General Dynamics Bath Iron Works (BIW) has been awarded the Littoral Combat Ship Planning Yard Design Services Contract by the US Navy.
Austal USA had earlier teamed with BIW for this tender. According to a statement from Austal, if all options are exercised the potential value of the contract is US$100m.
Austal Chief Executive Officer Andrew Bellamy said in a statement, “This contract award is great news for Austal. It is strategically important to the further growth of our post-delivery service and support business. We can now look forward to finalising the contract details with General Dynamics.”
Meanwhile, Austal has sold the “Austal Hull 270”, a 102-metre trimaran stock vessel to UK operator Condor Ferries for US $61.5m.
Austal previously announced on 6 January 2014 that it had negotiated an option to purchase contract with the Channel Islands’ ferry operator, Condor Ferries, which has now been exercised.
Condor Ferries has been operating since 1964 and carries more than 1 million guests and 200,000 guest vehicles between France, the UK and the Channel Islands each year.
Austal Hull 270 will remain at Austal’s commercial shipyard in the Philippines for customer modifications. The modifications will commence immediately and are valued at approximately $6 million, to be paid by Condor progressively as works are completed.