Fluor Marine Propulsion has been awarded a $1.03 billion contract modification to continue work supporting the Navy’s nuclear propulsion enterprise at the Naval Nuclear Laboratory, according to a Defense Department contract announcement Tuesday.
The cost-plus-fixed-fee modification, awarded under an existing naval propulsion contract, provides funding for naval nuclear propulsion work performed through the Naval Nuclear Laboratory, a key component of the Navy’s reactor development, testing and support infrastructure.
The subsidiary of Irving, Texas-based Fluor, manages and operates the laboratory for the Navy and the Department of Energy’s National Nuclear Security Administration. The laboratory supports the design, operation and maintenance of nuclear propulsion systems that power the Navy’s fleet of aircraft carriers and submarines.
Work under the modification will be performed primarily at laboratory facilities in Pittsburgh, Penn., which will account for 47% of the effort, and Schenectady, N.Y., which will perform 45%. The remaining 8% will be conducted in Idaho Falls, Idaho.
At the time of award, the Navy obligated approximately $233 million. Fiscal 2026 operations and maintenance funding provides the largest share, totaling $130.5 million. Additional funding includes $54.5 million in nonappropriated funds, $48 million from fiscal 2026 shipbuilding and conversion accounts, and $50,000 from fiscal 2026 research, development, test and evaluation appropriations.
Of the funds obligated, $130.5 million in operations and maintenance funding will expire at the end of fiscal 2026. Naval Sea Systems Command, Washington, D.C., serves as the contracting activity.