Austal Wins RAN Cape Class Sustainment Contract

Austal (ASX:ASB) today announced the Royal Australian Navy (RAN) has awarded a sustainment contract worth up to $18 million over three years for the Cape-class Patrol Boats, Cape Fourcroy and Cape Inscription. This contract will employ eight directly and 20 indirectly in local contractors and Austal’s own facilities in the Cairns area. The sustainment work will be in addition to the work undertaken by Austal for the Australian Border Force and will utilize much of the same experience and capabilities.

Austal’s 58 metre Cape-class Patrol Boat was specially designed and built to meet the unique border protection and maritime security requirements of the Australian Border Force and Royal Australian Navy.

“We are very pleased to have received this vote of confidence from the Royal Australian Navy. We have invested heavily in people, software tools and our facilities in Cairns, Darwin and Henderson in recent years to develop the capability to deliver this service” Austal CEO, David Singleton said.

“The deployment of Austal’s patrol boats by the Commonwealth will allow export opportunities for Australia by effectively showcasing the vessel with a world class Navy. Austal is constantly pursuing opportunities for the Cape-class Patrol Boats and Pacific Patrol Boats to potential overseas customers” Mr Singleton said.

“Exports derived from defense programs, like Cape, highlight the potential ‘multiplier effect’ on local job creation, where Australian suppliers are engaged to deliver both domestic and international contracts,” he said.

“Every program we deliver creates both direct and indirect jobs right across the country.

“Austal has always operated with an export focus, and four out of every five ships we build are for the international market.