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$535m shipyard redevelopment on track

osborne south precinct
Artist impression of the Osborne South Naval Shipbuilding Precinct. Image via Commonwealth of Australia, Department of Defence.

The redevelopment of the Osborne South Naval Shipyard in Adelaide is in full swing, with earthworks at the site finishing up in April.

The redevelopment of the Osborne South Naval Shipyard in Adelaide is in full swing, with earthworks at the site finishing up in April.

Providing an update on the progress of the site, Minister for Defence Industry Christopher Pyne and senator Mathias Cormann said just seven months after Australian Naval Infrastructure (ANI) engaged Lendlease as managing contractor, the $535 million redevelopment of the Osborne South Naval Shipyard is progressing well.

Minister Pyne said ANI estimated the Osborne South redevelopment will create up to 600 jobs.


"Approximately 100 construction staff are currently working on site, and ANI estimates this number will peak at up to 400 in 2019," Minister Pyne said.

"Earthworks subcontractor McMahon Services Australia completed site preparation earthworks in early April 2018.

"McMahon and majority Indigenous-owned subcontractor Intract Australia formed a joint venture to construct the early earthworks, with Intract continuing to provide dust management on site."

Piling contractor Keller mobilised in February 2018 and as of late May 2018, over 2,300 piles have been driven into the ground.

"This represents 48 per cent of the estimated 4,800 total piles required for the Osborne South redevelopment," Minister Pyne said.

"As piling is completed, concrete foundation works will commence by mid-year with more than 55,000 m3 of concrete placed into the foundations."

Senator Cormann said in preparation for construction of the main fabrication and assembly halls, 100 per cent of the square-section structural steel has been ordered from Australian steelmakers Bluescope at Port Kembla and Liberty OneSteel in Whyalla.

"During March 2018, steel deliveries to fabrication yards within Adelaide started, with pre-fabricated sections due to arrive on site from July 2018," said Senator Cormann.

"Above-ground structural erection work is scheduled to commence early in the fourth quarter of 2018.

"By tonnage, ANI estimates at least 75 per cent of the steel used in the redevelopment will be Australian."

Development of the new shipbuilding infrastructure at Osborne South is scheduled to be complete in early 2020 to support the start of Future Frigate production. The government is expected to announce the preferred tenderer for the Future Frigates project before the end of June.

BAE Systems, Fincantieri and Navantia are all in the race to secure the $35 billion project.