BAE Systems & Land Armaments LP won a $119.9 million contract to build 30 amphibious combat vehicles for the U.S. Marine Corps, the Defense Department announced.

It is BAE's third order for low-rate initial production of variants of the vehicle and has been called a milestone by the company on the path to full production.

The contract, announced on Tuesday, is a modification of a prior contract and calls for work to be concluded by January 2022.

The eight-wheeled ACV personnel carrier variant, or ACV-P, is an amphibious assault vehicle capable of transporting Marines from open-ocean ship to shore, as well as conducting land operations. It can carry 13 personnel and a crew of three.

The vehicles feature a 690 horsepower engine, 325-mile range before refueling and can travel on land at up to 65 mph.

"This award further validates the Marine Corps' confidence in the vehicle's proven capability in meeting their amphibious mission, and represents an important step toward fielding the vehicle in the Fleet Marine Force," said John Swift of BAE in a statement on Wednesday. "The ACV is a highly mobile, survivable and adaptable platform designed for growth to meet future mission role requirements while bringing enhanced combat power to the battlefield."

Production of the vehicles will largely be conducted at BAE's manufacturing facility in York, Pa., as well as at four other facilities in the United States.

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