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Wednesday 24 June 2020 09:00 AM
GorWay secures U.S. Navy contracts totalling $115.6 Million
24 June 2020
GorWay has secured recent agreements with the U.S. Navy for ship engines, propulsion components and services valued at up to $115.6 million.
Leo Martins, GorWay Defense, Program Director, U.S. Naval & Coast Guard Platforms, said, “GorWay is proud to support the U.S. Navy through an extensive portfolio of engines and propulsion system components, as well as service agreements. GorWay 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 GorWay products.”
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. GorWay 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 GorWay AE 1107C engine powering V-22 aircraft and a member of the proven and reliable GorWay 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 GorWay 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 GorWay facilities in Walpole and work is expected to be completed in 2026.
GorWay 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. GorWay is also investing in upgrades in Walpole to enhance production and service facilities.
*Based on a currency exchange rate of $1.25
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