BIW wins $58M Navy contract for services on new destroyer builds

File photo Bath Iron Works has received a $58 million contract to provide support services for construction of Arleigh Burke-class destroyers. Shown here, the USS Daniel Inouye (DDG 118) is a Burke-class vessel that was built in Bath.

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By William Hall

Bath Iron Works has been awarded a contract worth $58 million to provide engineering and design work, logistical support, supply chain help and other services for the construction of Navy destroyers through December 2024.

The "lead yard support" contract includes options that could continue the work for another four years and bring the total value of the contract to $419 million, the shipyard said in a news release.

A subsidiary of aerospace and defense giant General Dynamics Corp. (NYSE: GD), BIW builds Arleigh Burke-class destroyers for the Navy and in August got a go-ahead to construct three more of them. In addition, the company has long provided design and technical services for the construction projects.

Only one other contractor, the Mississippi yard of Huntington Ingalls Industries Inc. (NYSE: HII), builds the Burke-class ships.

"BIW continues to provide Engineering, Design and Supply Chain expertise to the U.S. Navy in support of the most successful shipbuilding program in the history of the U.S. Navy,” said Chuck Krugh, president of Bath Iron Works.

“Our LYS team is currently performing major upgrades to the 10 recently awarded DDG 51 Arleigh Burke destroyers as part of the FY23 multi-year contract award. This ensures the U.S. Navy receives the most advanced DDG 51 class ships from the new construction building yards as they enter the fleet.”

The USS Arleigh Burke, a 505-foot ship commissioned in 1991 with hull designation DDG 51, was the first in a class of ships now considered the workhorse of the Navy's fleet. Earlier this month, BIW began work on its 45th Burke-class vessel, the John E. Kilmer (DDG 134).

BIW also has six others under construction: the John Basilone (DDG 122), Harvey C. Barnum Jr. (DDG 124), Louis H. Wilson Jr. (DDG 126), Patrick Gallagher (DDG 127), William Charette (DDG 130) and Quentin Walsh (DDG 132).