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Honeywell Subsidiary Lands Potential $2.6B Sandia Labs Mgmt Contract

The National Nuclear Security Administration has selected a subsidiary of Honeywell International (NYSE: HON) for the potential 10-year, $2.6 billion contract to help operate and manage Sandia National Laboratories sites located across four states.

NNSA said Friday National Technology and Engineering Solutions of Sandia will lead a team comprising Northrop Grumman (NYSE: NOC) and Universities Research Association to help run the national laboratory responsible for non-nuclear engineering development of all nuclear weapons and systems integration of the nuclear weapons with their delivery vehicles.

Lockheed Martin‘s (NYSE: LMT) Sandia Corp. subsidiary has run the laboratory since 1993 and its current SNL management contract is scheduled to expire April 30, 2017 with a four-month transition period to follow.

Sandia has four locations in the U.S.: Albuquerque, N.M.; Livermore, Calif.; Kauai, Hawaii; and Tonopah, Nev.

SNL’s national security responsibilities also include design, qualification, certification and assessments of nonnuclear subsystems and system qualification of nuclear weapons.

Lockheed announced its a team in July to pursue the new SNL management contract that included Purdue University, New Mexico State University and the New Mexico Institute of Mining and Technology.

In May, nonprofit research firm Battelle and Boeing announced they would partner with University of New Mexico, the Texas A&M University System and the University of Texas System to compete for the new contract.

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