DZSP 21 Wins Record $138 Million Navy Deal to Run Guam Bases

The Chantilly, Virginia, contractor received a $138 million modification to keep providing base operations support across Joint Region Marianas, lifting the contract's cumulative value to $908.1 million through July 2027.

First Published: July 29, 2026, 1:32 PM ET

CHANTILLY, VIRGINIA — DZSP 21 LLC won a $138 million contract modification to keep running U.S. military bases across Guam, its largest award on record.

The cost-plus-award-fee modification covers base operations support services for Joint Region Marianas and lifts the contract’s cumulative face value to $908.1 million, the Navy said in a contract announcement, as announced on war.gov.

The award exercises option period six and pushes the performance window to July 2027, with work spread across Navy, Marine Corps, and Air Force installations in Guam. Fiscal 2026 operations and maintenance funds totaling $32.7 million will be obligated at the time of award and expire at the end of the current fiscal year. Naval Facilities Engineering Systems Command, Marianas, in Guam is the contracting activity.

DZSP 21 LLC, a limited liability company incorporated in Delaware solely to perform the Guam base operations support work, is headquartered at Naval Base Guam. The contractor provides products and services at eight locations, including Naval Base Apra Harbor, the Naval Hospital, Naval Base Barrigada, and Andersen Air Force Base, according to dzsp21.com. The company describes itself as the Navy’s base operations support “contractor of choice” in the Western Pacific, according to dzsp21.com.

Base operations support keeps installations functioning day to day. DZSP 21 provides port operations support, maintenance of facilities and infrastructure, transportation fleet management, and operation of utility systems covering power, potable water, demineralized water, and wastewater, according to dzsp21.com. Those services underpin the living and working conditions for service members and their families stationed on the island.

Guam anchors the U.S. military presence in the Western Pacific, a position that has grown in strategic weight as the Pentagon reinforces the region. Continuity of base support directly affects the readiness of forces operating from the island, meaning the contractor’s performance carries consequences well beyond routine facilities work.

The deal is the largest ever awarded to DZSP 21 LLC, surpassing the company’s previous record of $106.3 million, according to firestore:contracts. It represents the company’s first Department of Defense contract in 2026 and the 152nd such contract awarded in Virginia this year. Within the Navy’s 2026 portfolio, the award sits between the year-to-date minimum of $9 million and a maximum of $8 billion. The modification was one of four Department of Defense contracts issued nationwide on July 29, 2026.

For the average U.S. reader, contracts like this show how taxpayer dollars sustain the daily operation of overseas bases far from public view. The obligated funds draw on fiscal 2026 operations and maintenance accounts for the Navy, Marine Corps, and Defense.

Option exercises of this kind have happened before. DZSP 21 has held the Guam base operations support contract across multiple option periods, each extension adding to a cumulative value that now approaches $908.1 million, according to war.gov.

Naval Facilities Engineering Systems Command, Marianas, will decide whether to exercise any further option periods. A date for that decision has not been announced.

Guam has served as a linchpin of American power in the Pacific since 1898, when the United States took the island from Spain following the Spanish-American War. Japanese forces seized it hours after the Pearl Harbor attack in December 1941 and held it until U.S. troops recaptured the island in a three-week battle in the summer of 1944. The wartime buildup left Guam with harbors, airfields, and installations that today depend on contractors like DZSP 21 to keep them running.

This contract represents the 1st contract awarded to DZSP 21 LLC, in 2026, bringing the company’s total contract value for the year to $138,004,329. It is also the 152nd Department of Defense contract awarded in Virginia during 2026. This is the largest contract ever awarded to DZSP 21 LLC, surpassing the company’s previous record of $106,304,464, and it is notable within the Navy portfolio. Specifically, it falls between the 2026 Navy portfolio’s year-to-date minimum of $9,046,496 and maximum of $8,000,000,000. Overall, this award was announced among 4 Department of Defense contracts issued nationwide on July 29, 2026.