Rolls-Royce, the global power systems company, has signed a contract worth in excess of £1billion with the Ministry of Defence (MoD) to deliver reactor cores for the UK's nuclear-powered submarine fleet.
This contract includes regeneration of the current Rolls-Royce submarine reactor core manufacturing facility in Derby. The Group will introduce the latest technology and manufacturing techniques to deliver increased efficiencies committed by the MoD and industry as part of the Strategic Defence and Security Review.
Jason Smith, Rolls-Royce President Submarines and Chief Operating Officer - Nuclear said: "This is excellent news that demonstrates the high level of trust the MoD has in both our technology and the expertise of our highly skilled workforce. This new facility will deploy advanced manufacturing techniques to enhance our world leading nuclear manufacturing capability."
Under this contract Rolls-Royce will continue to maintain and operate its existing reactor core manufacturing facility in Derby, UK. In parallel the Group will complete a phased rebuild to provide a leading-edge manufacturing facility with the highest standards of safety to support future MoD programme needs.
Rolls-Royce is the UK's lead company, on behalf of the MoD, in nuclear submarine reactor systems and support services; incorporating design, manufacture, procurement and operation.
Source: Rolls-Royce Plc (LSE: RR.L)
Date: Jun 18, 2012