MBDA Receives GBP250M Sea Ceptor Production Order for the Royal Navy

On the 9th September 2013, MBDA received a £250M production contract from the UK Ministry of Defence (MOD) for the delivery of the Sea Ceptor air defence weapon system that comprises of the Common Anti-air Modular Missile (CAMM) and system equipment. Sea Ceptor will initially equip the Royal Navy’s (RN) Type 23 frigates from 2016 onwards replacing Seawolf and then be integrated into the Type 26 frigates as the primary air defence system.

Sea Ceptor ensures the Royal Navy will be deploying with the latest air defence missile system, protecting the launch vessel and nearby deployed forces under its defensive cover from a wide range of challenging airborne threats.

CAMM’s active seeker technology, soft vertical launch and compact installation footprint give Sea Ceptor an excellent defensive capability for a worldwide variety of vessels against multiple threats. The system is a compelling proposition for overseas Customers who wish to upgrade from legacy semi-active missile systems as well as for future new build vessels.

Sea Ceptor is being delivered under the Portfolio Management Agreement between the MOD and MBDA to deliver the next generation of complex weapons. This ensures savings for the MOD due to Sea Ceptor’s lower cost of ownership and by operating a common stockpile of the CAMM for a future planned land system.  Sea Ceptor will be installed in the Royal Navy’s Type 26 Global Combat Ship as they replace the Type 23s in the 2020s. With MOD expected to commit to manufacture of the T26 in the middle of this decade, cross-decking this capability will ensure that the T26 enters service with a proven air defence capability.

The contract will directly sustain around 250 highly skilled technology jobs across MBDA and the UK-based supply chain and approximately the same number again indirectly. The production line will be optimised to supply the UK requirements whilst also supporting potential overseas customers who wish to acquire Sea Ceptor. Final assembly of the CAMM missiles will be done at MBDA’s Lostock manufacturing and assembly facility whilst nine UK-based 1st tier subcontractors are distributed across sites in England and Scotland.

Welcoming the announcement, Executive Group Director Technical and UK Managing Director Steve Wadey said: “Sea Ceptor is a perfect example of how the Portfolio Management Agreement we have with the MOD is making a difference for all the stakeholders. This weapon system provides the Royal Navy’s Type 23, and subsequently the Type 26, a step change in operational capability and through life cost benefits, whilst delivering better value for the UK taxpayer. Likewise, the UK defence industry advances its world class manufacturing and production lead in complex weapon systems, the importance of which has previously been demonstrated through surging deliveries or rapid entry into operational use.”

Defence Secretary, Philip Hammond said: “The production of Sea Ceptor will be a huge boost to the UK’s world-leading missile industry, providing hundreds of jobs and once again proves our commitment to providing battle winning technology to our Armed Forces. Having balanced the defence budget we continue to order new equipment for our forces with confidence”.

Source: MBDA
Date: Sep 11, 2013