Australia has committed to a substantial investment in modernizing its Collins-class submarines through a four-year contract with ASC. The AUD$2.2 billion (US$1.4 billion) agreement aims to maintain the fleet’s capabilities as a formidable defense asset.Australia has committed to a substantial investment in modernizing its Collins-class submarines through a four-year contract with ASC. The AUD$2.2 billion (US$1.4 billion) agreement aims to maintain the fleet’s capabilities as a formidable defense asset. The project will provide immediate job security for over 1,100 skilled workers and will be carried out in Henderson, Western Australia, and Osborne, South Australia. Osborne will serve as the central site for maintenance and will eventually host the construction of Australia’s nuclear submarines under the AUKUS agreement. The government’s commitment of A$4-5 billion for the submarine modernization program underscores its goal of ensuring the Collins-class fleet remains operational until 2040. The submarines play a crucial role in Australia’s defense posture, providing strike and deterrent capabilities.
Australia announced on Saturday that it has signed a four-year contract worth AUD$2.2 billion (US$1.4 billion) with state submarine builder ASC to modernize its Collins-class submarines.
Minister for Defence Industry Pat Conroy said the “sustainability agreement” was part of a government commitment to maintain a diesel-electric Collins-class fleet as “a powerful strike and deterrent capability”.
Conroy said the contract will “provide immediate job security for over 1,100 highly skilled workers”, with work being carried out in Henderson, Western Australia, and Osborne, South Australia.
Osborne will be the site where ASC, Britain’s BAE Systems and Australia’s nuclear submarines will build Australia’s fleet, the core part of the 2021 AUKUS agreement between Britain, the US and Australia.
The shipyard will be the site of the majority of maintenance on the Collins-class fleet until work begins later in the decade.
Conroy said the centre-left government’s commitment of A$4-5 billion for submarines is part of a plan to keep them operating until 2040.
