More orders for San Diego shipyard

General Dynamics NASSCO has been awarded a contract by the US Navy for options to build up to five additional T-AKE dry cargo ships.

If all options are exercised over the next four years, the total value of the contract could reach $2.5bn, and would bring the number of T-AKE ships built for the navy by the San Diego shipyard to 14.

The T-AKE class ship, which has an integrated electric-drive propulsion system, is capable of delivering more than 10,000 tonnes of food, ammunition, fuel and other provisions for combat ships at sea. It will replace existing single-missions ships that are reaching the end of their service lives.

Under the latest agreement, NASSCO is expected to deliver the last ship in the fourth quarter of 2014.