The current accuracy of sea‐going and airborne gravity measurements is not bounded by the precision of the gravimeter but by the precision with which external parameters such as vehicle velocity (speed), azimuthal heading, and geographic position can be determined. Uncertainties in these parameters are summed up in the Eötvös correction in the reduction of the measured data. This work investigates the suitability of baseline navigation systems, in particular Loran‐C and Omega, to further reduce the uncertainty of the Eötvös correction. Emphasis is placed on the velocity measurement error. A new algorithm is developed which derives velocity based upon the change in hyperbolic (or circular) grid readings, as opposed to the standard change in geographic position technique. A comparative analysis shows the new algorithm to be as precise as the currently used conventional calculation. Further, this simplified technique is accompanied with a 20‐fold reduction in computational complexity. Application of the results presented in this paper to the Loran‐C and Omega systems shows a velocity determination capability of 0.1 knot over a six minute integration time, and 0.05 knot for a 15 minute integration time for Loran‐C. The minimum error attainable in Omega is 0.1 knot when determined over a 17 minute measurement time. Further precision can be gleaned by applying the calculated error as a correction to subsequent velocity calculations.