Austal’s US subsidiary has been contracted for $2.8 million to deliver initial design studies for the United States Navy’s Next Generation Logistics Ship program.
Austal has valued the contract at $US2 million ($A2.8 million), under which it will develop a new baseline design and undertaken trade studies for what it says will be the navy’s newest logistics ship.
The NGLS program constitutes a new class of medium-sized, at-sea supply ships designed to support small surface ships by re-fuelling, re-arming and resupplying naval assets.
Austal chief executive Paddy Gregg said the contract marked a step forward in the company’s US expansion.
“This contract further demonstrates Austal USA’s capabilities and commitment to steel naval ship design and construction,” Mr Gregg said in a statement.
He said it adds to concept work the company is already undertaking the US Navy’s Light Amphibious Warship (LAW) program and the recent construction contract for up to five Towing, Salvage and Rescue (T-ATS) ships.
The company was contracted to build two steel vessels for the US Navy in October, worth close to $200 million.
Austal shares closed the day trading in the grey at $1.88.
