Bath Iron Works has been awarded a $50 million contract to provide lead yard services for the Arleigh Burke class of guided missile destroyers.
The contract is valued at $49.8 million for the first year with four option years and a total potential contract value of $304.8 million.
The contract was not competitively procured, according to the U.S. Department of Defense.
Only BIW and Huntington Ingalls Industries in Pascagoula, Mississippi, build Arleigh Burke-class destroyers, or DDG 51s, for the U.S. Navy.
“This contract enables our efforts to complete a Flight III design upgrade in support of the U.S. Navy’s strategy for acquiring ships with additional capability in Fiscal Year 2018 and Fiscal Year 2021,” BIW president Dirk Lesko said in a release Friday.
Currently BIW has five Arleigh Burkes under construction, as well as the third Zumwalt-class destroyer, the DDG 1002.
The company bid earlier this year with Ingalls on the next multiyear procurement of DDG 51s, which a Navy spokeswoman confirmed earlier this year are expected to be awarded this summer.
Follow BDN Bath-Brunswick on Facebook for the latest news from the Bath-Brunswick area and Lincoln and Sagadahoc counties.