BWX Technologies, Inc. (NYSE: BWXT) has been awarded a contract by the U.S. Department of Energy's National Nuclear Security Administration (NNSA) to develop a conceptual design for the first module of a new Lithium Processing Facility at the Y-12 National Security Complex, according to a press release from the company.

The phase one contract is valued at $4 million and spans four months. Under the agreement, BWXT will produce a conceptual design for the facility's Machining and Inspection Module. NNSA selected two companies through a competitive process to advance conceptual designs in parallel.

Following the evaluation of both companies' phase one designs, NNSA intends to select one company to proceed into a third phase covering contract negotiations for construction of the module. Additional modules of the Lithium Processing Facility would be designed and built under separate contracts.

BWXT is working alongside Edgewater Technical Associates, Evans General Contractors, Process Engineering Associates, and Merrick & Co. on the project.

Lithium reprocessing is currently conducted in aging facilities at Y-12. NNSA has stated that modernization is required to continue direct reuse, purification, component production, and salvage operations in support of its national security mission.

"This project represents an important investment in modernizing the nation's nuclear security infrastructure and ensuring NNSA has the capabilities needed to support its mission well into the future," said Heatherly Dukes, president of BWXT's Technical Services Group.