March 17 (UPI) — Northrop Grumman received a $68.7 million contract from the U.S. Navy for the production of littoral combat ship gun mission modules.
The contract includes outfitting assembly installation, interim depot level maintenance, engineering support and sustainment services. The deal includes other options which, if exercised, can its bring the total cumulative value to $812 million.
The U.S. Department of Defense says the work will be performed in various locations in Virginia, Alabama, New York, California, and other states. It is expected to be complete by July 2019.
Northrop Grumman received $23 million at the time of the contract award, with $500,000 set to expire at the end of the current fiscal year.
Littoral combat ships are vessels used by the navy to project power in offshore locations. Other functions for the ships include maintaining a forward presence, providing deterrence, sea control and maritime security.
The ships can also be used to support humanitarian operations.