At a glance
- Company
- Austal Limited
- Ticker
- ASX: ASB
- Announcement
- Expansion
- Location
- Mobile, U.S.
Key figures
- Contract value
- US$450 million
- Approximate Australian-dollar equivalent
- A$670 million
- Expected jobs when fully operational
- approximately 1,000
- Target annual submarine deliveries supported
- one Columbia-class and two Virginia-class submarines annually
- Facility completion year
- 2026
People
- Paddy GreggChief Executive Officer, Austal Limited
Products and programs
Austal Limited (ASX:ASB) is pleased to announce Austal USA has been awarded a US$450 million (approx. A$670 million) contract by General Dynamics Electric Boat. The contract will enable Austal USA to expand production capacity at its US shipyard in support of the U.S. Navy Submarine Industrial Base (SIB).
September 18, 2024 -- This contract award will fund Austal USA to enhance its existing infrastructure by designing, constructing and outfitting a new module fabrication and outfitting facility at its Mobile shipyard to support the U.S. Navy goal of delivering one Columbia-class and two Virginia-class submarines annually. Construction of the new building will start this US autumn and be complete in 2026. When fully operational, the building will support approximately 1,000 jobs and provide capability to fabricate, outfit, and transport submarine components.
Austal Limited Chief Executive Officer Paddy Gregg noted this contract award is a testament to the growing partnership with General Dynamic Electric Boat and demonstrates its confidence in Austal USA as a valuable industry partner for these two important U.S. Navy submarine programs.
“General Dynamics Electric Boat has recognised that Austal USA is a solid partner to deliver high-quality components for Virginia- and Columbia-class submarines. This growing partnership demonstrates confidence in Austal USA’s commitment to meet the needs of the U.S. maritime industrial base and support the most critical needs of the U.S. Navy,” Mr Gregg said.
This ASX announcement has been approved and authorized for release by Paddy Gregg, Austal Limited’s Chief Executive Officer.
- ENDS -
Media Contact:
Cameron Morse
+61 433 886 871
[email protected]
Further Information
Contact: Austal
Phone: 61 8 9410 1111
Fax: 61 8 9410 2564
Email: [email protected]
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In brief
Austal Limited says its U.S. subsidiary, Austal USA, has received a US$450 million contract from General Dynamics Electric Boat to expand submarine module production capacity at its Mobile shipyard. The company says the funding will support design and construction of a new module fabrication and outfitting facility, with construction expected to begin in the U.S. autumn and finish in 2026. The building is intended to help support U.S. Navy submarine production goals for Columbia- and Virginia-class vessels. When operating at full capacity, it is expected to support approximately 1,000 jobs and enable fabrication, outfitting and transport of submarine components. Austal CEO Paddy Gregg described the award as evidence of the growing relationship with Electric Boat and its confidence in Austal USA.
Key takeaways
- Austal USA received a US$450 million contract from General Dynamics Electric Boat.
- Funding will support a new submarine module fabrication and outfitting facility at the Mobile shipyard.
- Construction is expected to start in the U.S. autumn and conclude in 2026.
- The facility is expected to support approximately 1,000 jobs when fully operational.
Earlier from Austal Limited
- AUSTAL REPORTS IMPROVED EBIT OF $56.5 MILLION IN FY2024, WITH ORDER BOOK WORTH UP TO $12.7 BILLION
- Austal USA awarded contract modification for two additional Landing Craft Utility (LCU) for US Navy
- AUSTAL AUSTRALIA DELIVERS 20TH GUARDIAN CLASS PATROL BOAT
- AUSTRALIAN GOVERNMENT ORDERS AN ADDITIONAL TWO GUARDIAN-CLASS PATROL BOATS FOR PACIFIC MARITIME SECURITY PROGRAM
- AUSTAL CONFIRMS RECEIPT OF UNSOLICITED, CONDITIONAL, NON-BINDING INDICATIVE PROPOSAL FROM HANWHA
