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Navy Issues Order to Babcock & Wilcox Company for Nuclear Power Components

February 10, 2012 by
Filed under: Babcox & Wilcox, Business Line, Companies, Contract Additions, Contract Awards, Department of Defense, Events, logistics, NFS, production program, Services, U.S. Navy 

Babcock & Wilcox (B&W) announced that the U.S. Navy executed an option on a contract they were awarded in 2010 for nuclear reactors and fuel for Navy aircraft carriers and submarines. The order was from the FY12 budget and has a value of $600 million. The contract if all options are exercised is worth about $2 billion.

The Nuclear Operations Group of B&W supports not only propulsion plants for the Navy’s ships and submarines but also R&D and component production. It also sells to the civilian nuclear power industry as well as conventional power plants.

B&W has been designing, manufacturing and installing boilers and steam plants for use in power generation and ship propulsion since the middle of the 1800′s. In 2008 it acquired Nuclear Fuel Services, Inc. as a subsidiary to expand its products into nuclear fuel.

The U.S. Navy now operates only aircraft carriers powered by reactors as well as a large submarine fleet. These require periodic refueling. The U.S. is also planning to continue to construct several new aircraft carriers and submarines over the next ten years which will also require power plants.

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