NASSCO Shipyard President Retiring; Successor Named

By Mark Edward Nero

Frederick J. Harris, president of both General Dynamics’ NASSCO and Bath Iron Works shipyards, is to retire at the end of 2016. And as a result, new heads of both companies have been named.

Kevin M. Graney has been appointed as president of San Diego-based NASSCO and elected a vice president of the corporation, while Dirk A. Lesko has also been elected a vice president of the corporation and appointed president of Maine-based Bath Iron Works.

Graney, 52, was appointed vice president and general manager of NASSCO in November 2013. He previously held leadership positions in operations, programs and engineering. He joined NASSCO in 2006 from General Dynamics Electric Boat, where he started working in 1995. Graney is a US Navy submarine veteran.

Both appointments are effective Jan. 1, 2017, following Harris’ retirement.

“Dirk and Kevin are seasoned leaders with proven track records of managing complex shipbuilding projects and driving continuous improvement at every level of their business,” General Dynamics Executive Vice President John P. Casey said.

“Both have worked for General Dynamics for more than 20 years and they have the right management and operations experience to ensure these shipyards are positioned for the future.”

In announcing Harris’ retirement, Casey said that throughout his extensive career with General Dynamics, Harris made significant contributions to the U.S. Navy’s shipbuilding programs.

“I want to thank Fred for his commitment to shipbuilding and outstanding service to our company and employees,” Casey said. “We wish him well in retirement.”

NASSCO Lays Keel for Tanker

By Mark Edward Nero

On March 6, the General Dynamics NASSCO shipyard in San Diego hosted a keel laying ceremony for the first Jones Act ECO tanker in a series of five being built for Kinder Morgan’s American Petroleum Tankers (APT) subsidiary.

During the ceremony, the wife of San Diego Mayor Kevin Faulconer authenticated the keel of the first ECO tanker for APT by welding her initials onto a steel plate. The steel plate with her initials will be permanently affixed to the ship’s keel and remain with the vessel throughout its time in service.

During a September 2014 ceremony marking the vessel’s start of construction, Mayor Faulconer cut the first piece of steel used to build the ship.

The 50,000-dwt, ECO tankers are built to a new design by DSEC, a subsidiary of Busan, South Korea-based Daewoo Shipbuilding & Marine Engineering. The design incorporates improved fuel efficiency concepts through several features, including a G-series MAN ME slow-speed main engine and an optimized hull form.

The tankers are also designed with dual-fuel-capable auxiliary engines and the ability to accommodate future installation of a liquid natural gas fuel system.

“NASSCO is pleased to continue our commitment as good environmental stewards by building the most energy-efficient tankers in the Jones Act fleet and in helping to sustain and grow highly-skilled jobs right here in San Diego,” General Dynamics NASSCO Vice President and General Manager Kevin Graney said.

US DOT Awards TOTE $324 Million Loan

By Mark Edward Nero

The US Dept. of Transportation has approved a $324.6 million Title XI loan guarantee to TOTE Shipholdings to finance the construction of two liquefied natural gas-fueled containerships.

As dual-fuel vessels, primarily operating with LNG, but with light diesel as needed, the vessels are expected to be among the most environmentally friendly containerships in the world, with engines that reduce the discharge of particulates to well below the levels mandated by the US Environmental Protection Agency.

The vessels are to be constructed at National Steel and Shipbuilding Co. (NASSCO) in San Diego. Construction of the vessels is expected to generate 600 jobs at NASSCO and support companies throughout the nation that supply the materials and equipment. Once in service, the two new vessels are expected to provide for 60 new US merchant mariner jobs.

“This is proof-positive that when we work to build America’s green energy economy, we can directly support the creation of meaningful jobs, supporting the president’s goal to strengthen America’s middle class,” Transportation Secretary Anthony Foxx said in a prepared statement announcing the loan guarantee. “This one action significantly decreases emissions, supports jobs from one coast to the other, bolsters the nation’s manufacturing base and continues growing our economy.”

The vessels are expected to be delivered in 2015 and 2016. TOTE will operate them in trade between the Port of Jacksonville and Puerto Rico, transporting containers, automobiles and other cargoes.

The Title XI loan guarantee program promotes the growth and modernization of US shipyards and the US merchant marine by ensuring the US vessels are manufactured in US shipyards by US workers. It guarantees the repayment of loans, obtained in the private sector by shipowners, for the construction, reconstruction or reconditioning of vessels in US shipyards.

The US Maritime Administration currently guarantees about $1.7 billion in US shipyard projects.

NASSCO Christens Navy’s Newest Ship

By Mark Edward Nero

A christening ceremony for the US Navy’s newest ship, the USNS John Glenn, was held the morning of Feb. 1 at the San Diego shipyard of build and repair company NASSCO.

The ship, which is named in honor of former Marine Corps pilot, Congressional Space Medal of Honor recipient and four-term US senator John Glenn, is the second of three Mobile Landing Platform (MLP) vessels designed and built by NASSCO.

The MLP is a flexible platform that provides capability for large-scale logistics movements, like the transfer of vehicles and equipment from sea to shore. It is expected to significantly reduce dependency on foreign ports and provide support in the absence of any port, making it particularly useful during disaster response and for supporting Marines once they’re ashore.

Chief of Naval Operations Admiral Jonathan W. Greenert was the principal speaker during the ceremony. Sen. Glenn’s daughter, Lyn Glenn, served as the ship’s sponsor and christened the vessel by breaking the traditional bottle of champagne against the ship’s hull.

“May this ship serve our country well and be strengthened with the legacy of our distinguished guest, the Honorable John Glenn,” General Dynamics NASSCO President Fred Harris said. “The USNS John Glenn carries with it the skill, dedication and the high regard for quality of the hundreds of men and women involved in its design and construction.”

The vessel’s expected to be delivered to the Navy sometime during the first quarter of 2014.

NASSCO, San Diego Port Sign Clean-Up Accord

An agreement has been reached between shipbuilding and repair company NASSCO and the Port of San Diego regarding what could eventually become the largest-ever cleanup of toxins in San Diego Bay.

Under the agreement, which was reached Sept. 18, the port has agreed to pay an undisclosed share of the cleanup project’s estimated $75 million cost.

The area around the NASSCO and BAE Systems’ shipyards is expected to be the first – and largest – of several sites to be cleaned up over the next few years, according to the accord. In all, about 140,000 cubic yards of contaminated sediments is expected to be removed.

The San Diego Regional Water Quality Control Board directed several parties to undertake the dredging project for what it refers to as the “Shipyard Sediment Site” in a March 2012 order. They include NASSCO, BAE Systems, the City of San Diego, Campbell Industries, San Diego Gas and Electric, the US Navy and the Port of San Diego. These parties, among others, have been involved in a federal court lawsuit over responsibility for the contamination at the site and the cost to clean it up.

The Port of San Diego has agreed to pay a share of the project costs to help move the project forward and resolve the port’s involvement in the litigation relating to the cleanup at the NASSCO site.

“The Port of San Diego takes its stewardship of San Diego Bay very seriously,” Port Chair Ann Moore said in a prepared statement regarding the matter. “This agreement with NASSCO represents the port’s long-standing commitment to a clean and healthy bay, and we are excited for the work to begin.”

The cleanup operation is expected be conducted from a barge; a clamshell bucket would be lowered from a crane into the bay where it will scoop up the sediments, which would be mixed with a cement mixture before being trucked to a landfill. The work won’t begin, however, until funding from other involved parties is secured.

“NASSCO is delighted that it has now reached an agreement in principle with the Port District that would bring this historic cleanup project one step closer to implementation,” NASSCO Communications Director Sarah Strang said.

NASSCO, which leases 126 waterfront acres from the Port of San Diego, has been building and repairing ships there for more than 50 years.