Page 18: of Maritime Reporter Magazine (November 15, 1971)

El Paso Natural Gas

Announces Plans To Build

Six U.S.-Flag LNG Ships

The largest private shipbuilding plans in U.S. maritime history were recently announced in

Washington, D.C., and involved construction of six huge U.S.-flag liquefied natural gas (LNG) carriers to bring fuel from Algeria to East Coast

U.S. utilities.

The total package could run to more than $400 million, according to a joint announcement by the

Commerce Department and El Paso Natural Gas

Co. It is also the first of these new type carriers slated for the American merchant fleet.

An application for construction subsidy for the ships—to a maximum extent of 43 percent of the contract price—is to be filed, officials said.

Commerce Secretary Maurice Stans said the prospective orders were the "most significant ac- tion so far taken under the President's new mari- time program ... it will add importantly to domestic employment" as well as the balance of payments, since equipment for an Algerian-based liquefaction plant will be exported.

El Paso was said to be hoping to get bids from as many shipyards as possible.

The six ships, each of 900-foot length, 140- foot beam, 36-foot draft, speed of 20 knots, 90,- 0C0 deadweight tons, and capable of hauling 125,000 cubic meters of liquefied gas, will bring the product from the liquefaction plant to be built, at a cost of $350 million near Arzew, Al- geria, to regasification plants in Cove Point, Md., and Savannah, Ga. These two plants will cost some $200 million, an announcement said.

Construction of the six ships, Mr. Stans es- timated, will mean 30,000 to 40,000 man years of employment in U.S. yards, not counting the jobs arising from the regasification plants. Mr. Stans also noted that the planned-for service will open a new supply of natural gas for the heavy demand area of the Eastern Seaboard and helps "main- tain United States leadership in an important de- veloping technology."

El Paso's board chairman Howard Boyd said the company hopes to take delivery of the ships in 1975 and 1976.

Holme And Duncan Appointed

At Paceco International Ltd.

Alan L. Holme Alastair C. Duncan

Paceco International Limited announces the addition of two new staff members to its Lon- don headquarters office. Alan L. Holme has been appointed deputy managing director, and

Alastair C. Duncan is the new area sales man- ager. The company is a subsidiary of Paceco, a

Division of Fruehauf Corporation, U.S.A.

Mr. Holme, who received his degree in engi- neering from Cambridge, was previously man- ager of the Contracts Division of David Bridge & Company. Prior to that, he was marketing manager of the Gear Division of David Brown

Corporation.

Mr. Duncan was export executive with Coles

Crane Limited before joining Paceco. He gained his engineering experience through ap- pointments with U.K.A.E.A. and as chief me- chanical engineer, technical advisor to the Iran

Plan Organization, and project engineer to the

U.S. Mission in Iran. Both men are British subjects.

National Shipping & Trading

Orders 2 Tankers From Hitachi

Two 127,800-dwt tankers have been ordered from Hitachi Zosen of Japan by the National

Shipping & Trading Corp., New York, N.Y. The approximate measurements of the ship will be 837 feet in length, with a 136-foot beam and a depth of 73 feet. The tankers will be powered by a 23,200-shp Hitachi B&W diesel engine pro- ducing a speed of 15.4 knots. One vessel is sched- uled for completion in 1973 and the other in 1974.

BLOUNT DELIVERY: Blount Marine Corporation, War- ren, R.I., recently delivered the 65-foot steel tanker Duff shown above to The Vane Brothers Company, Baltimore,

Md. Built under U.S. Coast Guard supervision, the Duff will carry 1,000 barrels of diesel oil for direct bunkering and delivery to shore depots in the Chesapeake area.

Designed by the Blount Marine Corporation design staff, the vessel is equipped with both 2-inch and 4-inch dis- charge lines operated by a Viking pump for fast bunker- ing service. Power is furnished by a General Motors 6-7IN diesel driving a 46-inch Federal propeller. The

Vane Brothers Company have been ship chandlers since 1898.

Maritime Reporter/Engineering News

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