BAE Systems awarded A$35 billion Future Frigates program

04 Jul 2018

UK company BAE Systems has been selected as preferred tenderer for the SEA 5000 program to deliver the Australian Government’s nine Future Frigates for the Royal Australian Navy.

Italian shipbuilder Fincantieri and Spain-based Navantia also tendered for the SEA 5000 program.

In a company media release, BAE Systems Australia says the project is expected to create and sustain at least 5,000 highly skilled jobs. The new ships, to be called the Hunter class, will be built in South Australia by an Australian workforce, using Australian suppliers from every state and territory.

Approximately 1,500 of these jobs will be located at ASC Shipbuilding at the Osborne shipyards in northern Adelaide, while another 600 non-ongoing jobs will be created while developing the Osborne South shipyards.

Gabby Costigan, Chief Executive of BAE Systems Australia says construction of the nine frigates are expected to make a significant contribution to the nation’s economy, create thousands of jobs, support new industries and boost the national supply chain for decades to come.

‘We are committed to creating a strong, sustainable and innovative naval shipbuilding industry that will see highly skilled Australians building and sustaining warships for the Royal Australian Navy,’ says Costigan.

‘We are proud to have been selected as preferred tenderer to provide the Royal Australian Navy with a world-class ship, equipped with the latest technologies and designed specifically to meet its needs.

‘The Global Combat Ship – Australia will help protect our shipping lanes and regional trade routes, serve humanitarian missions and provide the nation with a formidable naval capability.’

BAE Systems Australia is the wholly owned subsidiary of the UK-based BAE Systems Plc. Its Australian operations develop, manufacture and supply defence machinery and equipment. It is the fourth largest BAE Systems’ operation in the world, generating just over A$1 billion in revenue in 2016.