Among the activities that constitute the process of dismantling a ship is the obligation of proper management of hazardous materials. As almost the entire ship can be recycled, reused or even resold, the ship dismantling industry can also be considered a "green" industry. The steel used by the maritime industry complies with the quality standards of shipbuilding, presents high durability and is a valuable raw material for reuse by the industrial sector. Following the Circular Economy principles, the ship’s steel parts that haven’t lost their material value, might re-entry the supply chain and be reclaimed as raw material by the steel industry after being processed. In the present work, a Circular Economy model based on the operation of a hybrid shipyard is proposed. Taking advantage of the facilities and the equipment of a moderate shipyard, it is proposed to include the dismantling activities of specific vessels, focusing on the abandoned ones. The advantages that result with the operation of this hybrid plant include: the reduction of the environmental footprint of ship breaking, assurance of steel tracking in the industry, saving of natural resources and energy, the use of recycled raw materials adopting circular economy practices, cost reduction and more.