Describes an optical navigation system for the navigation and control of an autonomous guided vehicle (AGV). The navigation system consists of a low-power laser, a rotating mirror and the necessary optics. It is used to measure the angles to several identical reflective beacons. The position and heading of the AGV is recursively updated each time a valid angle is measured. It is easy to define and change the drive path which is a list of coordinates. The AGV follows straight lines between these coordinates. The system has been tested on an AGV prototype