NASSCO Secures $856 Million for Another Navy Fleet Oiler

General Dynamics NASSCO has received $856 million in funding to build T-AO 217, the latest ship in the U.S. Navy’s John Lewis-class fleet replenishment oiler program.

The funding is part of an eight-ship block-buy contract awarded in September 2024 covering T-AO 214 through T-AO 221. NASSCO is now under contract to build 17 of the Navy’s planned 20 oilers and has delivered five to date. 

The San Diego shipbuilder said T-AO 217 will be the 13th ship in the program and is aimed at sustaining production continuity at the yard.

“The T-AO program is a cornerstone fixture for the dedicated team at NASSCO, representing the longest-standing Navy production series in our history,” said Dave Carver, president of General Dynamics NASSCO. He said the funding “maintains a steady workforce and helps mitigate the risk of future layoffs” as the company seeks timely funding for ships 14 through 17. 

The John Lewis-class oilers are designed to refuel U.S. Navy ships at sea, extending the reach of carrier strike groups and other deployed forces. The 742-foot ships have a full-load displacement of 49,850 tons, capacity for 162,000 barrels of oil, dry cargo capability, aviation support and speeds of up to 20 knots. 

The Navy first awarded NASSCO the contract to design and build the first six John Lewis-class oilers in 2016. The contract was expanded in 2022 to add three more ships, followed by the 2024 block buy for up to eight additional vessels.

Five John Lewis-class oilers have been delivered, with five more under construction at NASSCO’s San Diego yard.

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