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U.S. Navy Awards Austal Multi-Vessel LCS Contract

Maritime Activity Reports, Inc.

December 30, 2010

Photo courtesy Austal

Photo courtesy Austal

The USA division of Australian-headquartered Austal has been awarded a U.S. Navy contract to construct one Independence Class Littoral Combat Ship (LCS). The total value of the contract is $432.1m. The contract includes options for nine additional vessels in the following five years.

Austal will immediately commence preparation work including a $140m facility expansion and workforce development which will take approximately 12 months to complete. Construction of the first LCS vessel will commence in early 2012 and is scheduled for delivery in 2015.

The aluminium warships will be built at Austal’s U.S. shipyard in Mobile, Ala. and will more than double Austal’s US workforce to around 3,800 employees.
 

The orderbook for U.S. dredgers is about $3B, and according to DCA CEO Bill Doyle, the incoming political administration could help this niche maritime sector continue its bull run.
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