The Australian government has awarded Osborne-based submarine builder and maintainer ASC a $1.44 billion contract to sustain its Collins-class submarines for the next four years.
According to Australia’s Department of Defence, the agreement ensures job security for over 700 workers in South Australia and another 400 in Western Australia. It also aligns with the government’s $4 billion to $5 billion commitment to maintaining the Collins-class submarines as a key defense asset.
“This new contract further ensures these workers have certainty in Australia’s national naval shipbuilding and sustainment enterprise, and helps to grow the workforce required to build and sustain Australia’s future nuclear-powered submarines,” Minister for Defence Industry Pat Conroy said.
The new contract also complements the life-of-type extension program for the Collins-class submarines. A broader initiative that will start in 2026, the LOTE program aims to extend the operational life of six submarines by 10 years per platform. Over 500 professionals in the south are projected to benefit from the program.
The sustainment contract follows an earlier contract awarded by the government in March to build attack submarines with BAE Systems under an AUKUS security pact with the United States and the United Kingdom.