The US Naval Nuclear Propulsion Programme has awarded contracts to two subsidiaries of BWX Technologies (BWXT) to manufacture naval nuclear reactor components and fuel.
The contracts include options that when exercised will bring the total value of the order to approximately $3.1bn.
BWXT Nuclear Operations Group (BWXT NOG) has been chosen for the reactor components order, while Nuclear Fuel Services (NFS) received the naval nuclear fuel award.
This year, the company has received nearly $1.2bn of the contract. Subject to annual Congressional appropriations, the remaining contract awards are expected to be received between 2017 and 2018.
BWXT NOG will perform a range of naval nuclear reactor manufacturing activities to support the ongoing construction of the US Navy’s Ford-class carrier construction, Nimitz-class carrier refuelling, Virginia-class submarine construction, and preliminary Ohio-class submarine replacement work.
The company will carry out the reactor component work at its facilities in the US in Lynchburg, Virginia; Barberton and Euclid, Ohio; and Mount Vernon, Indiana.
At the NFS facility in Erwin, Tennessee, US, manufacture and delivery of fuel and support activities for the US Naval Nuclear Propulsion Programme, as well as the development of material for future Naval Reactors programmes will be performed.
BWXT president and CEO Peyton Baker said: "We look forward to providing the critical nuclear components and fuel that power the navy’s submarines and aircraft carriers and help keep the United States and its allies safe.
"The awards of these contracts demonstrate the continued reliability placed on BWXT to execute this important work for the US Government in a safe and cost-effective manner."
Last year, BWX Technologies (BWXT) was contracted to support the manufacture of naval nuclear reactor components for the US Navy’s submarines and aircraft carriers.