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NASSCO Secures $856 Million for Another Navy Fleet Oiler

NASSCO Secures $856 Million for Another Navy Fleet Oiler photo

General Dynamics NASSCO has secured $856 million to construct the T-AO 217, the newest vessel in the U.S. Navy's John Lewis-class fleet replenishment oiler program. This funding is part of an eight-ship block-buy contr...

General Dynamics NASSCO has secured $856 million to construct the T-AO 217, the newest vessel in the U.S. Navy's John Lewis-class fleet replenishment oiler program.

This funding is part of an eight-ship block-buy contract awarded in September 2024, which includes T-AO 214 through T-AO 221. NASSCO is now contracted to build 17 out of the planned 20 oilers and has successfully delivered five so far.

The shipyard based in San Diego indicated that T-AO 217 will be the 13th ship in the program and is focused on ensuring continuous production.

“The T-AO program is a crucial part of NASSCO's commitment, being the longest-running Navy production series in our history,” said Dave Carver, president of General Dynamics NASSCO. He added that this funding “supports a stable workforce and helps reduce the chance of future layoffs” while the company looks for timely financing for ships 14 through 17.

The John Lewis-class oilers are built to refuel U.S. Navy ships while they are at sea, which enhances the operational range of carrier strike groups and other deployed forces. These 742-foot vessels can carry 49,850 tons fully loaded, hold 162,000 barrels of oil, offer dry cargo capabilities, provide aviation support, and can reach speeds of up to 20 knots.

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

Five John Lewis-class oilers have been delivered, with another five currently being constructed at NASSCO's San Diego facility.

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Published 16.05.2026