The Naval Sea Systems Command (NAVSEA) awarded Gulf Island Shipyards LLC a $63.6 million contract for the detail design and construction (DD&C) of the Towing, Salvage and Rescue Ship (T-ATS) on Friday.
The fixed-price with economic price adjustment contract includes options for up to seven additional ships. If all options are exercised, the value will rise to $522.7 million.
The T-ATS is meant to replace the older Powhatan-class (T-ATF-166) and Safeguard-class (T-ARS 50) ships that conduct rescue, salvage, and ocean tug duties.
Work will largely be conducted in Houma, La., and is expected to be finished by September 2020.
The Navy’s FY ’19 budget request included $80.5 million for one T-ATS, with construction starting in FY ’19 and first ship delivery planned for FY ’20 (Defense Daily, Feb. 12).
Separately, on Monday, the Navy’s Strategic Systems programs awarded Lockheed Martin [LMT] a $522 million modification to exercise options for Trident II (D-5) missile production and deployed system support.
Work will be split among numerous locations throughout the U.S. and is expected to be finished by September 2022.