Fibre Optic Compass System (FOCS) In-Service Support Contract-UK5

The United Kingdom Ministry of Defence (the “Authority”) intends to place a contract for the continued in-service support of the Fibre Optic Compass (FOC) System, (currently delivered through contract CSA/3046), from April 2027 with Lockheed Martin UK (the “Company”). The FOC system is currently, fitted to Type 23 Frigates, Single Role Minehunter, Vanguard Class Submarines and RFA Fort Victoria. A new contract is required to support the equipment on these platforms which have varying out of service dates within the contract period.

Without a support contract, the serviceability of the navigational system which is needed for the safe navigation of the platforms cannot be guaranteed. The FOC System is critical for platform navigation and deployment and is used onboard our Continuous At Sea Deterrent Boats (CASD).

The role of the FOC System is to provide precise, reliable directional and heading data navigation on Royal Navy and Royal Fleet Auxiliary Platforms. The Safe Navigation capability on these platforms is a critical component of a ship’s ability to operate and fight, hence any failure or degradation of these systems will place significant risk and ability to fulfil the Authority’s required defence outcomes in accordance with the Authority’s Defence Strategy and RN Command Plan.

The planned contract term is from 1 April 2027 to 31 December 2035 (8 years and 9 months). The total value of this renewed period is estimated to be up to £10M.

The Authority has determined that this contract may be awarded under Section 41 and paragraph 6 of Schedule 5 of the Procurement Act 2023 because as the system design authority only Lockheed Martin UK possesses the technical knowledge, specialist equipment, configuration information, and design expertise necessary to provide support to the Fibre Optic Compass System fitted to Royal Navy and Royal Fleet Auxiliary vessels. No alternative supplier has access to the information, tooling, and system knowledge required to safely maintain, repair, modify, and assure the continued operation of the equipment. Competition is therefore absent for technical reasons.

The Authority has identified no alternative supplier possessing the proprietary technical information, approved design authority status, software ownership, system integration knowledge and safety assurance evidence necessary to assume responsibility for the FOC system. Lockheed Martin UK Ltd alone has at its disposal the specialist knowledge and equipment to meet the Authority’s technical requirements under the contract.