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Rolls-Royce Sees Type 26 Win Spurring More Navy Engine Contracts

Rolls-Royce (RR/) Holdings Plc said its contract to supply the MT30 engine for BAE Systems Plc (BA/)’s Type 26 Global Combat Ship may lead to more naval orders.

Australia and Japan are among the countries where the turbine, derived from the Trent 800 powering airliners, could find customers, Don Roussinos, president of naval activities at London-based Rolls-Royce, said in an interview today. “There are plenty of opportunities for the engine,” he said, adding that and the Type 26 to be supplied to the U.K. navy also has export potential.

BAE Systems today named Rolls-Royce as provider of the single engine for the Type 26, giving the powerplant maker its fifth application for the turbine. The powerplant will also power the U.K.’s new aircraft carrier, and has been selected for DDG-1000 destroyers, the Lockheed Martin Corp. (LMT) Littoral Combat Ship for the U.S. navy, and some South Korean FFX frigates.

BAE Systems, prime contractor for the Type 26, today announced the first major system suppliers for the 13-ship program and named Tognum, a joint venture of Rolls-Royce and Daimler AG (DAI), to provide diesel generators for the vessel.

About 70 more subsystem choices are currently under review, with about half to be announced by year end and most decisions to be made by mid-2014, Geoff Searle, BAE’s program director, said at a briefing at the DSEI defense conference in London.

Some selections, including the ship’s main gun, will be made by the government. The 5 inch (12.7 centimeter) gun choice should be made next year, he said.

The Type 26 will undergo its final system design review in the coming weeks before detailed ship design starting early next year, Searle said. Ship building will begin around 2016 with precise plans still to be settled by the government.

BAE also named David Brown Gear Systems Ltd. to provide the Type 26’s gear box, with Rohde & Schwarz working on the integrated communications system.

To contact the reporter on this story: Robert Wall in London at rwall6@bloomberg.net

To contact the editor responsible for this story: Benedikt Kammel at bkammel@bloomberg.net

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