Aker Pens the Largest Jones Act Boxships Ever, USA

Aker Philadelphia Shipyard ASA, its wholly-owned U.S. subsidiary, Aker Philadelphia Shipyard, Inc. (APSI), has been selected by Matson Navigation Company (Matson) to construct two 3,600 TEU containerships. Firm contracts are in place for the two vessels with a total value of $418 million. The vessels will be delivered in Q3 and Q4 2018 and will not require additional financing by APSI.

The 850 foot long vessels will be the largest Jones Act containerships ever constructed and will be utilized in Matson’s service from the U.S. West Coast to Hawaii. The vessels are capable of carrying a variety of container sizes and are able to operate at speeds in excess of 23 knots. The vessels will be built with dual fuel engines and will be ready for conversion to LNG propulsion.

We have a proven track record of building containerships and are greatly looking forward to being partnered with Matson again,” said Kristian Rokke, Aker Philadelphia Shipyard President and CEO. APSI previously delivered four containerships to Matson between 2003 and 2006.

The new vessels will incorporate a number of “green ship technology” features such as a fuel efficient hull design, dual fuel engines, environmentally safe double hull fuel tanks and fresh water ballast systems. Matt Cox, Matson President and CEO, remarked, “We are pleased to introduce the Aloha Class containership, built specifically to meet Hawaii’s future freight demands with increased cargo capacity. The new ships are designed to accommodate the diversified mix of cargo needed to support the state’s economy and will boost our capacity for moving 45-foot containers and refrigerated cargo. The ships will also carry construction materials more effectively. Most importantly, this considerable investment underscores Matson’s long-term commitment to providing Hawaii with a strong, reliable lifeline to and from the U.S. Mainland. These state-of-the-art advancements are important to Hawaii as a means to reduce fuel consumption, resulting in significant emission reductions over time in our home trade.”

Rokke continued, “The planned delivery dates for these new containerships allow APSI to continue to capitalize on tight oil opportunities by constructing eight product tankers between 2015 and 2017 while still positioning the shipyard for the renewal of the Jones Act container fleet. The winning of this order provides the shipyard significant backlog and valuable visibility out 2018, which is positive for our shareholders and other stakeholders as we expect to use this opportunity to further strengthen our competitive position.

APSI is currently constructing two 115,000 dwt crude oil carriers for SeaRiver Maritime, Inc., Exxon Mobil Corporation’s U.S. marine affiliate. Both of these crude oil tankers are scheduled for delivery in 2014. Pursuant to the joint venture announced on August 9, APSI also has contracts for the construction of product tankers with Crowley.

 

Press Release, November 7, 2013

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Posted on November 7, 2013

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