BWX Technologies’ (BWXT) subsidiary BWXT Nuclear Operations Group (BWXT NOG) has secured a contract to procure long-lead materials for the manufacture of naval reactor components.
The contract was awarded by the US Naval Nuclear Propulsion Program and has a total value of around $806m, including options.
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BWXT president and CEO Rex Geveden said: “BWXT remains committed to fulfilling our mission to deliver the highest quality nuclear propulsion components to the US Navy.
“This award enables us to begin critical procurements for long-lead items to meet the rising demand for naval nuclear propulsion systems.”
BWXT NOG and another subsidiary, Nuclear Fuel Services, reached a price agreement with the US Naval Nuclear Propulsion Program in February. The agreement relates to new contracts totalling around $2.1bn, including future-year options, for naval nuclear reactor components and fuel.
The material procurement and component manufacturing activities in the contract are intended to support the construction of the navy’s Virginia-class and Columbia-class submarines.
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By GlobalDataThe latest contract will provide material required for fabrication of components for the submarines of the two classes, and for Ford-class carrier options.
BWX Technologies stated that the base material procurement contract has seven annual options available through 2025.
The first option for the fiscal year 2019 has a value of $75m. The average annual value of the remaining six options in the contract is $122m.
The company provides reactors for the Virginia, Ohio, Seawolf and Los Angeles-class submarines.
