Rolls-Royce secures $115.6m of U.S. Navy contracts

Rolls-Royce has secured agreements with the U.S. Navy for ship engines, propulsion components and related services valued at up to $115.6 million.

The engine contract, for $34.4 million, is a follow-on production agreement for 16 new MT7 gas-turbine engines for Navy Ship-to-Shore Connector Landing Craft. Rolls-Royce is the exclusive provider of gas-turbine engines installed on the landing craft, which is produced by Textron. The MT7 engine is produced in Indianapolis, Indiana, in the U.S., and is a variant of the Rolls-Royce AE 1107C engine powering V-22 aircraft and a member of the proven and reliable Rolls-Royce AE family of engines.

The propulsion components contract, valued at $10.9 million, will include production of main propulsion monobloc propellers, propeller hubs, blades and other components. The ship components will be produced at Rolls-Royce facilities in Walpole, Massachusetts.

The services agreement, valued at up to $70.3 million, covers maintenance and repair services of controllable pitch propeller (CPP) hubs and oil distribution boxes (OD Boxes) for multiple Navy ship classes including DDG 51 destroyers. The ship components will be serviced at Rolls-Royce facilities in Walpole and work is expected to be completed in 2026.

Leo Martins, Rolls-Royce Defense, Program Director, U.S. Naval & Coast Guard Platforms, said:

“Rolls-Royce is proud to support the U.S. Navy through an extensive portfolio of engines and propulsion system components, as well as service agreements. Rolls-Royce propulsion equipment is in service around the globe on nearly all U.S. Navy ships and the new agreements reflect continued confidence from the Navy in Rolls-Royce products.”

Rolls-Royce also say that it is nearing completion of $400 million in improvements in its advanced manufacturing capabilities in Indianapolis, where MT7 engines are produced, as part of a total $600 million investment program announced in 2015.