AUSTAL USA AWARDED CONTRACT VALUED UP TO US$3.195 BILLION FOR UP TO SEVEN T-AGOS SURVEILLANCE SHIPS FOR THE UNITED STATES NAVY

Austal USA awarded contract valued up to US$3.195 Billion for up to seven T-AGOS Surveillance Ships for the United States Navy

Austal Limited (ASX:ASB) is pleased to announce that Austal USA has been awarded a US$113,906,029 fixed-price incentive (firm target) and firm-fixed-price contract for detail design of the Auxiliary General Ocean Surveillance Ship T-AGOS 25 Class for the United States Navy. The contract includes options for detail design and construction of up to seven T-AGOS 25 class ships which, if exercised, would bring the cumulative value of the contract to US$3,195,396,097.

T-AGOS ships, operated by United States Military Sealift Command (MSC), support the anti-submarine warfare (ASW) mission of the commanders of the Atlantic and Pacific Fleets by providing a platform capable of passive and active anti-submarine acoustic surveillance. The 110 metre, steel ‘small waterplane area twin hull’ (SWATH) vessels support the Navy’s Integrated Undersea Surveillance System (IUSS) by gathering underwater acoustical data using Surveillance Towed-Array Sensor System (SURTASS) equipment.

Austal Limited Chief Executive Officer Paddy Gregg said the T-AGOS contract adds to Austal USA’s growing portfolio of steel shipbuilding programs and is a further demonstration of the US Government’s trust in Austal USA’s capabilities.  

“T-AGOS is a unique auxiliary naval platform that plays an integral role in supporting Navy’s anti-submarine warfare mission. Austal USA is honoured to be selected to deliver this critical capability for the Navy, utilising our advanced manufacturing processes, state-of-the-art steel shipbuilding facilities and our growing team of shipbuilders.

“The T-AGOS contract is a clear acknowledgment of Austal’s capabilities in steel naval shipbuilding, that includes the Navy’s Towing, Salvage and Rescue (T-ATS) ships, an Auxiliary Floating Drydock Medium (AFDM), and the US Coast Guards’ Offshore Patrol Cutters.

“These four steel naval shipbuilding projects, and our continuing successful delivery of the Independence-variant Littoral Combat Ship and Spearhead-class Expeditionary Fast Transport programs, are positioning Austal USA exceptionally well to meet the growing demands of the US Navy and Coast Guard,” Mr Gregg said.

As prime contractor for the contract, Austal USA is teaming with L3Harris Technologies, Noise Control Engineering, TAI Engineering, and Thoma-Sea Marine Constructors to deliver the TAGOS-25 program, from the company’s new steel shipbuilding facility in Mobile, Alabama.

Utilising proven, advanced manufacturing processes and innovative production techniques that incorporate lean manufacturing principles, modular construction, and moving assembly lines, Austal USA is currently delivering multiple naval shipbuilding programs and sub-contracted projects, including;

• Independence-variant Littoral Combat Ships (17 of 19 vessels delivered)
• Spearhead-class Expeditionary Fast Transports (13 of 16 vessels delivered, including the largest uncrewed capable vessel in the U.S. Navy, USNS Apalachicola, EPF-13)
• Four Navajo-class Towing, Salvage and Rescue (T-ATS) Ships
• Up to 11 Heritage-class Offshore Patrol Cutters for the US Coast Guard
• An Auxiliary Floating Dock Medium (AFDM)
• Elevators for the Gerald R. Ford-class aircraft carrier, USS Enterprise (CVN-80)
• Command modules for Virginia-class Submarines (SSN)

This ASX announcement has been approved and authorised for release by Austal Limited Chief Executive Officer, Paddy Gregg.

Austal USA has been awarded a contract for the detail design and construction of up to seven T-AGOS 25 Ocean Surveillance Ships for the United States Navy (Image: US Navy)

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