Babcock subsidiary Naval Ship Management has been selected as the Regional Maintenance Provider West, managing the sustainment of Royal Australian Navy ships in Henderson, Western Australia.
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The contract, with an expected value of $32 million, will oversee the maintenance and sustainment of two Arafura Class offshore patrol vessels. Though, the contract can be extended to $300 million if the six Anzac Class frigates, which are expected to be based in Western Australia, are included in the initial five-year period.
“We are proud to be awarded the RMP West contract and to be working in partnership with the Commonwealth government to continue to deliver naval sustainment capability for Australia in the region,” Andy Davis, managing director – defence at Babcock Australasia, said.
“Building upon our position as the premier warship sustainment company in Australia and New Zealand, we look forward to continuing to work closely with our Australian-based supplier network to deliver the RMP West scope of work.”
Babcock Australasia projects that the contract will create up to $300 million in economic benefits, creating nearly 150 jobs.
The announcement forms part of Plan Galileo, where four Regional Maintenance Centres will be established for the Royal Australian Navy’s (RAN) Future Maritime Sustainment Model.
Gavin Stewart, general manager of Naval Ship Management, explained that the contract will harness the local supply chain to enable greater maritime capability.
“The partner primes, suppliers and subcontractors that make up our valued supply chain are at the core of delivering a truly national capability for the sustainment of the RAN’s warships,” Stewart explained.
[Related: Babcock wins JP 9101 contract]