General Dynamics Electric Boat wins $4.6bn US Navy contracts

General Dynamics Electric Boat has been awarded three US Navy contracts totalling $4.6bn (£2.8bn) to design and develop the next-generation strategic deterrent submarine, and to continue construction and purchasing of materials for Virginia-class attack submarines.

The first deal — awarded under a five-year, $1.85bn Ohio Replacement Program contract — Electric Boat will perform research and development work for the new class of ballistic-missile submarine, which is scheduled for a 2021 construction start.

Electric Boat will also continue development of the joint US Navy/Royal Navy Common Missile Compartment for Ohio Replacement submarines and the UK Successor-class ballistic-missile submarine, with a potential contract value of $1.995bn.

In addition, the company received a $2.5bn award to build the South Dakota and Delaware Virginia-class submarines, and, under a third award, will receive $308m to purchase long-lead-time materials for three as-yet-unnamed Virginia-class submarines.