DOE awards $13.8M for Counter Uncrewed Aircraft System (CUAS) at Pantex Site
Contract Overview
Contract Amount: $13,864,074 ($13.9M)
Contractor: Anduril Industries, Inc.
Awarding Agency: Department of Energy
Start Date: 2025-11-18
End Date: 2026-11-17
Contract Duration: 364 days
Daily Burn Rate: $38.1K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: PROCURE THE BASE YEAR COSTS WITH BASE YEAR OPERATIONS AND SUSTAINMENT, AND 5-YEAR OPERATIONS AND SUSTAINMENT SUPPORT WITH OPTIONS. PANTEX SITE. PROVIDING A COUNTER UNCREWED AIRCRAFT SYSTEM (CUAS) PLATFORM FOR THE NATIONAL NUCLEAR SECURITY ADMINISTRAT
Place of Performance
Location: AMARILLO, POTTER County, TEXAS, 79120
State: Texas Government Spending
Plain-Language Summary
Department of Energy obligated $13.9 million to ANDURIL INDUSTRIES, INC. for work described as: PROCURE THE BASE YEAR COSTS WITH BASE YEAR OPERATIONS AND SUSTAINMENT, AND 5-YEAR OPERATIONS AND SUSTAINMENT SUPPORT WITH OPTIONS. PANTEX SITE. PROVIDING A COUNTER UNCREWED AIRCRAFT SYSTEM (CUAS) PLATFORM FOR THE NATIONAL NUCLEAR SECURITY ADMINISTRAT Key points: 1. The contract focuses on providing a CUAS platform and sustainment, indicating a need for advanced defense capabilities. 2. The award was not competed, raising questions about potential cost savings and the availability of alternative solutions. 3. The firm-fixed-price contract type suggests that the government has a clear understanding of the scope and cost. 4. The duration of the base year plus option periods covers a significant period for operations and sustainment. 5. The contract is for a specific site (Pantex), implying a targeted application of the CUAS technology. 6. The North American Industry Classification System (NAICS) code 334511 points to the manufacturing of navigation and guidance systems.
Value Assessment
Rating: questionable
The contract value of $13.8 million for a one-year base period with a 5-year sustainment option appears to be a significant investment. Without comparable contract data for CUAS platforms and sustainment services, it is difficult to benchmark the value for money. The firm-fixed-price structure provides cost certainty, but the lack of competition means there's no direct market comparison to assess pricing efficiency. Further analysis would require understanding the specific capabilities of the CUAS platform and the scope of sustainment services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when only one vendor can provide the required goods or services, or in cases of urgent need. The lack of competition limits the government's ability to explore a range of solutions and potentially secure more favorable pricing through a competitive bidding process.
Taxpayer Impact: Taxpayers may not be receiving the best possible price due to the absence of a competitive bidding process. This could lead to higher costs compared to what might have been achieved in a fully competed environment.
Public Impact
The National Nuclear Security Administration (NNSA) and the Pantex site are the primary beneficiaries, receiving enhanced security capabilities. The contract delivers a Counter Uncrewed Aircraft System (CUAS) platform and associated operations and sustainment support. The geographic impact is localized to the Pantex site in Texas, a critical facility for the nation's nuclear stockpile. The contract may have implications for specialized workforce needs in areas related to advanced defense technology and system sustainment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may result in higher costs for taxpayers.
- Sole-source award limits the exploration of alternative CUAS solutions.
- Specific performance metrics and success criteria for the CUAS platform are not detailed in the provided data.
Positive Signals
- Firm-fixed-price contract provides cost certainty for the government.
- Focus on sustainment ensures long-term operational readiness of the CUAS platform.
- Award addresses a critical security need at a sensitive government facility.
Sector Analysis
The Counter Uncrewed Aircraft System (CUAS) market is a rapidly growing segment within the defense and security sector, driven by the increasing threat posed by drones. This contract fits within the broader defense electronics and systems manufacturing industry. While specific market size data for CUAS platforms is proprietary and rapidly evolving, it represents a significant and expanding area of government procurement. Comparable spending benchmarks would typically involve other government procurements for drone detection and neutralization systems.
Small Business Impact
The provided data indicates that this contract was not competed and does not specify any small business set-aside provisions or subcontracting requirements. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for subcontracting opportunities. Further investigation into the contractor's subcontracting plan would be necessary to assess any potential benefits or implications for small businesses.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Energy's contracting and procurement regulations. Accountability measures are inherent in the firm-fixed-price contract type, which obligates the contractor to deliver the specified system and services at the agreed-upon price. Transparency regarding the sole-source justification and the specific details of the CUAS platform's capabilities and performance would be crucial for robust oversight. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.
Related Government Programs
- Department of Defense CUAS Procurements
- Department of Homeland Security Drone Detection Programs
- National Nuclear Security Administration Security Enhancements
- Advanced Sensor and Surveillance Systems
Risk Flags
- Sole-source award
- Lack of competition
- Potential for inflated pricing
- Limited technology options
Tags
defense, counter-uncrewed-aircraft-system, cuas, department-of-energy, pantex-site, sole-source, firm-fixed-price, operations-and-sustainment, national-nuclear-security-administration, texas, security-technology
Frequently Asked Questions
What is this federal contract paying for?
Department of Energy awarded $13.9 million to ANDURIL INDUSTRIES, INC.. PROCURE THE BASE YEAR COSTS WITH BASE YEAR OPERATIONS AND SUSTAINMENT, AND 5-YEAR OPERATIONS AND SUSTAINMENT SUPPORT WITH OPTIONS. PANTEX SITE. PROVIDING A COUNTER UNCREWED AIRCRAFT SYSTEM (CUAS) PLATFORM FOR THE NATIONAL NUCLEAR SECURITY ADMINISTRAT
Who is the contractor on this award?
The obligated recipient is ANDURIL INDUSTRIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Energy (Department of Energy).
What is the total obligated amount?
The obligated amount is $13.9 million.
What is the period of performance?
Start: 2025-11-18. End: 2026-11-17.
What is the specific CUAS technology being procured, and what are its key performance capabilities?
The provided data does not specify the exact CUAS technology being procured beyond it being a 'platform'. However, CUAS systems generally encompass a range of technologies designed to detect, track, identify, and neutralize Unmanned Aircraft Systems (UAS). These can include radar, electro-optical/infrared (EO/IR) sensors, acoustic sensors, radio frequency (RF) detectors, and various effectors such as jammers, directed energy weapons, or kinetic interceptors. The key performance capabilities would typically involve detection range, accuracy, response time, neutralization effectiveness against different UAS types, and operational reliability in various environmental conditions. Given the Pantex site's critical nature, the system likely emphasizes high reliability, robust detection, and non-kinetic or precisely controlled kinetic neutralization methods to minimize collateral damage.
What is the justification for the sole-source award, and were any market research efforts conducted?
The justification for a sole-source award is not detailed in the provided data. Typically, sole-source procurements are justified under specific circumstances outlined in federal acquisition regulations, such as when only one responsible source can provide the required supplies or services, or when there is a compelling urgency. For a CUAS platform at a sensitive site like Pantex, justifications might include unique technological requirements, existing system integration needs, or specific security clearances held by a single vendor. Federal regulations require agencies to conduct market research to determine if a competitive acquisition is feasible before awarding a sole-source contract. The extent and findings of this market research would be critical to understanding the rationale behind not competing this requirement.
How does the $13.8 million contract value compare to similar CUAS procurements by other federal agencies?
Benchmarking the $13.8 million contract value for this CUAS platform and sustainment against similar procurements is challenging without more specific details on the system's capabilities and the contract's scope. However, CUAS procurements by agencies like the Department of Defense (DoD) and Department of Homeland Security (DHS) can range significantly. Basic drone detection systems might cost hundreds of thousands to a few million dollars, while comprehensive systems capable of detection, tracking, and neutralization, especially those with advanced sensors and robust sustainment packages, can easily reach tens of millions of dollars. The firm-fixed-price nature suggests a defined scope, but the 'platform' could imply a complex integrated system. Without knowing the specific technology (e.g., radar-based, RF-based, integrated multi-sensor) and the level of sustainment (e.g., spare parts, software updates, field support), a direct comparison is speculative. The value appears substantial, reflecting the critical security needs of the Pantex facility.
What are the potential risks associated with procuring a CUAS platform on a sole-source basis?
Procuring a CUAS platform on a sole-source basis carries several potential risks. Firstly, the government may not achieve the best possible price due to the lack of competition, potentially leading to higher costs for taxpayers. Secondly, the absence of multiple bids limits the government's exposure to innovative or alternative technological solutions that other vendors might offer. This could result in acquiring a system that is not the most advanced or cost-effective available. Thirdly, sole-source awards can sometimes indicate a lack of adequate market research or planning, or potentially a reliance on a single vendor that could create future dependency. Finally, without competitive pressure, there might be less incentive for the awarded contractor to optimize performance or proactively address potential issues beyond the minimum contract requirements.
What is the expected operational lifespan and sustainment plan for this CUAS platform?
The contract includes a base year for 'base year operations and sustainment' and a 5-year option period for 'operations and sustainment support'. This structure suggests an initial operational deployment followed by a longer-term plan to maintain and support the CUAS platform. The total potential duration, including options, could extend beyond the initial year, allowing for ongoing maintenance, software updates, potential hardware upgrades, and technical support. The specific details of the sustainment plan, such as the scope of maintenance, availability of spare parts, response times for support, and the frequency of updates, would be critical in determining the platform's true operational lifespan and long-term effectiveness. The firm-fixed-price nature of the sustainment portion implies a defined cost for these services over the option periods.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
Product/Service Code: AEROSPACE CRAFT AND STRUCTURAL COMPONENTS
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1400 ANDURIL, COSTA MESA, CA, 92626
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $33,494,307
Exercised Options: $13,864,074
Current Obligation: $13,864,074
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 89233126DNA000072
IDV Type: IDC
Timeline
Start Date: 2025-11-18
Current End Date: 2026-11-17
Potential End Date: 2031-11-17 00:00:00
Last Modified: 2026-02-03
More Contracts from Anduril Industries, Inc.
- Purchase of Towers — $363.0M (Department of Homeland Security)
- Roadrunner, Anvil and Quasar Packages — $250.0M (Department of Defense)
- Production and Delivery of Altius 600M-V Loitering Munitions and Supporting Hardware — $94.0M (Department of Defense)
- AST DO#8 — $67.2M (Department of Homeland Security)
- Award — $50.7M (Department of Homeland Security)
Other Department of Energy Contracts
- Federal Contract — $48.1B (Lockheed Martin Corp)
- ,Ct::igf Contract Award De-Na0003525 to the National Technology&engineering Solutions of Sandia, LLC (ntess) for the Management and Operation of the Department of Energy, National Nuclear Security Administration's Sandia National Laboratories (SNL) — $41.7B (National Technology & Engineering Solutions of Sandia, LLC)
- Management and Operation of the OAK Ridge National Laboratory — $40.8B (Ut-Battelle LLC)
- TAS::89 0240::TAS This Performance-Based Management Contract (pbmc) IS for the Management and Operation of the Lawrence Livermore National Laboratory (llnl). the Contractor Shall, in Accordance With the Provisions of This Contract, Accomplish the Missions and Programs Assigned by the U.S. Department of Energy (DOE) and Manage and Operate the Laboratory. the Laboratory IS ONE of Does Office of Defense Program Multi-Program Laboratories. the Laboratory IS a Federally Funded Research and Development Institution (established in Accordance With the Federal Acquisition Regulation (FAR) Part 35 and Operated Under This Management and Operating (M&O) Contract, AS Defined in FAR 17.6 and Dear 917.6 — $40.8B (Lawrence Livermore National Security, LLC)
- M&O of Lanl BR of U of CA — $35.3B (Regents of the University of California, the)