Minister for Defence - Adelaide Class Frigate maintenance contract signed

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Senator the Hon David Johnston

Minister for Defence

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5 July 2014

Minister for Defence David Johnston today announced that Thales Australia Ltd has been awarded the Navy’s Adelaide Class guided missile frigate’s (FFG) Group Maintenance Contract.

Senator Johnston said the contract will be for an initial period of four and half years with the potential for contract extensions to an anticipated value of $130 million.

“If contracted quality and service level requirements are met and efficiencies are achieved, the contract can be extended to the ship’s withdrawal from service dates,” Senator Johnston said.

Senator Johnston said this was the second of the grouped-asset, long-term, performance-based contracts for the repair and maintenance of the Navy’s major surface ships.

Planned work on the frigates will be undertaken at Navy’s GardenIsland facility in Sydney.

“It demonstrates the Government’s commitment, through the Defence Materiel Organisation to apply innovative contracting practices to get the best outcome for the Navy, for industry and for every Australian taxpayer.”

“We have always recognised that the grouping of ship repair and maintenance work offers the potential for real savings by reducing the administrative burden of per-event tender contracting, providing greater certainty of revenue streams and work effort, and promoting better planning.”

Senator Johnston said the design of the contract will provide both industry and Navy with greater certainty and stability in the repair and maintenance of the guided missile frigates.

Media contacts:

Mark Dodd (Minister Johnston’s Office) 0477 389 560
Rebecca Horton (Minister Johnston’s Office) 0477 389 554

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