Americas News
Tote Secures U.S. Government Loan Guarantee for LNG Box Ships
U.S. Transportation Secretary, Anthony Foxx, on Monday announced a $324.6 million loan guarantee for Tote Shipholdings Inc. (Tote) to finance construction of two liquified natural gas (LNG)-powered container ships for delivery in 2015 and 2016.
The guarantees provided to Tote under the Title XI program guarantees the repayment of loans obtained in the private sector by ship owners for the construction, reconstruction, or reconditioning of vessels in U.S. shipyards.
"As dual fuel vessels, primarily operating with LNG, but with light diesel as needed, the vessels will be the most environmentally friendly containerships in the world, with engines that reduce the discharge of particulates to well below the levels mandated by the U.S. Environmental Protection Agency," the U.S. Maritime Administration said.
Foxx declared: "This one act significantly reduces emissions."
According to shipbuider General Dynamics NASSCO (NASSCO), the new container ships will be 233 metres long, double hulled, with a capacity of 3,100 TEU .
The two Jones Act box ships will ply the Jacksonville, FL to Puerto Rico route when completed by the NASSCO shipyard at San Diego, CA.
Earlier this month NASSCO announced it had begun building the first of five LNG-conversion-ready tankers at it's San Diego shipyard for American Petroleum Tankers.
