US Navy Orders Kongsberg NSM Missile for Littoral Combat Ships in $847M Deal

Pentagon Contract Announcement

(Source: US Department of Defense; issued May 31, 2018)

Ten years after the first LCS ship was commissioned, the US Navy has finally ordered a long-range missile for these vessels, whose only other weapon is a 57mm turret. The Naval Strike Missile is made by Norway’s Kongsberg group. (Kongsberg photo)

Raytheon Co., Missile Systems, Tucson, Arizona, is awarded a $14,856,016 firm-fixed-price contract for Over-the-Horizon Weapon Systems.

This contract will manufacture and deliver Over-the-Horizon Weapon Systems, which consists of encanistered missiles (EM) loaded into launching mechanisms (LM); and a single fire control suite (FCS).

This contract consists of EMs (tactical, telemetered and inert operational); FCSs; LMs; mission support equipment, training equipment and courses; engineering services; and travel and other direct costs.

This contract includes options which, if exercised, would bring the cumulative value of this contract to $847,611,857. (Emphasis added—Ed.)

Work will be performed in Kongsberg, Norway (75 percent); Tucson, Arizona (15 percent); Schrobenhausen, Germany (4 percent); Raufoss, Norway (3 percent); McKinney, Texas (2 percent); and Louisville, Kentucky (1 percent), and is expected to be completed by May 2020.

Fiscal 2018 research, development, test and evaluation (Navy) funding; and fiscal 2018 other procurement (Navy) funding in the amount of $14,856,016 will be obligated at time of award and will not expire at the end of the current fiscal year.

This contract was competitively procured via the Federal Business Opportunities website, with one offer received.

The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-18-C-5432).

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Raytheon Awarded LCS Over-the-Horizon Anti-Surface Weapon Contract; Deal Could be Worth $848M (excerpt)

(Source: USNI News; posted May 31, 2018)

By Sam LaGrone

The Norwegian-designed Naval Strike Missile has been officially selected to serve as the Littoral Combat Ship’s over-the-horizon anti-ship weapon, according to a Thursday Pentagon contract announcement.

The $14.8 million contract awarded to Raytheon will purchase the first round of missiles that will be incorporated on to the Freedom and Independence variants of the Littoral Combat Ships as part of Fiscal Year 2018 funds for OTH weapon research and development. The value could grow to $847.6 million if all contract options are exercised.

The award calls for the delivery of the Kongsberg designed, “encanistered missiles loaded into launching mechanisms; and a single fire control suite.” The contract did not specify how many missiles were paid for in the contract, but USNI News understands the Thursday award buys about a dozen missiles.

The subsonic NSM has been in service with the Royal Norwegian Navy since 2012. The weapon has a range of about 100 nautical miles with a cost of slightly less than the Raytheon Tomahawk Block IV cruise missile (the Navy quotes the price per round of the TLAMs at $569,000 per round in FY 1999 dollars (about $868,000 in 2018, adjusted for inflation). (end of excerpt)

Click here for the full story, on the USNI website.

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