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CONTRACT NEWS IN BRIEF

July 8, 2022 by

UNITED KINGDOM

 

LAND

 

06 Jul 22. Rheinmetall Electronics UK awarded contract to supply drivers vision system for Challenger 3 programme. Rheinmetall Electronics UK Ltd are pleased to announce their contract award from Rheinmetall BAE Systems Land (RBSL) to supply the Driver Vision System for the Challenger 3 Programme for the British Army.  The contract is Rheinmetall Electronics UK’s second UK contract to provide their TRAILBLAZER Driver Vision Aid for the UK Ministry of Defence, following the announcement of their Boxer contract award last year.  The scope of the programme will be delivered over the next seven years and will create and sustain jobs the local community and beyond, with sub-contract awards located throughout the UK.  Trailblazer is designed, built and tested at Rheinmetall Electronics UK’s headquarters on the Isle of Wight where the company opened a dedicated production facility in 2019, specifically to enable in-house development, production and testing of all products.

 

SEA

 

06 Jul 22. Ultra Electronics Ocean Systems Inc., Braintree, Massachusetts, is awarded an indefinite-delivery requirements contract in the amount of $42,099,961. The contract contains firm-fixed-price, cost-plus-fixed-fee, and cost reimbursable contract line items supporting the production and delivery of Acoustic Device Countermeasure (ADC) MK 2 and ADC MK 2 training devices used on surface vessels and submarines. This contract has a five-year ordering period from fiscal years 2022 to 2027, and potential deliveries of Foreign Military Sales units and services in support of the United Kingdom and the Netherlands. Work will be performed in Braintree, Massachusetts (96%); Chantilly, Virginia (2%); and Wake Forest, North Carolina (2%), with an ordering period through July 2027. Fiscal 2022 weapons procurement (Navy) funds in the amount of $2,245,494 (39%); fiscal 2022 other procurement (Navy) funds in the amount of $2,194,266 (38%); and fiscal 2021 weapons procurement (Navy) funds in the amount of $1,357,542 (23%) will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was competitively solicited via the System for Award Management website, with one offer received. The Naval Undersea Warfare Center Division Keyport, Keyport, Washington, is the contracting activity (N00253-22-D-0002).

 

TECHNOLOGY

 

04 Jul 22. Filtronic has announced a £400,000 deal with an aerospace and defence company – its second sizeable deal in a week. The company, which designs and makes products for the aerospace, defence, telecoms infrastructure and critical communications markets, said the new contract win is with an existing customer, for a series of filter related developments. The new contract is a prototype order after a long development cycle, using its expertise in complex microwave switched filter bank technology. The order is expected to be delivered within the 2023 financial year, and chief executive Richard Gibbs said there is a good chance of follow-on orders being received in the future for the product. (Source: Google/https://www.business-live.co.uk/)

 

EUROPE

 

LAND

 

05 Jul 22.  The Organisation for Joint Armament Cooperation (OCCAR) signed a contract amendment to an existing contract for binocular night vision goggles on behalf of Belgium and Germany with a Consortium consisting of HENSOLDT Optronics and THEON SENSORS. The contract amendment worth a mid-three-digit m amount activates the existing option of the supply of an additional 20.000 MIKRON Night Vision Goggles to the German Armed Forces while at the same time the delivery schedule shall be accelerated. The follow-up contract will be executed by the newly founded joint venture HENSOLDT Theon Night Vision. The contract amendment furthermore covers various enhancements of MIKRON and changes to the system configuration as a result of the Operational Testing and Acceptance phase which was successfully passed by the end of February 2022.

 

04 Jul 22.  MilDef, a global provider of tactical IT, will provide technology to a Norwegian defense vehicle program with deliveries 2022-2023. This is a follow-up order on an existing program and a mid-life upgrade of armored vehicles in the M113 series. The customer is NDMA, Norwegian Defense Materiel Agency. MilDef will equip armored vehicles with computers, displays and network infrastructure for Command and Control. Various variants of the M113 armored vehicles will be the focus for the deliveries in this program. Existing technology in the vehicles was delivered by MilDef and other suppliers in 2008. The new delivery consists of tactical IT from MilDef’s hardware portfolio, integrations, and other services. The order value of deliveries in 2022 are estimated to approximately 12 MSEK and 70 MSEK in 2023.

 

SEA

 

01 Jul 22. Indra has received contracts from the Norwegian company Kongsberg Defense & Aerospace for more than 70m euros [$72.9m] to equip the combat systems of the future type 212CD [common design] submarines of Norway and Germany with intelligent electronic defense systems that include the latest generation technologies and with low-probability-of-intercept navigation radars that provide maximum capability to accomplish any mission and speed up decision-making. (Source: Google/https://bulgarianmilitary.com/)

 

06 Jul 22. Finnish Border Guard orders two OPVs from Meyer Turku. The Finnish Border Guard (FBG) has awarded a contract to Meyer Turku for two new liquefied natural gas (LNG)-powered offshore patrol vessels (OPVs). The new vessels will be an improved variant of the OPV Turva, which was commissioned into FBG service in 2014 as the world’s first LNG coastguard ship. Under the terms of the contract, signed on 29 June, the first new OPV is expected to be completed in 2025, and the second boat in 2026. They are intended to replace three older OPVs: Merikarhu, Tursas, and Uisko, and will have an expected service life that extends into the 2050s. Based on Turva’s specifications, the two new OPVs are expected to be 96 m long with a 5 m draft and a top speed of 18 kt to navigate Finland’s 4,600 km irregular coastline that is dotted with islands, islets, and skerries. (Source: Janes)

 

AIR

 

06 Jul 22. The Netherlands Ministry of Defence (MoD) has acquired a used Gulfstream 650 (G650) to replace the existing Gulfstream IV (G-IV) aircraft. The newly purchased aircraft will be used from next year. According to the MoD, the G650 aircraft has logged in more than 2,000 flight hours. With the G650 purchase, the MoD aims to fulfil the demands reported to the House in 2019 for replacing the old Gulfstream. The Gulfstream IV is around 35 years old aircraft and is at the end of its service life. The old aircraft has been in service with the MoD since 1996 and will be divested after the G650 is inducted into service. A used aircraft was chosen due to its lower purchase cost and guaranteed availability. The aircraft was purchased through Jet Aviation in Basel, Switzerland. The company will also be responsible for the conversion of aircraft according to the configuration requirements of the MoD. Following its conversion, the G650 aircraft will be equipped with a self-protection system. (Source: airforce-technology.com)

 

USA

 

LAND

 

06 Jul 22. Allison Transmission, a leading designer and manufacturer of conventional and electrified vehicle propulsion solutions for tactical wheeled and tracked defense vehicles, and medium- and heavy-duty commercial vehicles will provide the X1100TM-5B propulsion solution for the U.S. Army’s new M88A3 HERCULES (Heavy Equipment Recovery Combat Utility Lift and Evacuation System) prototype vehicle. This initiative is consistent with the Army’s continued investments in combat readiness and fleet modernization and represents more than $37 m in engineering design, development, fabrication, testing, and demonstration funds for Allison’s X1100TM-5B for the M88A3 HERCULES prototype vehicles through 2023. A decision by the Army to transition to production is expected in early 2024. Currently, there are more than 900 M88 vehicles in the U.S. Army. (Source: BUSINESS WIRE)

 

07 Jul 22. General Dynamics Land Systems Inc., Sterling Heights, Michigan, was awarded a $280,112,700 firm-fixed-price contract to procure trophy kits for the M1A2 SEPv2 and M1A2 SEPv3 Abrams Family of Vehicles. Bids were solicited via the internet with two received. Work locations and funding will be determined with each order, with an estimated completion date of July 7, 2027. U.S. Army Contracting Command, Detroit Arsenal, Michigan, is the contracting activity (W56HZV-22-D-0074).

 

06 Jul 22. General Dynamics Land Systems Inc., Sterling Heights, Michigan, has been awarded a maximum $145,470,509 firm-fixed-price, indefinite-delivery/definite-quantity contract for multiple spare parts in the Abrams Main Battle Tank, Stryker Family of Vehicles, Light Armored Vehicle Family of Vehicles, Cougar, Buffalo and RG-31. This was a sole-source acquisition using justification 10 U.S. Code 2304(c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a five-year contract with no option periods. Location of performance is Florida, with a July 29, 2029, delivery completion date. Using military service is Army. Type of appropriation is fiscal 2022 through 2027 Army working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Columbus, Ohio (SPE7LX-21-D-0110).

 

07 Jul 22. Teledyne FLIR Defense, part of Teledyne Technologies Incorporated (NYSE:TDY), announced that it has received new orders worth $62.1m from the U.S. Armed Services for its advanced, multi-mission robots. The U.S. Army, Navy, and other command centers placed orders for nearly 500 more Centaur® unmanned ground systems, including additional spares, antennas, and payload mounting kits. This latest award raises the value of the original Man Transportable Robot System Increment II (MTRS Inc. II) contract from roughly $190 m to more than $250m. Explosive Ordnance Disposal (EOD) teams use the Teledyne FLIR Centaur ground robot to disable unexploded ordnance (UXO), improvised explosive devices, landmines, and to perform similar dangerous tasks. Operators can quickly attach different sensors and payloads to the robot to address other missions, including chemical, biological, radiological and nuclear (CBRN) threats. (Source: BUSINESS WIRE)

 

SEA

 

01 Jul 22. The U.S. Coast Guard selected Austal USA to take over its Offshore Patrol Cutter program, opting not to stick with Eastern Shipbuilding Group, which is building the program’s first four ships. Austal on Thursday won a $208.3m contract for its first OPC, with the potential to build as many as 11 ships for up to $3.33bn. The deal gives a significant boost to the Alabama shipyard, which invested heavily in transitioning half of its aluminum shipbuilding line to a steel production line but has struggled to secure work to keep that production line busy. In 2016, the Coast Guard selected Eastern to build the OPC program, set to include as many as 25 ships. The company’s Panama City yard was decimated by Hurricane Michael in 2018, and the Coast Guard decided in 2019 it would recompete the program to ensure OPC remained on schedule and budget. (Source: Defense News)

 

AIR

 

05 Jul 22. Northrop Grumman Corporation (NYSE: NOC) today announced the selection of Airbus U.S. Space & Defense Inc. as the commercial provider of satellite platforms for its proliferated-LEO constellation. Under the terms of the contract, Airbus U.S. will supply 42 satellite “bus” platforms, as well as support vehicle assembly, integration and testing. The Space Development Agency (SDA) selected Northrop Grumman in February to develop and field a portion of its Tranche 1 Transport Layer (T1TL) constellation. The T1TL network will deliver persistent, secure connectivity for the U.S. military and serve as a critical element for Joint All-Domain Command and Control.

 

01 Jul 22. Northrop Grumman Systems Corp., Woodland Hills, California, is awarded a $337,943,520 cost-plus-fixed-fee, firm-fixed-price and cost reimbursable indefinite-delivery/indefinite-quantity contract. This contract provides researching alternatives, investigating and documenting new capabilities and anomalies related to H-1 avionics and weapons; and the development, integration, verification, validation, and testing of H-1 Integrated Avionics Systems, as well as identifies maintenance capabilities, upgrading and/or updating test equipment and other support equipment required to support the systems. Work will be performed in Woodland Hills, California (99%); and various locations within the continental U.S. (1%), and is expected to be completed in June 2027. No funds will be obligated at the time of award; funds will be obligated on individual orders as they are issued. This contract was not competitively procured pursuant to Defense Federal Acquisition Regulation 6.302-1. The Naval Air Warfare Center Weapons Division, China Lake, California, is the contracting activity (N6893622D0028).

 

TECHNOLOGY

 

01 Jul 22. Echelon Services LLC, Manassas, Virginia (HS0021-22-C-0004), was awarded a $153,398,872 firm-fixed-price and labor-hour contract for the Defense Counterintelligence and Security Agency (DCSA). The contract provides comprehensive cybersecurity support to the current enterprise and transformational cybersecurity support for the future DCSA organizational enterprise. Work will be performed in Quantico, Virginia. This contract is funded with fiscal 2022 DCSA defense working capital funds with $3,908,350 obligated at time of award, and operations and maintenance funds with $4,705,390 obligated at time of award. The anticipated period of performance includes one 12-month base period and four 12-month option periods. The solicitation resulting in this contract was competed and set-aside for seven 8(a) Small Businesses using Federal Acquisition Regulation 19.805 Competitive 8(a) procedures. As a result, seven offers were received. DCSA Acquisition and Contracting, Quantico, Virginia, is the contracting activity.

 

REST OF THE WORLD

 

LAND

 

07 Jul 22. Kongsberg Defence & Aerospace (KONGSBERG) has signed an initial contract valued at MNOK 489 with the Commonwealth of Australia for Naval Strike Missile (NSM) capability. The order income is booked in second quarter 2022. On 5 April 2022, the Federal Government announced the accelerated acquisition of the NSM to replace the Harpoon Anti-Ship Missile on the Royal Australian Navy’s ANZAC Class Frigates and HOBART Class Destroyers. Market forecasts by Region, Technology, System, Platform, Component, Guidance System, and End-User. Market and Technology Overview, Opportunity and Scenario Analysis, and Leading Company Profiles Developed in Norway, KONGSBERG’s NSM is a fifth-generation, long-range, precision strike missile designed to defeat heavily protected maritime targets in contested environments. (Source: ASD Network)

 

05 Jul 22. Rheinmetall to supply Skyguard 3 air defence systems – contract worth around €65m. Rheinmetall has been awarded by an international customer to supply air defence systems. The deliveries, which also include ammunition and spare parts, are scheduled to be completed in 2024. The total value of the order is around €65m. The systems ordered are Oerlikon Skyguard 3 with GDF009 twin guns and airburst-capable AHEAD ammunition, also produced by Rheinmetall. The order is of great importance to Rheinmetall. Not only does it strengthen existing customer relations, but it also underscores the high degree of confidence in Rheinmetall’s world-leading expertise in the field of ground-based air defence.

 

SEA

 

01 Jul 22. Lockheed Martin Corp., Rotary and Missions Systems, Moorestown, New Jersey, is awarded a $192,393,066 cost-plus-incentive-fee modification to previously awarded contract N00024-21-C-5127 for technical engineering and management efforts for the Australia Surface Combatant program. This contract involves Foreign Military Sales to the government of Australia. Work will be performed in Moorestown, New Jersey (94%); Camden, New Jersey (5%); Adelaide, Australia (1%), and is expected to be completed by September 2025. Foreign Military Sales (Australia) funding in the amount of $60,755,703 will be obligated at the time of award and will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.

 

 

AIR

 

05 Jul 22. Elbit Systems Ltd. (NASDAQ:ESLT and TASE: ESLT) (“Elbit Systems” or “the Company”) announced today that it was awarded a $80m contract to supply  Direct Infrared Counter Measures (“DIRCM”) and airborne Electronic Warfare (“EW”) systems for a country in Asia-Pacific. The contract will be performed over a two-year period. Under the contract, Elbit Systems will provide C-MUSIC™ DIRCM systems together with the Company’s Infra-Red-based Passive Airborne Warning Systems (IR-PAWS), for several aircraft types, providing high levels of protection and redundancy. These systems have accumulated hundreds of thousands of flight hours to date, and have been selected by numerous customers to equip more than 25 types of aircraft. Customers include Israel, Germany, NATO’s multinational fleet and others.

 

07 Jul 22. The Royal Thai Navy will sign a contract to procure seven Israeli-made unmanned aerial vehicles (UAVs) worth over 4bn baht. Vice Adm Pokkrong Monthatphalin, navy spokesman, revealed that the navy had chosen seven Hermes 900 UAVs from Elbit Systems, an international defence electronics firm based in Israel. The firm offered the non-tariff price of US$120m or approximately 4bn baht. The contract signing will take place at the Bang Chang naval air base in Rayong. The procurement contract will be drafted by a committee before being presented to the commander-in-chief Adm Somprasong Nilsamai. The navy, Elbit Systems Ltd and the National Anti-Corruption Commission will be the three signatories to the procurement contract, Vice Adm Pokkrong said. He also added that the navy will equip the aircraft with advanced defence technology to improve its ability to protect the country’s sovereignty and maritime territory. Five companies, one each from Turkey, China and the United States and two from Israel joined the RTN’s bid. The suppliers from China and Turkey proposed three UAVs, while Elbit Systems proposed seven and the other Israeli company, IAI, proposed five. The US bidder failed the screening test. The Royal Thai Army, currently, has four Hermes 450 drones, stationed at the Army Aviation Centre in Lop Buri province. (Source: UAS VISION/The Bangkok Post; The Nation Thailand; Thai PBS World)

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