Austal opens new office in Australian contract bid

May 8 (UPI) -- Australian shipbuilder Austal has opened a new office to support its bid for a contract to build offshore patrol vessels for the Royal Australian Navy.

The design and project management office, located in Adelaide, South Australia, marks a major company expansion in one of two major Australian shipbuilding hubs.

"As a key stakeholder in the delivery of the Australian government's Continuous Naval Shipbuilding Program, which includes the 19 vessel Pacific Patrol Boat Replacement Project we've just cut steel on, it is absolutely critical that we establish a strong presence in both Australian shipbuilding hubs," David Singleton, chief executive office at Austal, said in a press release.

"We're committed to employing, training and developing the very best talent in shipbuilding design, engineering and manufacturing in Australia for this national endeavor."

Austal has been the sole designer and builder of Australia's border patrol capability since 1998. It is currently contracted by the government to deliver 19 steel vessels -- valued $226.9 million -- for the Pacific Patrol Boat Replacement Project and is completing the $63 million, two vessel Cape Class Patrol Boat program for the Royal Australian Navy.

The company, together with joint-venture partner Fassmer of Germany, are competing for a $2.22 billion Offshore Patrol Vessel project for a dozen vessels for the Royal Australian Navy.

The new office in Adelaide, which opens next month will house design and project management team members from both Austal and Fassmer, plus locally-recruited designers and project managers.