Blue Dolphin ( schooner ) Blue Dolphin was an auxiliary schooner built in 1926 at Shelburne , Nova Scotia by the Shelburne Shipbuilding Company as an adventure yacht . She served as US Navy auxiliary , IX 65 in World War II and as a postwar research vessel made famous by a Stan Rogers song . " Blue Dolphin " was designed by the famous naval architect William Roue , designer of the famous racing schooner Bluenose . Sometimes called a sister ship to " Bluenose " , " Blue Dolphin " was in fact considerably smaller but reflected the overall style of " Bluenose " . " Blue Dolphin " was built for S . H . Felie of Kansas City . A rich businessman interested in " long foreign voyages , " Felie ordered a fishing schooner style vessel with an extra reinforced hull but luxurious cabins in place of a fishing hold . She was registered at Shelburne for the beginning of her career which her owner used as a base for adventure trips to the north . In 1933 , " Blue Dolphin " was purchased by Boston businessman Amory Coolidge ( 1895 – 1952 ) who transferred her registry to Boston , Massachusetts in 1935 . " Blue Dolphin " was designated a miscellaneous auxiliary , IX 65 , and acquired by the Navy on 17 March 1942 from Amory Coolidge for the nominal fee of $ 1 . 00 . She was designated a miscellaneous auxiliary , IX 65 and placed in service at the Section Base , Boston on 6 April 1942 . " Blue Dolphin " spent the next 38 months serving as station vessel at Casco Bay , Maine . Shortly after Germany surrendered , she was placed out of service at Boston on 28 June 1945 . Her name was struck from the Navy list on 11 July 1945 , and she was delivered to the Maritime Commission ' s War Shipping Administration for disposal on 14 September 1945 . After the war , " Blue Dolphin " was apparently sold to a Mr . David C . Nutt who was involved in oceanographic research in conjunction with various universities , civilian research organizations , and the Office of Naval Research . Mr . Nutt was also a naval reserve commander . On 3 April 1949 , she was designated as “ suitable for use as a naval auxiliary in time of war ” by the Chief of Naval Operations . She was also authorized to fly the Naval Reserve Yacht pennant . The last information available on her indicates that she continued to conduct oceanographic and hydrobiological research out of Boothbay Harbor , Maine , into the summer of 1954 . While still in Maine , The Blue Dolphin changed hands again . A printer from Detroit named Joe Pica purchased her . Pica had already restored one vessel - the Katherine II - and was looking for a larger ship . He sailed the Blue Dolphin into the Great Lakes where she was berthed in Sarnia , Ontario , for a number of years . That was the last time the Blue Dolphin left the dock under her own power . She sank at the dock in Sarnia at least twice during the restoration efforts . The first time , Pica said the fresh water permeated her okum caulking and when freeze up came it turned to ice . With ice - out , so went the caulking opening up a seam one eighth inch wide by nearly one hundred feet long . With no ship keeper to stem the inflow , she sank . The second sinking Pica attributed to sabotage - unsubstantiated . Journalist and photographer Bruce Kemp became interested in the restoration when he was assigned the story by Sailing Canada Magazine . Because of his affiliation with another magazine at the time , he wrote the final piece under the name of Howard Douglas Jr . Kemp and his wife Donna worked with Pica in trying to set up a foundation , have debts forgiven and to make the ship an ambassador for the city of Sarnia . Kemp also worked on the project as the last in a string of divers and helped raise the ship the second time . He was instrumental in getting folk singer Stan Rogers to agree to aid the project . Rogers commemorated the schooner with his song , " Man with Blue Dolphin " , part of his From Fresh Water album . The liner notes mention that Rogers wrote the song based on his contact with Bruce Kemp and Kemp ' s experiences trying to raise and restore the Blue Dolphin . Unfortunately , a few weeks after writing the song " Man With Blue Dolphin " Rogers died in an airplane fire in Cincinnati . When money problems began to plague the ship again , Pica hired a tug to tow the Blue Dolphin over the border into the United States and away from his creditors . He did this without telling any of the people trying to help him . Blue Dolphin spent her final years in Detroit near the Goat Yard Marina . She was last seen by Kemp in 2001 . She was lying on her side and partly submerged . Her history and disposition since then is unknown