Corporate
April 18, 2007

April Order Book Sets Distance Record

Product Diversity Enhances Growth Opportunities

Austal has set a new distance record for its April order book, with almost two kilometres of aluminium ships now under construction and on order in its Australian and US shipyards.

This impressive achievement comes on the back of Austal securing its largest individual contract, announced earlier this month. Austal’s order book now totals 29 vessels with a combined overall length of 1,931 metres of aluminium ships under construction.

This reinforces Austal’s position as the world leader in the design and construction of aluminium vessels for diverse market sectors such as commercial, military and leisure.

Austal Sales, Strategy & Marketing Executive Manager Stephen Lupi said:

“This is a memorable occasion for Austal, having begun operations in 1988. In the four years that I have been with the company we have worked very hard to attain credibility across a broad range of product segments. In the military sector, we are now a respected supplier of combat ships to the US Navy and of maritime security vessels to a number of other Governments, including Australia."

"In the vehicle-passenger ferry sector, we have delivered the world's longest aluminium multihull vessel to Fred.Olsen, S.A., one of the world's most respected vehicle ferry operators, and we are close to completing the longest multihull built in the USA to service the Hawaiian Islands."

"In the passenger ferry sector, we are providing additional passenger vessels to the Hong Kong fleet where Austal has 36 ferries already in operation. In the leisure sector, we are crafting cruise vessels for private buyers adapted for unique requirements. In all of these sectors there is a common theme - we are providing a quality product at a very competitive price and to a short delivery time.”

Mr Lupi added:

“Austal's unique capability to deliver customised vessel solutions, facilitated by a 160 strong in-house design team, is complemented by a powerful productive capacity which is being continually refined through a significant investment in advanced manufacturing processes.”

“The Sales & Marketing team at Austal is relatively small, but there is a broad and deep knowledge at both a technical and an operational level. This is vital in providing customers with uniquely tailored solutions,” he said.

In summary, Austal’s ability to secure new orders in a competitive market environment can be attributed to the following distinguishing factors:

  • Large in-house design capability
  • Ability to customise designs based on strong operational knowledge
  • Large production capacity for prompt delivery
  • Financial and technical strength
  • Advanced manufacturing techniques and a huge investment in training, new equipment and facilities
  • Strong service and support network

Order Book Analysis

(See charts in downloadable PDF version)

Market Segments

The vessels under construction span a range of market segments, emphasising the relevance of Austal’s customised aluminium designs for diverse applications:

Commercial: (Passenger Only Ferries): 12
12 x 48 metre
 
Commercial: (Vehicle-Passenger Ferries): 10
2 x 107 metre
4 x 88 metre
2 x 69 metre
2 x 65 metre
 
Military Vessels: 5
3 x 57 metre, Royal Australian Navy
2 x 127 metre, US Navy
 
Leisure Vessels: 2
1 x 60 metre
1 x 36 metre
 

Global Coverage

With historical sales of vessels to 36 individual countries, the current order book extends Austal’s global reach:

Australia 5
Asia 12
Europe/Middle East 8
USA 4

Custom Design Solutions

Commenting on Austal’s strong focus on customised design solutions matched to operator requirements, Design Development Manager Glenn Williams said,

“At Austal we do not follow a one size fits all approach to vessel design. Each of our new vessels has a unique hull platform, propulsion system and general arrangement optimised for the owner’s operational requirements, sea conditions and intended route following an intense pre-contract design phase.”

Catamaran designs dominate the fast ferry market based on a proven 25 year reputation and their high speed and load carrying ability. Since 1988, Austal has delivered, or has under construction, in excess of 100 catamarans for operators worldwide ranging in length from 30 metres to the recently launched 107 metre Hawaii Superferry, which is the largest aluminium ship built to date in the USA.

While catamarans dominate predominantly short and protected water ferry operations, it is the newly developed trimaran hull design that can take high speed vessels into rougher routes, the open ocean and a more diverse range of operational roles. The two 127 metre trimaran Littoral Combat Ships (LCS) under construction for the US Navy take their design influence from the 40 knot, 1200 passenger, 127 metre trimaran vehicle-passenger ferry “Benchijigua Express” delivered in 2005 to Fred.Olsen, S.A. in the Canary Islands.

The five monohull vessels under construction represent the balance of fourteen 57 metre Armidale Class Patrol Boats being built for the Royal Australian Navy, a 60 metre private cruise vessel and a 36 metre private charter vessel. While intended for different uses, these vessels share a common theme in that, unlike a passenger ferry, they will spend long periods away from shore, often at low speeds. As a result, all are optimised for onboard comfort and are propeller driven for efficiency to achieve reduced fuel consumption and long cruising ranges. Additional specialist equipment is added to each vessel to enhance the specific operational requirement.

While aluminium vessels are typically associated with high speeds, leading operators also now recognise the efficiency gains that can be achieved by utilising an aluminium hull to reduce a vessel’s weight, resulting in lower powering, longer range and improved fuel consumption. Of the current vessels under construction the maximum speeds range from 16 to 50 knots.

Another important benefit for all operators in choosing aluminium is a reduction in maintenance due to aluminium’s superior corrosion resistance. In particular for military vessels, this provides a significant manpower saving over conventional steel ships.

In addition to traditional fast ferry markets, Austal is currently working with existing operators to develop low-speed adaptations of our catamaran designs targeted for routes where conventional steel ships now operate, paving the way for new market opportunities in addition to the burgeoning military applications for high speed aluminium ships.

Fifty-five LCSs are forecast to be part of the US Navy’s expanded future fleet in addition to an upcoming acquisition requirement for a fleet of large high speed non-combatant vessels suited to the logistical support tasks of the US Army and Marines. As a result, Austal is poised to further grow its 900 person US workforce and expand its US shipbuilding facilities over another 100 acres of land. This will facilitate specialist module and small component manufacturing halls suited to the streamlined ongoing production of high volume orders.

With five shipyards now operating in Western Australia, Tasmania (Australia) and Mobile, Alabama (USA), Austal currently employs a total workforce of 2300. No other aluminium builder offers the research and development strength and dedicated in-house design resource to develop customised vessel solutions across a range of hull forms and operational markets, matched with the production capacity and capability to build vessels to tight delivery schedules.

Click Here to view Media Release (PDF)

Click Here for April Order Book Graphic (PDF)

Further Information

Contact: Austal
Phone: 61 8 9410 1111
Fax: 61 8 9410 2564
Email: media@austal.com

Share