British defence firm BAE Systems has won the $35billion contract to build a new fleet of anti-submarine frigates for the Australian navy.
The federal government announced on Friday the company’s Type 26 Global Combat ship will be the design for the program, in what will be the largest peace-time warship project in Australian history.
The 150-metre ships will be built in Adelaide and will be officially known as the Hunter class, with the navy to receive nine advanced guided missile frigates beginning in the late 2020s.
The ‘submarine killers’ – costing about $4billion each – will replace replace older frigates from as far back as 1996, a defence source told The Australian.
British defence giant BAE Systems has won the $35billion contract to build a new fleet of anti-submarine frigates for the Australian navy. An artist’s impression of one of the ships is pictured
The first ship is expected to be delivered in 2027 as part of what the source described as ‘the most significant warship project since World War II’.
The Turnbull government said the program will create 4,000 jobs across the country – with around 1,500 of those in Adelaide – and create unprecedented local and global opportunities for small and large businesses.
The Hunter class ‘will be one of the most capable warships in the world’, the government said.
‘The Hunter class will have the capability to conduct a variety of missions independently, or as part of a task group, with sufficient range and endurance to operate effectively throughout the region,’ the government said in a statement.
The ships’ advanced missile system is able to provide complete protection against all air threats. The missile can travel at speeds of over 1,200km/h with a range of more than 27km
‘The frigates will also have the flexibility to support non-warfare roles such as humanitarian assistance and disaster relief.’
Finance Minister Mathias Cormann said the contract would deliver ‘one of the world’s most advanced anti-submarine frigates’.
‘It will secure a sovereign naval shipbuilding industry here in Australia for decades to come,’ he told Sky News.
British Foreign Minister Boris Johnson said the project was a sign of a strong UK-Australia relationship.
‘Fantastic news that #Australia has chosen @BAESystemsplc Type 26 frigate for its new warship contract, worth up to PS20bn. Even further proof the UK-Australia relationship is stronger than ever!’ he wrote.
The ‘hunter killer’ warships will replace the ageing Anzac-class frigates (pictured) which have been in circulation since 1996
British Prime Minister Theresa May hailed the announcement and said it was the ‘perfect illustration’ of the deals Brexit Britain will be striking.
She said: ‘The sheer scale and nature of this contract puts the UK at the very forefront of maritime design and engineering and demonstrates what can be achieved by UK industry and Government working hand-in-hand.
‘We have always been clear that as we leave the EU we have an opportunity to build on our close relationships with allies like Australia. This deal is a perfect illustration that the Government is doing exactly that.
‘And while this is an enormous boost for the UK economy, it will also cement our strategic partnership with one of our oldest and closest friends for decades to come.’
The first ship is expected to be delivered in 2027 as part of what the source said was ‘the most significant warship project since World War II’. The graph above shows the capabilities of the new fleet
British Defence Minister Guto Bebb added: ‘BAE Systems’ winning bid highlights the best of British shipbuilding design and our world-leading anti-submarine warfare technology.
‘Australian forces have stood should-to-shoulder with our military for generations and this deal will build on our strength as allies as our two great Navies operate this cutting-edge frigate around the globe.’
The close allies are both part of the ‘Five Eyes’ security partnership – an intelligence sharing alliance between Britain, Australia, America, Canada and New Zealand.
The new frigates will be crucial to Australia’s defences at a time where China is escalating its military presence in the region’s oceans.
BAE had been shortlisted for the frigate program by the Turnbull government, along with rival companies Fincantieri, based in Italy, and Spain’s Navantia.
The federal government-owned ASC Shipbuilding will become a subsidiary of the UK defence firm during the build.
Australian Prime Minister Malcolm Turnbull (right) and British leader Theresa May (left) hailed the announcement as a sign of the strength of the alliance