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Port officials state a deeper channel is needed for Wilmington to remain competitive with other Southeastern ports.
The project faces scrutiny from some who question its economic justification and environmental impacts.
Dredged material from the project could be used to replenish sand on nearby beaches like Bald Head Island and Oak Island.
The Army Corps of Engineers' Wilmington District has given preliminary approval to a plan to deepen the Cape Fear River shipping channel from its current 42 feet to 47 feet.
Other actions involved in the six-year, estimated $1.35 billion project would see the shipping entrance channel at the mouth of the Cape Fear widened and deepened, along with other parts of the channel also widened approaching the Port of Wilmington.
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