DoD awards $4.6M battery manufacturing contract to Stryten Energy LLC for 806 days
Contract Overview
Contract Amount: $4,602,236 ($4.6M)
Contractor: Stryten Energy LLC
Awarding Agency: Department of Defense
Start Date: 2025-07-16
End Date: 2027-09-30
Contract Duration: 806 days
Daily Burn Rate: $5.7K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: JM50 QTR 4 DELIVERY ORDER SCD: B
Place of Performance
Location: FORT SMITH, SEBASTIAN County, ARKANSAS, 72908
State: Arkansas Government Spending
Plain-Language Summary
Department of Defense obligated $4.6 million to STRYTEN ENERGY LLC for work described as: JM50 QTR 4 DELIVERY ORDER SCD: B Key points: 1. Contract value appears reasonable for the duration and scope of battery manufacturing services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No specific risk indicators are immediately apparent from the provided data. 4. This contract supports the Department of the Navy's operational readiness and equipment needs. 5. The contract falls within the broader Defense sector, specifically supporting materiel and equipment.
Value Assessment
Rating: good
The contract value of approximately $4.6 million over 806 days translates to roughly $5,700 per day. Without specific details on the type and quantity of batteries, a direct comparison is challenging. However, for specialized battery manufacturing supporting military applications, this pricing seems within a reasonable range, especially considering potential research, development, and quality assurance requirements. It does not appear excessively high or low based on the limited information.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This suggests a robust bidding process where multiple companies likely had the opportunity to compete. The specific number of bidders is not provided, but the method of competition implies a degree of market engagement and potential for competitive pricing.
Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and better value for the government.
Public Impact
The Department of the Navy benefits from a reliable supply of batteries for its operational needs. Services delivered include the manufacturing of batteries, crucial for powering various military equipment. The contract has a geographic impact in Arkansas, where the contractor is based. Workforce implications include potential job creation and maintenance within the battery manufacturing sector in Arkansas.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Awarded under full and open competition, indicating a fair and accessible process.
- Firm Fixed Price contract type helps manage cost certainty for the government.
- Contract duration of over two years provides stability for both the contractor and the agency.
Sector Analysis
The defense sector, particularly the manufacturing of specialized components like batteries, is critical for military readiness. This contract fits within the broader category of defense industrial base support. Spending in this area can fluctuate based on technological advancements, geopolitical needs, and the lifecycle of military equipment. Comparable spending benchmarks would typically be found within defense procurement data for similar battery systems or power solutions.
Small Business Impact
The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While Stryten Energy LLC is the prime contractor, there is no explicit information on subcontracting plans for small businesses. The impact on the small business ecosystem is therefore neutral to potentially limited unless the prime contractor voluntarily engages small businesses in its supply chain.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of the Navy's contracting and program management offices. Accountability measures are inherent in the firm fixed-price structure, requiring delivery of specified goods. Transparency is facilitated by the contract award notice. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- Department of Defense Procurement
- Navy Equipment and Supplies
- Battery Manufacturing Contracts
- Defense Industrial Base Support
Tags
defense, department-of-defense, department-of-the-navy, battery-manufacturing, delivery-order, firm-fixed-price, full-and-open-competition, arkansas, medium-value, naics-335910
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $4.6 million to STRYTEN ENERGY LLC. JM50 QTR 4 DELIVERY ORDER SCD: B
Who is the contractor on this award?
The obligated recipient is STRYTEN ENERGY LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $4.6 million.
What is the period of performance?
Start: 2025-07-16. End: 2027-09-30.
What is the specific type and technical specification of the batteries being manufactured under this contract?
The provided data does not specify the exact type or technical specifications of the batteries to be manufactured. The North American Industry Classification System (NAICS) code 335910, 'Battery Manufacturing,' is broad and covers various battery types, from small consumer batteries to large industrial or military-grade power sources. Understanding the specific requirements (e.g., voltage, capacity, lifespan, environmental resilience) is crucial for a comprehensive value assessment and comparison to market rates. Without this detail, it's difficult to ascertain if the $4.6 million award is competitive for the exact product delivered.
How does the per-unit cost of these batteries compare to similar military-grade batteries or commercial equivalents?
A per-unit cost comparison is not feasible with the current data. The contract value is $4,602,236.05 over a period of 806 days. To calculate a per-unit cost, the number of units to be delivered would be required. Furthermore, 'military-grade' batteries can vary significantly in complexity, durability, and performance requirements compared to commercial equivalents. If these are specialized batteries for demanding operational environments, their cost would naturally be higher than standard commercial batteries. Benchmarking would necessitate identifying comparable military battery contracts or obtaining quotes for similar specifications.
What is Stryten Energy LLC's track record with Department of Defense contracts, particularly in battery manufacturing?
Stryten Energy LLC has a history of working with the Department of Defense, as indicated by this award. A deeper dive into their contract history would reveal the volume and types of previous awards, their performance ratings on past contracts, and any history of contract modifications or disputes. Companies specializing in energy storage solutions often have experience supplying various government agencies. Assessing their past performance, especially on similar battery manufacturing or energy systems contracts, would provide insight into their reliability and capability to fulfill this current requirement.
What is the anticipated impact of these batteries on the operational readiness of the Department of the Navy?
The batteries procured under this contract are intended to support the operational readiness of the Department of the Navy by ensuring that critical equipment and systems have a reliable power source. The specific impact depends heavily on the type of equipment these batteries will power. If they are for essential communication systems, navigation, weapon platforms, or support vehicles, a consistent and high-quality battery supply directly translates to enhanced mission capability and reduced downtime. The contract's duration suggests a sustained need, underscoring the importance of this supply chain for ongoing naval operations.
Are there any known risks associated with battery manufacturing or supply chain disruptions that could affect this contract?
Potential risks in battery manufacturing and supply chains include fluctuations in raw material costs (like lithium, cobalt, nickel), geopolitical instability affecting mineral sourcing, technological obsolescence, and manufacturing quality control issues. For military applications, ensuring the batteries meet stringent performance and safety standards is paramount. Supply chain disruptions could impact delivery timelines, potentially affecting the Navy's operational schedules. The firm fixed-price nature of the contract places the risk of cost overruns due to these factors primarily on the contractor, but significant delays could still impact the government.
How does this contract's value compare to the total federal spending on battery manufacturing or related energy storage solutions?
This $4.6 million contract is a specific award for battery manufacturing within the Department of Defense. Total federal spending on battery manufacturing and energy storage solutions is likely significantly higher, encompassing awards across various agencies (e.g., Energy, Transportation, NASA) and for diverse applications, including research and development, electric vehicle infrastructure, and grid modernization. This single contract represents a small fraction of the overall federal investment in energy storage technologies. Benchmarking requires aggregating spending data across relevant agencies and contract types.
Industry Classification
NAICS: Manufacturing › Other Electrical Equipment and Component Manufacturing › Battery Manufacturing
Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 5925 CABOT PKWY, ALPHARETTA, GA, 30005
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: $4,602,236
Exercised Options: $4,602,236
Current Obligation: $4,602,236
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0016423DJM50
IDV Type: IDC
Timeline
Start Date: 2025-07-16
Current End Date: 2027-09-30
Potential End Date: 2027-09-30 00:00:00
Last Modified: 2026-01-08
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