Rolls Royce : selects Balfour Beatty as construction partner for MOD and AUKUS expansion work in Derby Rolls Royce selects Balfour Beatty as construction...

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Friday 24 May 2024 08:00 AM

Rolls-Royce selects Balfour Beatty as construction partner for MOD and AUKUS expansion work in Derby

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24 May 2024

Rolls-Royce today announced leading international infrastructure group Balfour Beatty as its non-fissile construction partner to help deliver the expansion of its Raynesway site.

In June last year, it was announced that Rolls-Royce would be doubling the size of its Submarines site in Derby to meet the growth in demand from the Royal Navy, and as a result of last year's AUKUS announcement.

In March this year it was confirmed that Australia has committed £2.4 billion over ten years to the UK SSN-AUKUS programme, representing a proportionate contribution to both the uplift of Rolls-Royce Submarines infrastructure, as well as a fair contribution to costs associated with boat design.

The increase in demand will see new manufacturing and office facilities being built and will create 1,170 skilled roles across a range of disciplines, including manufacturing and engineering. Balfour Beatty will be tasked with building these new facilities and the adjoining site infrastructure.

Rolls-Royce Submarines Infrastructure Director Terry Meighan said:

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We cannot deliver against our commitments to the MOD and the AUKUS programme on our own. It will require a strong and reliable supply chain bringing their expertise to enhance and enable the critical work we do. The selection of Balfour Beatty as our expansion construction partner is a prime example of that.

Their experience in delivering major infrastructure, as well as their long history of complex project delivery in secure environments, were important factors in our decision. This is an exciting milestone as we grow our site and our business to meet the enhanced demand for our expertise."

Leo Quinn, Balfour Beatty's Group Chief Executive, said:

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Today's announcement marks an important step forward in ensuring Rolls-Royce has the infrastructure in place to support the strategic requirements of the MOD and the AUKUS programmes.

I'm delighted Balfour Beatty has been chosen to support this critical work for a project that will see us unite our unique multi-disciplinary expertise and experience in delivering large scale complex projects within live, operational nuclear environments."

This announcement follows confirmation that leading multi-disciplinary professional services consultancy WSP had been selected as its non-fissile design partner. Balfour Beatty and WSP will work closely over the next decade to bring the Raynesway site expansion plans to life.

Rolls-Royce Submarines currently employs more than 4,500 people and designs, manufactures and provides in-service support to the pressurised water reactors that power every boat in the Royal Navy's submarine fleet.

Balfour Beatty is a leading international infrastructure group with over 26,000 employees. It develops, builds, maintains and operates the increasingly complex and critical infrastructure that supports national economies and delivers projects at the heart of local communities.

Rolls-Royce is currently supporting the existing Astute and Dreadnought boat build programmes through the delivery of reactor plant and associated components. Additionally, it provides frontline support across the world for reactor plant equipment from its Operations Centre in Derby and supports the submarines when in the Barrow-in-Furness shipyard and the naval bases at Devonport and Faslane.

An artist impression of the future AUKUS attack submarine underwater

Illustration of proposed Raynesway site expansion.

About Rolls-Royce Holdings plc

1. Rolls-Royce develops and delivers complex power and propulsion solutions for safety-critical applications in the air, at sea and on land. Our products and service packages enable our customers to connect people, societies, cultures and economies together; they meet the growing need for power generation across multiple industries; and enable governments to equip their armed forces with the power required to protect their citizens.
2. Rolls-Royce has customers in more than 150 countries, comprising more than 400 airlines and leasing customers, 160 armed forces and navies, and more than 5,000 power and nuclear customers. To meet customer demand for more sustainable solutions, we are committed to making our products compatible with net zero carbon emissions.
3. Annual underlying revenue was £15.41bn in 2023 and underlying operating profit was £1.6bn.
4. Rolls-Royce Holdings plc is publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69)
5. For the last 60 years Rolls-Royce Submarines has designed, supplied and supported the nuclear propulsion plant that provides power for all of the UK Royal Navy's nuclear submarines. They are responsible for delivering the Nuclear Steam Raising Plants, plus parts of the secondary propulsion systems to the UK Ministry of Defence, including managing these assets across their full lifecycle.

www.rolls-royce.com