THE FEDERAL government is to spend an initial $30 million to support non-defence shipbuilding at the Australian Marine Complex (AMC) at Henderson, south of Perth.
The funding will deliver new common-use infrastructure, supporting non-defence industry users continued operations at the AMC.
It is expected to support around 10,000 WA jobs and contribute billions to the state's economy.
A media release from the state government has welcomed the investment.
“Western Australia strengthens its position as a national leader in sovereign naval shipbuilding and sustainment as part of its economic diversification strategy,” the release said.
“The initial investment into common-use infrastructure will provide certainty and confidence to existing industries and ensure they have ongoing access to infrastructure to enable delivery of their commitments.
“Continuous shipbuilding will now start at the AMC, which will underpin around 10,000 jobs and strengthen the security and resilience of the nation.”
In the same media release the state government said Austal Defence Australia had been confirmed to build the Australian Army's new landing craft heavy at the Australian Marine Common User Facility.
The Landing Craft Heavy (LCH) Program at the AMC is valued at $4 billion.
“The LCH Program forms a key part of Western Australia's continuous naval shipbuilding and sustainment pipeline, supporting the ongoing diversification of the Western Australian economy to continue to create quality jobs and business opportunities for Western Australians,” the release said.
“The program is a testament to the significant role Western Australia plays in safeguarding the nation and its commitment to building sovereign defence capabilities that are proudly Made in WA.
“The Cook government remains committed to its economic diversification and decarbonisation agenda, ensuring non-defence industry users can continue operations at the AMC Common User Facility during the establishment of the Henderson Defence Precinct under the 2024 Cooperation Agreement.”
Defence industries minister Paul Papalia said the federal government investment supports Australia's sovereign defence capability by ensuring key naval assets are built and sustained in Western Australia.
"The AMC is central to that effort, and this funding ensures it can continue to support shipbuilding while accommodating future growth across the precinct," Mr Papalia said.
Planning and lands minister John Carey said the AMC has already created more than 50,000 jobs and contributed more than $3 billion to the WA economy over its lifetime, something today’s announcement would continue to build on.
In its own medic release Austal said construction of the 100 metre Landing Craft Heavy vessels, based on the Damen LST100 design, will be undertaken using Austal facilities and the Common User Facility at Henderson in Western Australia.
Construction is scheduled to start in 2026, with the eighth and final vessel scheduled for delivery to the Commonwealth in 2038.
Austal Limited chief executive, Paddy Gregg, said the award of the Landing Craft Heavy contract to Austal Defence Australia under the Strategic Shipbuilding Agreement reinforced the company’s position as the Commonwealth of Australia’s sovereign shipbuilder and a trusted partner to the Australian Defence Force.
"This contract generates a record order book for Austal, provides a long-term demand signal for our supply chain, and provides the incentive to invest in uplifting our capability," Mr Gregg said.