Page 16: of Maritime Reporter Magazine (December 15, 1978)

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Sun Ship Awarded $137.5 Million To Build

Two Ships For Waterman

Robert J. Blackwell, Assistant

Secretary of Commerce for Mari- time Affairs, U.S. Department of

Commerce, has announced the award of a $137,446,600 subsi- dized shipbuilding contract to Sun

Shipbuilding and Dry Dock Co.,

Chester, Pa., for the construction of two roll-on/roll-off container vessels. The ships will be built for Waterman Steamship Corpo- ration, New York, N.Y., and em- ployed in cargoliner service be- tween the U.S. Gulf Coast and

Northern Europe. "The true value of this con- tract extends well beyond the im- pressive dollar value," Mr. Black- well said. "It provides an eco- nomic lift for the hard-pressed

American shipbuilding industry, and will sustain thousands of jobs in the Philadelphia area and else- where. "In addition, it calls for the construction of two ships of a type that fortifies U.S.-flag lead- ership in intermodal shipping, and strengthens our national de- fense capability," Mr. Blackwell added.

This modern ro/ro design, with self-contained stern loading ramp for wheeled vehicles, is particu-


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EXCLUDING VENT CHECK larly well-suited for military op- erations". The ships also will have their own 30-ton container cranes and cargo elevators.

The two ships, scheduled for delivery in April and July 1981, will be the first to be built with

Federal subsidy at Sun under the

Merchant Marine Act of 1970.

Each will require an estimated 1,170 man-years of direct ship- yard employment, and sustain an equal amount of employment in the marine supply industries.

Overall, the shipbuilding contract will provide approximately 4,680 man-years of work in American in- dustry. In addition, each ship will be manned by a U.S. crew of 33.

Each of the vessels will have an overall length of 692 feet, a beam of 105% feet, and a fully loaded draft of 33 feet. They will each have a carrying capacity of 23,500 deadweight tons, including a container capacity of 1,524

TEUs (20-foot equivalent units).

The 32,000-horsepower ships will have a service speed of 20.9 knots.

The vessels are being built with the assistance of the Govern- ment's construction-differential subsidy program, which is de- signed to enable U.S. shipyards to reach cost parity with foreign competitors. The Maritime Ad- ministration will pay 48.85 per- cent of the cost of each vessel, plus $786,500 per ship for certain national defense features to be incorporated in the design.

The Maritime Administration also awarded Waterman a 20-year operating-differential subsidy agreement to operate the vessels on Trade Route 21 (U.S. Gulf ports to ports in the United King- dom, Republic of Ireland, and

Continental Europe north of Por- tugal, including Scandinavian and

Baltic ports and Soviet ports on the Barents Sea).

Waterman will employ four C4 breakbulk ships in this service until the ro/ros are completed.

These breakbulk ships—to be op- erated under a use-hire agree- ment—will be traded in to MarAd under the CDS agreement, and will be placed in the National De- fense Reserve Fleet when Water- man's two new ships are deliv- ered.

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First published in 1881 Maritime Reporter is the world's largest audited circulation publication serving the global maritime industry.