Austal Defence Australia has been awarded a $4 billion contract for the construction of eight Landing Craft Heavy vessels, under the Strategic Shipbuilding Agreement with the Commonwealth of Australia.
Construction of the 100 metre Landing Craft Heavy vessels, based on the Damen LST100 design, will be undertaken using Austal facilities and the Common User Facility at Henderson in Western Australia.
Construction is scheduled to commence in 2026, with the eighth and final vessel scheduled for delivery to the Commonwealth in 2038.
Austal Limited Chief Executive Officer, Paddy Gregg, said the award of the Landing Craft Heavy contract to Austal Defence Australia under the Strategic Shipbuilding Agreement reinforced the company’s position as the Commonwealth of Australia’s sovereign shipbuilder and a trusted partner to the Australian Defence Force.
“This contract represents another significant investment in Australia’s sovereign shipbuilding capability - and Austal Defence Australia is ready to deliver these highly capable vessels to support the ADF’s operational requirements,” Mr Gregg said.
“Constructing the Landing Craft Heavy vessels at Henderson will create and develop thousands of new, skilled jobs in Western Australia and provide further opportunities for the local defence industry supply chain.
“While Austal’s US business has traditionally accounted for a large share of our defence order book in recent years, this contract reflects the growing strength and success of Austal’s Australian operations, and Australian industry, within the national shipbuilding and sustainment enterprise.
“This LCH construction contract balances out the split and provides greater geographic diversity of earnings. It also provides earnings and employment stability for the next 12 years.”
This contract generates a record order book for Austal, provides a long-term demand signal for our supply chain, and provides the incentive to invest in uplifting our capability.
Austal Defence Australia Executive General Manager – Strategic Shipbuilding, Gavin Stewart said Landing Craft Heavy was the second major construction contract awarded under the Strategic Shipbuilding Agreement, following the award of the $1.029 billion Landing Craft Medium design and build contract in December 2025.
“With Landing Craft Medium and Landing Craft Heavy contracts now underway, there are outstanding opportunities for people and businesses to engage with Austal Defence Australia, and our industry and supply chain partners, to help deliver new capability for Australia. Austal Defence Australia is looking forward to expanding and developing the industrial capabilities at Henderson and beyond, into a reliable shipbuilding enterprise to support the Commonwealth’s objectives of sovereign shipbuilding capability,” Mr Stewart said.
“These Programs under the Strategic Shipbuilding Agreement represent decades of continuous naval shipbuilding work, to be delivered here in Western Australia.”
The Landing Craft Heavy vessels will provide the Australian Defence Force with a critical maritime capability, supporting amphibious operations, logistics, humanitarian assistance and disaster relief across Australia’s region of interest.
Key specifications of the vessels include a length of approximately 100 metres, width of 16 metres, displacement of 4000 tonnes and room for more than 200 embarked soldiers, as well as six M1A2SEP3 Abrams main battle tanks or nine Redback Infantry Fighting Vehicles.
In addition, Austal USA is presently constructing up to 12 smaller Landing Craft Utility vessels for the US Navy at its Mobile, Alabama, US shipyard.