Pipeline inspection can be carried out by means of small Autonomous Underwater Vehicles (AUVs), operating either with a control link to a surface vessel, or totally independently. The AUV offers an attractive alternative to conventional inspection methods where Remotely Operated Vehicles (ROVs) or paravanes are used. A flatfish type AUV ``MARTIN`` (Marine Tool for Inspection) has been developed for this purpose. The paper describes the proposed types of inspection jobs to be carried out by ``MARTIN``. The design and construction of the vessel, its hydrodynamic properties, its propulsion and control systems are discussed. The pipeline tracking and survey systems, as well as the launch and recovery systems are described.