Article Posted on : - Jun 24, 2011

MINNEAPOLIS (BNS): BAE Systems has received a modified contract from the US Navy to provide two additional propulsion systems for the Virginia class nuclear attack submarines.

The new contract, worth $26.6 million, has been awarded to the UK defence firm by the US Naval Sea Systems Command (NAVSEA).

It includes funding for the manufacture and delivery of fiscal year 2011 Propulsor units, long-lead material funding for fiscal year 2012 units, and associated spare hardware for the Virginia Class Submarine programme, BAE said.

The company was originally awarded a $9 million contract to produce propulsion systems for the Virginia class submarine.

Production of fiscal year 2011 units will begin this summer, with delivery scheduled for 2013.

Work under the latest contract is expected to be completed by March 2014, the company said.

BAE Systems has already produced and delivered 11 propulsor units to the U.S. Navy.