The British Ministry of Defence recently announced plans to develop a Royal Navy missile defense system, known as Sea Ceptor, capable of intercepting and destroying enemy missiles traveling at supersonic speeds. The £483 million ($761.3 million) contract to develop the system will be awarded to a U.K. company. Sea Ceptor will use a U.K.-developed missile that can reach speeds of up to Mach 3 and will deal with multiple targets simultaneously, protecting an area of approximately 500 square miles (1,300 square kilometers) over land or sea. It will be developed under a demonstration contract expected to continue for five years. Sea Ceptor will initially be used on the Type 23 frigate to replace the Sea Wolf air defense system, which is being retired from service in 2016. Plans call for the Sea Ceptor also to be used on the Type 26 Global Combat Ship. Its flexible design enables it to be adapted for use by the British Army and the Royal Air Force in the future.