General Dynamics NASSCO has revealed the start of construction of a third “ECO” tanker to be built for American Petroleum Tankers at a steel cutting ceremony at NASSCO’s San Diego-based shipyard.

As part of a five-tanker contract, the new ECO tankers solidify a mutual commitment between General Dynamics NASSCO and American Petroleum Tankers to design, build and operate innovative and increased energy efficient and fuel-saving products.

Each of the five 50,000 deadweight ton product carriers to be constructed by NASSCO will be Liquefied Natural Gas (LNG)-conversion ready and will carry 330,000 barrels of cargo. With a specialized ECO design, the tankers are more energy efficient and incorporate environmental protection features, including a Ballast Water Treatment System.

Director of commercial programs for NASSCO, Parker Larson said “This is an exciting time in the U.S. maritime industry. These Jones Act product tankers demonstrate implementation of state-of-the-art design technologies that achieve world-leading fuel efficiencies and also represent new jobs in our shipyard.”

The five-tanker contract is instrumental in helping to sustain and grow NASSCO’s workforce of nearly 3,800. NASSCO began construction on the first tanker under the current contract in September 2014.

President of American Petroleum Tankers, Rob Kurz said, “We are very pleased to be commencing construction of our third ECO Class tanker at NASSCO. These world class vessels will be a welcome addition to the APT fleet as we continue to strive toward providing our customers with the highest level of service.”

The new construction and operation of the new vessels are aligned with the Jones Act, requiring ships carrying cargo between U.S. ports to be built, crewed and owned by the U.S.