move along those plans. Northeast will provide the 20 percent match requirement. Mohawk has said it has $15.6 million in private funds for the project - equal to more than 60 percent of the estimated cost.

“This is a huge development,” and will provide jobs at a time the local economy needs a boost, said Felix Reyes, director of New London’s Office of Development and Planning.

Reyes said the grant application, with the approval of the City Council, will be submitted later this month and letters of support are already coming in. City Grants Coordinator Elizabeth Nocera is leading the application process.

Mohawk, with a fleet of barges, cranes and tug boats, had planned the facility in order to expand its growing marine operation in Groton. Its clients include the U.S. Navy, Coast Guard, Electric Boat, Amtrak and Connecticut Department of Transportation.

The planned conversion of State Pier into an offshore wind facility now has industries looking to Mohawk's planned facility as an alternative port for bringing in items such as sand or stone. The newly purchased land in New London is also home to three industrial buildings being developed by Mohawk into steel fabrication and coating facilities. Once completed, the fabrication facility in Groton will be shifted to New London.

J. David Schill, Mohawk’s vice president of special projects and business development, said the new facility will generate 100 new jobs for the region. There is also excitement for the project to be completed quickly, he said, because of the regional impact and opportunity for other industries.

The fabrication shop and pier will have multiple loading bays at a site with easy access to Interstate 95 and is well-suited for both truck and rail freight. Portions of the freight line that runs from New London to the Canadian border were recently upgraded to allow for heavier cargo. U.S. Rep. Joe Courtney, D-2nd District, helped secure a federal loan that paid for about 66 percent of the $12.8 million rail project.

In a new development, the Connecticut Port Authority last month announced it was leasing property that adjoins Mohawk’s to Genesee & Wyoming Railroad to help facilitate use of the rail. Schill said that with the proper upgrades the rail line would greatly benefit the region. Mohawk has been in talks with Electric Boat, Connecticut Port Authority, U.S. Army Corps of Engineers and G&W Railroad.

Mohawk is seeking necessary permits for the pier project and estimates it would take about four years to complete in phases. Notification on the competitive federal grant is not expected until September or October. Schill said the lack of federal funding could serve to slow its plans since the additional rail line to the pier is such a significant investment.

g.smith@theday.com