The University of Hawaii will initiate a project to establish the Hawaii Undersea Geophysical Observatory (HUGO). This will be a long-term, deep-ocean system of sensors, monitors and inter-connecting electro-optic cables located 1,000 meters deep, atop Loihi Volcano, 35 km southeast of the Island of Hawaii. A suite of acoustic, seismic, and other sensors and video cameras will be connected to the fiber- optic backbone system and data will be transmitted ashore and recorded in real time. Once fully implemented, HUGO should be able to continuously monitor seismicity, tilt, chemical emissions, ocean currents, hydro-thermal activity, and other parameters for at least ten years. The project will provide useful engineering information that will benefit subsequent seafloor observatories and NSF-sponsored research projects in the future. Scientific information will also be obtained about the Loihi Volcano itself. AT&T is donating a surplus 35-km electro-optic cable and will lay the cable for the University. The University of Hawaii is also providing cost-sharing.