Electric Boat awarded $1B contract modification from Navy

Updated at 2:30 p.m., May 24

GENERAL DYNAMICS Electric Boat, which has operations in North Kingstown, has been awarded a $1.076 billion contract modification from the U.S. Navy for Virginia-Class fast-attack submarines. / COURTESY GENERAL DYNAMICS ELECTRIC BOAT
GENERAL DYNAMICS Electric Boat, which has operations in North Kingstown, has been awarded a $1.076 billion contract modification from the U.S. Navy for Virginia-Class fast-attack submarines. / COURTESY GENERAL DYNAMICS ELECTRIC BOAT

PROVIDENCE – General Dynamics Electric Boat, which has a manufacturing facility in North Kingstown at Quonset Point, has been awarded a $1.076 billion contract modification from the U.S. Navy for Virginia-Class fast-attack submarines.

Electric Boat is under contract for the construction of submarines in Block V of the class. The advance procurement funds from this contract modification will enable Electric Boat to purchase materials and major components for two hulls, according to a company news release.

“This contract modification sends a crucial demand signal to the submarine industrial base, enabling our suppliers to invest in the capacity and materials needed to increase production volume,” said Kevin Graney, president of General Dynamics Electric Boat.

In response to a PBN inquiry, an EB spokesperson said Wednesday that the contract modification would allow for the purchase of materials and components to build the submarines but would not add work at Quonset Point and Groton, Conn., beyond what is planned already. Also, the modification would not lead to more hiring at Quonset Point, the spokesperson said.

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The Virginia-class submarine construction is split between Electric Boat in Groton and Newport News Shipbuilding Yard in Newport News, Va.

Virginia-class submarines are designed for missions including anti-submarine and surface ship warfare and special operations support.

In 2022, General Dynamics Electric Boat hired workers at its fastest rate on record, with 3,900 shipbuilders added to its workforce in both Quonset Point and Groton.

In December 2022, the U.S. Navy awarded an additional $5.1 billion modification to the contract awarded to General Dynamics Electric Boat for its Columbia-class nuclear submarines project.

Hailed as “the nation’s next-generation, sea-based strategic deterrent,” according to the U.S. Department of Defense, the submarines are projected to be completed by 2030. The work is taking place at the Quonset Point manufacturing facility in North Kingstown, as well as in Groton and Newport News The Columbia class will replace the aging Ohio class of ballistic missile submarines, which were also designed and built by Electric Boat.

The 560-foot-long Columbia-class submarines will be the largest ever built by the U.S. and will be equipped with a fuel core that will power the submarine for its entire service life, “eliminating the need for a mid-service refueling,” the company said.

The initial contract worth $5.1 billion was awarded to Electric Boat in 2017. The company says it plans to deliver the lead ship USS Columbia to the Navy in 2027. Two of the submarines, the USS Columbia and the USS Wisconsin, are currently being built.

(Updated to add comments from Electric Boat in the fourth paragraph about the effects of the modification on Quonset Point operations.)

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