Austal secures $157 million deal for patrol boats
PERTH – Australian shipbuilder Austal Limited has been awarded a contract worth $157 million by the Commonwealth of Australia for the construction of two additional Evolved Cape Class Patrol Boats. This deal, announced today, is part of a broader Heads of Agreement (HoA) that could potentially expand Austal’s role in building Landing Craft for the Australian Army. The contract highlights Austal’s strong partnership with the Commonwealth and its crucial contribution to enhancing Australia’s maritime capabilities. The new patrol boats, designed to accommodate a crew of 32, feature improved vessel capability and connectivity, representing an upgrade from previous models.
Austal’s CEO Paddy Gregg emphasized the company’s successful track record, having already delivered 24 vessels to the government over the past five years. Gregg expressed confidence in the potential signing of a Strategic Shipbuilding Agreement (SSA) by late 2024, which would solidify Henderson as a key hub for strategic shipbuilding in Australia. This agreement not only opens up possibilities for future projects, including the production of heavier Landing Craft, but also provides job security for Austal’s workforce following the recent delivery of the sixth boat in this class.
As discussions continue between Austal and the Commonwealth regarding the specifics of project LAND8710, the completion of these vessel contracts appears to be imminent. This agreement signifies not only a significant enhancement to Australia’s naval fleet capabilities but also reinforces Austal’s strategic position in Henderson as a major shipbuilder for the country.
With the goal of finalizing an SSA by late 2024, this collaboration is set to strengthen and extend Austal’s presence in Henderson, creating a promising future for the company as a key player in the Australian shipbuilding industry.
