Austal wins new work in US submarine construction field

By Peter Roberts

Perth international shipbuilder Austal has won new work in the US submarine construction field, opening the way for it to become a component supplier to future Aukus nation submarine builds.

In a brief announcement Austal said it had been awarded a time and material contract by General Dynamics Electric Boat (GDEB) for structural assembly fabrication in support of the US Navy Virginia Class submarine programme.

The contract, worth $35.1 million (US$25 million), is a continuation of ‘previously announced efforts’ to support Electric Boat as part of the US industrial base.

It allows for the construction of command deck modules for Electric Boat submarines – potentially including the Virginia class vessel which is being eyed by Australia as a basis for the future submarine fleet.

The United States shipbuilding sector has struggled to keep up with the pace of construction of nuclear powered submarines ordered by the US Navy.

This has raised concerns about the need to augment the US, UK and Australian industrial base should Australia acquire nuclear submarines, as planned by the federal government.

Austal CEO Paddy Gregg said a previous contract to train staff in the submarine field had been an enabler of the new contract.

Gregg said: “This style of contract is recognition of Austal’s shipbuilding expertise and provides important revenue diversification and expansion.”

The federal government recently reaffirmed Adelaide as the shipyard to builkt Australia’s future submarines, given ASC’s experience in building and maintaiuning the Collins class fleet.

A new submarine construction yard being built by the government is part-completed at Osborne in Adelaide.

However other industrial sites will also need to contribute to the future fleet build, including potentially Perth shipbuilders including Austal.

Further reading:
AUSTAL’S NEW CONTRACTS BROADEN REVENUE BASE
ANDREW FOREST BUYS UP AUSTAL SHARES, EYES AUKUS BENEFITS

Picture: General Dynamics/Electric Boat