Proactive Investors - Run By Investors For Investors

Babcock JV wins AU$1.5bn Australian defence contract

The JV will become asset steward of the largest vessels in the Royal Australian Navy: Two flagship Canberra Class Landing Helicopter Docks (LHD) and their 12 associated amphibious LHD landing crafts
Babcock JV wins AU$1.5bn Australian defence contract
The joint venture will begin the work to sustain and support the vessels in July 2019

A Babcock International Group PLC (LON:BAB) joint venture has been awarded a AU$1.5bn contract by the Australian Defence Force to manage and maintain the largest vessels in the Royal Australian Navy.

Naval Ship Management (NSM), a 50/50 joint venture between Babcock and UGL, has been awarded the contract is for an initial five year period with the expectation of two further five-year extensions, the engineering services company said in a statement on Monday.

READ: Babcock wins 10-year, £100mln contract for aerial-firefighting services in Canada

The partnering agreement sees NSM appointed asset steward of the largest vessels in the Royal Australian Navy: two flagship Canberra Class Landing Helicopter Docks (LHD) and their 12 associated amphibious LHD landing crafts.

The joint venture will begin the work to sustain and support these critical vessels in July 2019.

The award builds on Babcock's long-standing relationship with the Australian Defence Force. NSM provides sustainment support to the Royal Australian Navy's fleet of ANZAC class frigates through to the end of their life. Babcock also supports the Australian Defence Force's ground support equipment.

"We are delighted to have been chosen for this strategically important role which builds on our existing relationship with the Australian Defence Force,” Babcock CEO Archie Bethel said in a statement. “Through NSM we will apply Babcock's digitally enabled asset management capabilities to support this strategically important capability over the next decade and beyond."

View full BAB profile View Profile

Babcock International Timeline

Related Articles

credit cards
July 08 2018
The group is already seeing good progress at its US contact centre business
Wind turbines
November 06 2018
Formerly known as Strat Aero, the company is now focusing squarely on remote monitoring of rotating shafts after acquiring a controlling stake in software firm GyroMetric
Drilling rig
January 10 2019
Since its first half results in August, the drilling services firm has secured two key contract extensions as well as a new delineation drilling contract in Côte d'Ivoire

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use