Hmmmm...not the song I was thinking of at all. I first heard the one I know in the movie Taste of Honey with Rita Tushingham....very simple:

Oh, the big ship sailin' on the illy ally o, the illy-ally o, the illy-ally o. OH...the big ship sailin' on the illy-ally o, Heigh ho, the illy ally o. 2nd verse: Oh the big ship sailing, rocking on the sea,etc. 3rd verse: Oh the big ship sailing back again, etc.

What is this illy-ally-o? What's UP with that????