General Dynamics NASSCO gets $1.4 billion to build US Navy ships

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The contract amendments provide for the full financing of three vessels – ESB 8, T-AO 211 and T-AO 212; and an option to build T-AO 213

SAN DIEGO, August 5, 2022 /PRNewswire/ — General Dynamics NASSCO, a subsidiary of General Dynamics (NYSE: GD), today announced that it has received $1.4 billion in amendments to the US Navy contract for the construction of a sixth Expeditionary Sea Base ship (ESB 8) and two additional John Lewis-class fleet tankers (T-AO 211 and 212). This price is in addition to $600 million already received to purchase long-lead materials for the same ships. The contract amendment also provides an option for the Navy to procure an additional oiler, T-AO 213, bringing the total potential value to $2.7 billion for the four ships.

“NASSCO is committed to working with the Navy to deliver these much-needed vessels to the fleet,” said David Carver, president of General Dynamics NASSCO. “As partners in the Navy, we remain committed to ensuring the success of these two programs to help improve and expand the Navy’s forward presence and combat capabilities while ensuring sustained growth in our workforce.”

Construction of the four vessels is expected to begin in the third quarter of 2023 and continue through 2027.

In 2011, the Navy awarded NASSCO a contract to design and build the first two ships in the new Mobile Landing Platform, USNS program. Montford Point and USNS Jean Glenn. The program evolved, adding USS Lewis B. Puller (BSE 3), USS Hershel “Woody” Williams (BSE 4), USS Miguel Keith (ESB 5), the future USS John L. Canley (ESB 6) and the future USS Robert E. Simanek (ESB 7), configured as ESB. ESB ships are highly flexible platforms designed to support multiple maritime missions, including aerial mine countermeasures, special operations forces, and limited crisis response. Acting as a mobile maritime base, this 784-foot vessel has a 52,000 square foot flight deck to support operations of MH-53, MH-60, MV-22 tiltrotor and H1 aircraft. The future USS John L. Canley (BSE 6) and USS Robert E. Simanek (ESB 7) are currently under construction.

In 2016, the Navy awarded NASSCO a contract to design and build the first six ships of the fleet’s next generation of tankers, the John Lewis class. Designed to transfer fuel to US Navy ships operating at sea, the 742-foot vessels have a full load displacement of 49,850 tons, a capacity to carry 157,000 barrels of oil and significant amounts of dry cargo, as well as aviation capability while traveling at speeds up to 20 knots. The first ship, the USNS john lewis (T-AO 205), was delivered to the US Navy in July 2022. USNS Harvey Milk (T-AO 206), USNS Earl Warren (T-AO 207), and USNS Robert F. Kennedy (T-AO 208) are currently under construction.

General Dynamics NASSCO specializes in the design and construction of naval and merchant vessels and is a major provider of repair services for the US Navy, with capabilities in San Diego, California; Norfolk, Virginia; Mayport, Florida; and Bremerton, Washington. More information about General Dynamics NASSCO is available at www.nassco.com.

General Dynamics is a global aerospace and defense company that offers a broad portfolio of business aviation products and services; construction and repair of ships; ground combat vehicles, weapon systems and ammunition; and technology products and services. General Dynamics employs more than 100,000 people worldwide and generates $38.5 billion revenue in 2021. More information about General Dynamics is available at www.gd.com.

SOURCE General Dynamics NASSCO

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