US Navy Awards Austal USA $144 Million Contract to Build T-ATS Pair

The U.S. Navy awarded Austal USA a $144 million two-ship Towing, Salvage, and Rescue Ship (T-ATS) detailed design and construction contract October 5.

T-ATS will provide oceangoing tug, salvage and rescue capabilities to support U.S. fleet operations and will be a multi mission common hull platform capable of towing heavy ships. These ships will be able to support current missions, including oil spill response, humanitarian assistance, and wide area search and surveillance. The platform also enables future capability initiatives like modular payloads with hotel services and appropriate interfaces.

This award follows the Navy’s $3.6 million T-ATS functional design contract awarded to Austal USA in June. The shipbuilding contract award marks the first steel new ship construction program for the company under its new state-of-the-art enclosed steel production facility. Austal USA broke ground on its $100 million steel manufacturing facility in March 2020. The line will be ready to cut steel in April.  

The T-ATS award is one of several steel shipbuilding programs the company is pursuing as it diversifies its capabilities. Austal USA previously announced it submitted a bid to build the U.S. Coast Guard’s Offshore Patrol Cutter and continues to execute a Light Amphibious Warship concept studies and preliminary design contract for the Navy and Marine Corps. Austal’s new steel line and facility expansion also positions it well to be the follow-on Frigate yard for the U.S. Navy.