General Dynamics (GD) Bath Iron Works has received a new contract to provide lead yard services for the US Navy’s DDG 51 Arleigh Burke-class guided missile destroyer programme.

The deal is valued at $49.8m for the first year and involves four additional option years, which would increase the total value of the award to $304.8m if exercised.

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General Dynamics Bath Iron Works president Dirk Lesko said: “This contract enables our efforts to complete a Flight III design upgrade in support of the US Navy’s strategy for acquiring ships with additional capability in fiscal year (FY) 2018 and FY 2021.”

"This contract enables our efforts to complete a Flight III design upgrade in support of the US Navy’s strategy for acquiring ships with additional capability."

The planned Flight III upgrades for the DDG 51-class vessels include the installation of a more powerful missile defence radar, as well as an increase in shipboard power production and improvements to the ship’s hull.

Bath Iron Works is serving as the lead shipyard and design agent for the US Navy’s Arleigh Burke-class guided missile destroyers.

The company has been supplying design and technical assistance for the upgrade and renovation of the two shipyards responsible for constructing the vessels since 1987.

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Bath Iron Works is currently carrying out the construction of the Arleigh Burke-class ships Thomas Hudner (DDG 116), Daniel Inouye (DDG 118), Carl M Levin (DDG 120), John Basilone (DDG 122) and Harvey C Barnum Jr (DDG 124).

The US Navy’s Arleigh Burke-class destroyer is a multi-mission combatant that offers a range of anti-submarine, anti-air and anti-surface capabilities against a wide range of threats, including ballistic missiles.

General Dynamics Bath Iron Works previously secured a $59m contract for the continuation of lead yard services and Flight III upgrade design efforts for the DDG 51-class ships in December 2016.