The paper examines the problem of dynamic ship positioning with the use of Kalman Filter- and Particle Filter-based sensor fusion algorithms. The proposed approach enables to estimate accurately the ship's state vector by fusing the vessel's position and heading measurements coming from on-board sensors together with distance measurements coming from sensors located at the coast (e.g. radar). The estimated state vector is used in turn, in a control loop, to regulate the horizontal position and heading of the vessel. The performance of dynamic positioning of the ship based on Kalman and Particle Filtering is evaluated through simulation experiments.