General Dynamics NASSCO Awarded $1.7 billion to construct T-AO 215 and T-AO 216

Rhea-AI Summary

General Dynamics NASSCO (NYSE:GD) was awarded $1.7 billion to construct T-AO 215 and T-AO 216 as part of its multi-ship John Lewis‑class oiler contract (T-AO 214–221).

NASSCO is currently under contract to build 17 of the Navy's 20-ship program, has delivered four ships, and has five additional T-AOs under construction. The 742-foot vessels carry 162,000 barrels of oil, displace 49,850 tons, and reach speeds up to 20 knots. Company management said the timely funding will help stabilize the workforce and sustain backlog to prevent layoffs.

Positive

• Awarded $1.7 billion to build T-AO 215 and T-AO 216
• Under contract to build 17 of 20 John Lewis‑class ships
• First 4 ships delivered, with 5 additional T-AOs under construction
• Oiler capacity: 162,000 barrels and 49,850 tons full load displacement
• Funding expected to stabilize workforce and prevent layoffs

Negative

• None.

NASSCO currently under contract to build 17 of the Navy's 20-ship program of record, and has delivered four to date.

SAN DIEGO, Nov. 10, 2025 /PRNewswire/ -- General Dynamics NASSCO, a business unit of General Dynamics (NYSE:GD), announced today that it has been awarded $1.7 billion for the construction of T-AO 215 and T-AO 216. The ships are part of NASSCO's current multi-ship contract from the U.S. Navy for the construction of up to eight additional John Lewis-class fleet replenishment oilers (T-AO 214 through 221).

"The T-AO program holds significant importance to the men and women of NASSCO and is one we take great pride in – it's the longest running Navy production series in NASSCO history," said Dave Carver, president of General Dynamics NASSCO. "The timely funding for these two ships will act to stabilize the workforce by sustaining an important backlog and prevent future layoffs. Our entire NASSCO team is honored to continue to support the critical national security mission of the U.S. Navy."

In 2016, the Navy awarded NASSCO with a contract to design and build the first six ships in the next generation of fleet oilers, the John Lewis-class. In 2022, that contract was modified to add an additional three oilers (T-AO 211 – 213). In 2024 NASSCO received an additional eight-ship contract to build T-AOs 10-17.

Designed to transfer fuel to U.S. Navy ships operating at sea, the 742-feet vessels have a full load displacement of 49,850 tons, capacity to carry 162,000 barrels of oil and significant amounts of dry cargo, as well as providing aviation capability while traveling at speeds up to 20 knots.

The first four ships of the program have been delivered to the U.S. Navy, with five additional T-AOs currently under construction in the NASSCO shipyard.

General Dynamics NASSCO specializes in the design and construction of Navy and commercial ships and is a major provider of repair services for the U.S. Navy, with capabilities in San Diego, California; Norfolk, Virginia; Mayport, Florida; and Bremerton, Washington. It is a business unit of General Dynamics, a global aerospace and defense company that offers a broad portfolio of products and services in business aviation; ship construction and repair; land combat vehicles, weapons systems and munitions; and technology products and services. General Dynamics employs more than 110,000 people worldwide and generated $47.7 billion in revenue in 2024. More information about General Dynamics is available at www.gd.com. More information about General Dynamics NASSCO is available at www.nassco.com.

 

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SOURCE General Dynamics

FAQ

What did General Dynamics NASSCO announce on November 10, 2025 regarding T-AO ships (GD)?

NASSCO announced a $1.7 billion award to construct T-AO 215 and T-AO 216 under the John Lewis‑class program.

How many John Lewis‑class oilers is NASSCO contracted to build and how many delivered (GD)?

NASSCO is under contract to build 17 of the Navy's 20‑ship program and has delivered 4 ships to date.

What are the key specifications of the John Lewis‑class T-AO ships mentioned by NASSCO (GD)?

Each ship is 742 feet, full load displacement 49,850 tons, capacity 162,000 barrels of oil, and speed up to 20 knots.

How will the $1.7 billion award affect NASSCO's workforce and backlog (GD)?

Company said the timely funding will help stabilize the workforce, sustain backlog and prevent future layoffs.

Where does General Dynamics NASSCO operate and what was General Dynamics' 2024 revenue (GD)?

NASSCO has facilities in San Diego, Norfolk, Mayport and Bremerton, and General Dynamics reported $47.7 billion revenue in 2024.