Jan. 31 (UPI) -- Charles Stark Draper Laboratory was awarded a contract for submarine-launched Trident nuclear missile guidance systems.
The deal, announced Tuesday by the Department of Defense, is valued at more than $65.5 million under the terms of a fixed-price-incentive, cost-plus-incentive-fee contract, which is a modification on a previous contract award.
The agreement between Charles Stark Draper Laboratory and the Navy provides for "failure verification, test, repair and recertification of inertial measurement units, electronic assemblies and electronic modules" in support of the Trident D-5 MK 6 guidance system.
The guidance system is integrated into U.K. Royal Navy Vanguard-class and U.S. Ohio-class nuclear-powered ballistic missile submarines.
The system aids in the firing and launching of the UGM-133A Trident II or Trident D-5 ballistic missiles built by Lockheed Martin Space Systems, according to CSIS.
The contract has a built-in option that, if exercised, would bring the total value of the deal to more than $370.1 million, the Pentagon said.
Work on the contract will occur in Florida, Minnesota, and Massachusetts, and is expected to be completed in January 2021.
More than $65.5 million of combined funding from the Navy fiscal 2017 weapons procurement allotment and United Kingdom funds has been obligated to Charles Stark Draper Laboratory at the time of award contract.
The obligated funds will not expire at the end of the current fiscal year.