Wood, Skinner & Co. constructed this shipyard from scratch from an old Bottle Works which was situated here. It stood alongside the Bottle House Chapel and the disused Union Chemical Works which were both pulled down. A newspaper piece from the Sunderland Echo of 5th July 1884 states they took it from "an irregular patch of ground covered with tumbledown buildings and intersected by an ancient road-way they have produced a spacious, well arranged, and beautifully levelled shipyard that will compare with any of the most modern establishments".

Four building berths were constructed which had room for the largest vesslels. A smiths shop with twenty fires, a boiler, engine house and frame bending shed were incorporated. A plate bending furnace, joiners shop, drafting loft, offices and stores are also noted. The original partners of the works were William Wood of Jesmond and James Skinner of South Shields. Skinner worked at the Low Walker Coutts Yard as well as Leslie's at Hebburn. Wood worked at the Shlesinger Yard (later Swans) at Wallsend.

In its infacy the yard built coasters and trading ships in iron or steel, and Scandinavian companies made up the majority of contracts. The Burnett Steamship Co. of Newcastle, the Tyne Improvement Commissioners and other locals ordered from here. The famous Blyth High Ferry was constructed at this yard too. The yard continued until 1925 when it hit financial difficulties. 230 ships were built here.

The yard was acquired by National Shipbuilders but was sold at auction in April of the same year.