Page 42: of Maritime Reporter Magazine (December 15, 1970)

J.D. Deal Jr. To Head

Market Development

At Newport News Ship

Newport News Shipbuilding, a

Tenneco company, has set up a mar- ket development division to carry out its intention to capture the lead in new United States merchant ship con- struction and named Joseph D. Deal

Jr. to head this activity.

In making the announcement, L.C.

Ackerman, president, said the poten- tial market for all elements of the nation's commercial shipbuilding dur- ing 1971-80 could total $13 billion.

The Tenneco subsidiary, winner of a U.S. Maritime Administration con- tract to design the 300 ships called for in the recently signed Merchant

Marine Act of 1970, is the world's largest private shipyard. Mr. Deal, head of the project team that won the contract, is a leading specialist in systems engineering studies.

Mr. Ackerman said the new mar-

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Key to the Newport News study was four basic designs characterized by interchangeable midbodies and stand- ardized bows, sterns and deckhouses.

The objective was to provide flexi- bility to meet ship operators' chang- ing needs and to effect construction savings through series production of standardized modules.

Joseph D. Deal Jr.

Newport News is conducting inten- sive studies of new shipbuilding meth- ods and facilities needed to capture a substantial share of the market for new merchant ship construction. To implement these plans, Mr. Acker- man said multi-ship, multi-year con- tracts are "absolutely essential to jus- tify the investment risk Newport

News must take to provide the mod- ern, mechanized facilities for series production of standardized ships."

In the MarAd study headed by

Mr. Deal, Newport News projected

U.S.-foreign trade to 1982. These forecasts, together with ship charac- teristics, operational costs, trade routes and state-of-the-art technol- ogy, were fed into computers to gen- erate more than 100 ship designs ranging from 10,000 to 500,000 deadweight tons.

From a final optimization process,

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Newport News' proposal called for four basic designs: • A 28,000-dwt multipurpose ship, designed for general cargo or dry bulk cargo. • An ore, bulk and oil carrier (OBO) of 74,000-dwt suitable for passage through the Panama

Canal. • A 120,000-dwt tanker designed to enter the major U.S. oil ports. • A 20,000-dwt containership, con- vertible for combination break- bulk or roll-on/roll-off cargoes, with a service speed of 23 knots.

The scope—and the cost—of the yard's study went far beyond the $500,000 MarAd contract award be- cause it "served the long-range ob- jective of Tenneco to develop profit- able manufacturing operations," Mr.

Ackerman said.

In organizing the new market de- velopment division, which will include major commercial ship conversions, such as jumboizing, and new mer- chant ship construction, Mr. Acker- man said the principal tasks will be to provide primary contact with cus- tomers, coordination of all inquiries and evaluation of competition. In ad- dition, the division will analyze mar- ket data, develop objectives and strategy, and also be responsible for advanced systems development, in- cluding concepts of total transporta- tion and new ship systems.

Mr. Deal, holder of S.B. and S.M. degrees in naval architecture and ma- rine engineering from the Massachu- setts Institute of Technology, has been serving as Newport News' manager of advanced systems design.

Newport News Shipbuilding, founded in 1886, was acquired by

Tenneco in 1968. It employs more than 18,000 and currently is building the nuclear-powered aircraft carriers

Nimitz and Eisenhower. Its backlog includes several nuclear submarine overhauls and construction of two new nuclear submarines and two nu- clear-powered frigates for the Navy.

The company also has design con- tracts for the Navy's new "fast" sub and DLGN-38, a new class of frig- ate.

In preparation for its future com- mitments to large ship construction,

Newport News Shipbuilding recently completed construction of one of the largest gantry cranes in the world.

The 19-story-high crane spans two shipways, travels on tracks 440 feet apart and is capable of loads in excess of 310 tons. The crane effectively handles materials in a 16-acre area serving the yard's new steel handling and fabrication facilities, as well as extending 150 feet into the James

River.

APL Mails Invitations

For Bids To Convert

Five C-4 Freighters

Invitations have been mailed to

United States yards by the American

President Lines, San Francisco,

Calif., for bids to convert five C-4 freighters into containerships. The opening date for the bids is scheduled early in January 1971.

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