Australia announced that it has secured a four-year contract worth A$2.2 billion dollars (US$1.4 billion) with the state-owned shipyard ASC for the modernization of the "Collins" class submarines. from the composition of its naval forces, reported Reuters, quoted by BTA.
"The Support Agreement" was concluded in fulfillment of the government's pledge to retain the Collins-class diesel-electric submarines. as an important part of Australia's defense capabilities, Defense Industry Minister Pat Conroy said.
The contract will "provide direct employment to over 1,000 highly skilled workers," and submarine modernization work will be carried out in Henderson in Western Australia and Osborne in South Australia, he added.
Osborne is where ASC and the British "BAE Systems" will jointly build the Australian fleet of nuclear submarines, the fundamental part of the AUCUS pact concluded in 2021 between the UK, the US and Australia.
Until work on the construction of these vessels begins, which is expected to take place in the coming years, this shipyard will continue to perform the main part of the maintenance activities of the existing "Collins" class submarine fleet.
Conroy said the upgrade was part of the centre-left government's A$4-5 billion plan to keep these submarines as part of Australia's military capability well into the 2040s.