(SAN DIEGO) — General Dynamics NASSCO has been awarded a potential $6.7 billion contract for eight John Lewis-class (T-AO-205) fleet replenishment oilers, Naval Sea Systems Command announced on Friday.
NASSCO won the fixed-price, block-buy account contract to build hull numbers T-AO-214 through T-AO-221. The award kicked off the new block buy with $780 million set aside for the first ship that was authorized as part of the fiscal year 2024 Department of Defense budget.
The award follows a $3.2 billion contract for NASSCO in 2016 to build the first six John Lewis-class oilers. In 2022, the Navy took options for two Lewis-class oilers and added a third in 2023.
With Friday’s contract, NASSCO has established contract options for up to 17 Lewis-class oilers. The Navy plans for up to 20 of the support ships to enter the fleet to replace the Henry J. Kaiser class (T-AO-187) of fleet oilers.
The cost increase for the oilers over the first multi-year contract is reflective of larger issues the industry has seen with the price of resources and labor, Tom Rivers, executive director for amphibious, auxiliary and sealift for Program Executive Office (PEO) Ships, told reporters on Friday.
The first three Lewis-class oilers – USNS John Lewis (T-AO-205), USNS Harvey Milk (T-AO-206) and USNS Robert F. Kennedy (T-AO-207) – have delivered to the service but have yet to deploy as a fleet asset.
“John Lewis has been out doing a lot of what we call operational testing evaluations. They are working with the fleet, ship testing out all the fueling systems, showing all the capabilities, making sure that what we’ve procured meets up with all design standards and requirements that were set by the Navy,” Rivers said. “Has it gone over to, let’s say the South China Sea? No. … Is it operating off the coast of California refueling ships of all types? Yes.”
