The U.S. Navy announced the $45.8 million contract option has been awarded to BIW for continued DDG-1000 Zumwalt program design support, program and data management and ship integration services, among other requirements.

The contract modification comes as the Zumwalt program moves forward toward a production phase after U.S. company Raytheon announced the completion of a production readiness review for the DDG-1000 program.

"This award confirms the Navy's ongoing commitment to bring this next-generation destroyer to the fleet," Dugan Shipway, BIW president, said in a statement.

"The shipbuilders of BIW welcome the award and are encouraged by the confidence expressed by the Navy, members of Congress and supporters of this program as we continue to work together to build this much-needed ship."

BIW, a subsidiary of General Dynamics (NYSE:GD), was initially awarded the Zumwalt support contract in February 2008.