Defence SA has welcomed the Australian Government’s decision to award the $35 billion Future Frigate contract to Britain’s BAE Systems.

BAE Systems was selected as the preferred tender to design and build a fleet of nine new frigates for the Royal Australian Navy with its Type 26 Global Combat Ship. The UK-based company will partner with ASC Shipbuilding to build the Hunter class frigates.

The Future Frigate project is part of the Australian Government’s continuous naval shipbuilding program and is scheduled to commence in 2020 at the nation’s premier shipbuilding precinct in Osborne, Adelaide.

The project is expected to create more than 1500 direct jobs in South Australia and additional supply chain opportunities, with more than 100 local businesses pre-qualified to be part of the project.

Defence SA Chief Executive Richard Price said that the continuous shipbuilding program provides industry with the certainty needed to invest and will create new job opportunities for skilled Australian workers.

“I congratulate BAE Systems on winning the design contract and ASC for being selected as the build partner – it’s a big win for our local shipbuilding industry,” he said.   

“This project will be a catalyst for advanced manufacturing, and is vital for the development of local capability, training and technology transfer, as well as creating jobs in the supply chain for skilled Australian workers.

“We will work hard to ensure South Australia’s industry and workforce benefits from this major project.”   

The new frigates will be larger and more capable than the ANZACs, with a heavy emphasis on anti-submarine warfare.