Navy Ship Ahoy
Newcastle Herald
Saturday June 29, 2002
NEWCASTLE-based shipbuilder Australian Defence Industries (ADI) has been short-listed for a $450million Navy patrol boat contract that could create up to 5000 jobs.
ADI will compete with Western Australian-based companies Austal and Tenix in the final stage of the tendering process to build the 15 vessels.
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ADI on short list for Navy contract
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Despite speculation the Government planned to centralise naval shipbuilding in Adelaide, no South Australian applicants were short-listed from the nine contenders.
The contract could yield $750million for the Hunter, according to an economic impact statement issued late last year.
The statement predicted that at least 1000 jobs would be created in each of the five years of the contract.
An ADI spokesman told the Herald last night that the company's track record held it in good stead to win the contract.
`We've got the skills and the technology here at our Carrington base as we proved with the minehunter project,' the spokesman said.
`We built the minehunter ships on time and to standard.
`It was a great success for defence and for the Hunter.'
The patrol boats will be used as part of Australia's Civil Surveillance Program.
ADI is the only company proposing to build the boats with advanced composite materials.
`Less structural maintenance is required for the ships that we want to build; they have a longer life, they're lighter and they use much less fuel so there are significant savings there,' the spokesman said.
Defence Minister Robert Hill said competition among the nine tenderers was intense.
He said the Government would buy the boats directly.
Each of the boats will carry a crew of 29, a 25mm cannon and communications and surveillance equipment.
The building of the vessels will provide work for subcontractors and position the region for more defence work.
The three short-listed companies will provide detailed tender proposals by the end of October, with a recommendation to be sent to the Government before year's end.
© 2002 Newcastle Herald