Austal Limited (ASX:ASB) reports that its Austal USA subsidiary has been awarded a $156,171,650 fixed-price incentive contract option from the United States Navy for the construction of two Navajo-class Towing, Salvage, and Rescue Ships (T-ATS 13 and 14).

With the award, the Mobile. Ala., company is now under contract for four T-ATS, having received awards for T-ATS 11 and 12 in October 2021. It started construction on the first of these on July 11.

“It’s a great sign of confidence by the Navy, in the Austal USA team’s ability to deliver both steel and aluminum ships simultaneously, that they have awarded a contract for another two vessels,” said Austal Limited CEO Paddy Gregg. “Congratulations to the Austal USA team on yet another multiple steel vessel contract, which will go even further to demonstrate the company’s diverse capabilities, in aluminum and steel.”

T-ATS is an ocean-going tug, salvage, and rescue ship designed to support the United States Navy’s fleet operations, with a multi-mission common hull platform capable of towing heavy ships. The ships are capable of supporting a variety of missions, including oil spill response, humanitarian assistance, search and rescue and surveillance.

Austal USA will utilize its proven ship manufacturing processes and innovative methods that incorporate lean manufacturing principles, modular construction, and moving assembly lines, all housed under the shipyard’s state-of-the-art enclosed steel production facility. This unique production capability positions Austal USA to meet the ongoing, growing demands of both the Navy and Coast Guard.

Construction on T-ATS 13 and 14 will commence in the second half of 2023 and first half of 2024; with delivery planned for the second half of 2025 and first half of 2026, respectively.

Source: https://www.marinelog.com/shipbuilding/shipyards/shipyard-news/austal-usa-gets-156-million-award-to-build-two-more-t-ats/