Austal USA Awarded US$91.5 m LCU Contract by US Navy
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This news is classified in: Defense Contracts Navy

Sep 12, 2023

Austal USA Awarded US$91.5 m LCU Contract by US Navy

Austal Limited (Austal) (ASX: ASB) is pleased to announce Austal USA has been awarded a US$91,535,551 (AU$143.4 million) fixed-price incentive and firm-fixed-price type contract for the construction of three Landing Craft Utility (LCU) 1700 class craft.

The contract follows a previous contract for the detail design of the vessels and includes options for manufacture of an additional nine vessels and associated support arrangements.

The steel hull LCU 1700-class possess heavy-lift capability with 170 ton payload capacity, and will be deployed with the Navy’s amphibious assault ships to support a range of military operations including the delivery of tracked and/or wheeled vehicles, troops and cargo from ship to shore, shore to shore and back to ship.

Undersea Warfare Systems Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2019-2029F

Undersea Warfare Systems Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2019-2029F

By Type (Weapon Systems, Communication and Surveillance Systems, Sensors and Computation Systems, Countermeasure Systems and Payload, Unmanned Underwater Vehicles), By Mode of Operation (Manned Operations, Autonomous Operations, Remotely Operations), By Application (Combat, C4ISR, Others), By Region, Competition, 2019-2029F

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Austal Limited Chief Executive Officer Paddy Gregg said the new contract reinforces Austal USA’s position as a critical capability partner to the United States Navy and further diversified the company’s steel shipbuilding portfolio.

“The LCU are an essential capability of the US Navy, and we’re proud to be contributing to this important shipbuilding program with up to 12 vessels to be constructed,” he said.

“Austal USA continues to diversify its product portfolio, with production continuing on two Towing, Salvage and Rescue Ships (T-ATS) and the 8,500sq metre Auxiliary Floating Dry Dock Medium (AFDM) on the company’s state-of-the-art steel line. Austal USA also holds multiple ship contracts for the Navy’s TAGOS-25 ocean surveillance ship, and the U.S. Coast Guard’s Heritage-class Offshore Patrol Cutter (OPC) programs.”

The LCU 1700-class has a roll-on / roll-off monohull configuration, with hydraulically controlled bow and stern ramps that allow multiple vessels to connect and form a causeway for fast and secure unloading and loading. The craft are designed to be transported within, and load/unload from the well decks of amphibious assault ships, carrying loads up to 3.5 metres high, above the vessel’s vehicle deck. With a crew of 13, each vessel can conduct independent open ocean Page 2 of 3 transits or operations at sea with a range of 1,200 nautical miles (at 8kn) and a top speed of 11 knots.

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



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