Tanker Construction Continues at NASSCO (12/19)


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General Dynamics NASSCO has posted the following news release concerning the second in a series of five Seafarers-contracted, Jones Act tankers:


General Dynamics NASSCO Starts Construction on Second American Petroleum ECO Tanker


SAN DIEGO – General Dynamics NASSCO signaled the start of construction of a second “ECO” tanker to be built for American Petroleum Tankers at a steel cutting ceremony at NASSCO’s San Diego-based shipyard. U.S. Rep. Scott Peters signaled the beginning of construction by pressing a button to cut the first piece of steel. NASSCO began construction on the first tanker in September 2014.

As part of a five-tanker contract, the new ECO tankers solidify a mutual commitment between General Dynamics NASSCO and American Petroleum Tankers to design, build and operate innovative and increased energy-efficient and fuel-saving products. Each of the five 50,000 deadweight ton product carriers will be LNG-conversion ready and will hold a 330,000 barrel cargo capacity. With a specialized ECO design, the tankers are more energy efficient and incorporate environmental protection features, including a Ballast Water Treatment System.

“NASSCO is providing our customers with some of the most energy-efficient, fuel-saving, and cost-effective tankers in the world,” said Kevin Graney, vice president and general manager of General Dynamics NASSCO. “The construction of the first tanker for American Petroleum Tankers is well underway at NASSCO and we are pleased to begin construction on a second tanker for the company today.”

The five-tanker contract will also help sustain NASSCO’s workforce of nearly 3,200 and will add approximately 300 more jobs in the near future.

“This second tanker marks another milestone in our fleet expansion adding five state-of-the-art vessels constructed and delivered by NASSCO,” said Rob Kurz, vice president of Kinder Morgan Terminals and president of American Petroleum Tankers, a Kinder Morgan, Inc. subsidiary. “The expansion is a result of the commitment of our customers through their long-term charter support. We look forward to delivery of the vessels in mid-2017.”

The new construction and operation of the new vessels are aligned with the Jones Act, requiring ships carrying cargo between U.S. ports to be built, crewed and owned by the U.S.

For more information about General Dynamics NASSCO, a business unit of General Dynamics (NYSE: GD), visit www.nassco.com. More information about General Dynamics is available at www.generaldynamics.com.

For more information about American Petroleum Tankers, please visitwww.kindermorgan.com/business/terminals/apt.cfm.


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