In a statement on July 29, the Pentagon said Boeing has been awarded a $65.9 million contract for the procurement of missiles for a range of countries including Israel, Middle East Newsline reported. Most of the contract was reserved for Taiwan, with 0.3 percent allocated to Israel.

The Pentagon said Israel as well as Britain, Canada, Japan, the Netherlands, Pakistan, Portugal, Singapore and Turkey would receive Harpoon containers as well as Block 2 guidance section upgrade kits, wire bundle assemblies and guidance control units. Only Singapore was allocated a smaller portion of the contract than Israel.

"Contract funds will not expire at the end of the current fiscal year," the Pentagon said. "This contract was not competitively procured."

A congressional source said elements of the Israeli portion of the contract remain classified. But the source said the Harpoon sale was regarded as marginal and meant to fend off claims by Israel of a virtual arms embargo by Obama.

In September 2007, Congress approved a $163 million request by Israel for the sale of 30 RGM-84L Harpoon Block 2 missiles as well as 500 AIM-9M Sidewinder air-to-air missiles to Israel. Israel had already deployed both Harpoon and Sidewinder from previous deals with Washington.

The Obama administration has already approved a shipment of 20 Harpoon Block 2 missiles to Egypt in a $145 million deal. The package, endorsed by Congress in early 2010, was not expected to arrive in Egypt for at least another two years.

In 2007, Boeing developed a new guidance control unit for Harpoon, with a 500-pound blast warhead. Two years later, the enhanced missiles were transferred to two unidentified foreign militaries.

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