FRANKFURT, Germany: Salvage teams have started assessing the damage caused by fire aboard the ship, Felicity Ace, which was scheduled to arrive in the Port of Davisville, Rhode Island on 23rd February.

On 16th February, the vessel, carrying thousands of luxury vehicles owned by Volkswagen and its brands, began burning in the Atlantic Ocean near the Azores Islands. At that time, the Portuguese Navy rescued all 22 crew members aboard the ship.

The cause of the fire remains unknown.

“There is no oil leakage from the vessel, and the stability of the vessel remains stable. The smoke leaving the vessel has currently stopped and is not visible. The salvage team on site were able to board Felicity Ace by a helicopter and the vessel has started being towed by the large salvage craft ‘Bear’ to a safe area off the Azores,” said Felicity Ace’s operator MOL Ship Management.

The Felicity Ace, which is being escorted by two tugs and a large salvage craft with additional fire fighting capability, was carrying some 4,000 luxury vehicles, including 1,100 Porsches and 189 Bentleys, as well as Audis and Lamborghinis.

A Volkswagen spokesperson told FOX Business, “We fear that the fire on the ship has damaged a large number of the nearly 4,000 Group-brand vehicles to such an extent that they can no longer be delivered to customers. More detailed information is not yet available. Brands and dealers have already begun informing their customers and finding individual solutions.”

According to Volkswagen, the damage to the vehicles are covered by insurance. It has been estimated that the Felicity Ace fire could generate at least $155 million in expected losses.