Civmec, through its wholly owned subsidiary Forgacs Marine and Defence, has unveiled plans for a new shipbuilding facility primarily targeting naval defense projects in Western Australia.
The heavy engineering specialist is positioning itself for participation in Australia’s A$89 billion ($65 billion) naval ship and submarine upgrading program, which forms part of the Australian government’s projected A$195 billion ($142 billion) overall defense investment over the decade from now until 2025-26.
The facility will be able to house ship construction and on-going maintenance under cover in a conducive and efficient environment close to Fleet Base West – the home of Australia’s submarine force and half of its naval surface fleet. It will be the only facility with this capacity in Australia.
The new facility will be situated on approximately seven-hectare (70,000 square meters) of land adjoining the south side of the group’s existing facility at the Australian Marine Complex in Henderson, and when operating at capacity is expected to provide additional jobs for up to 1,000 workers, as well as up to 100 additional apprenticeships and graduate.
The new facility in Henderson will rival the best shipyards in the world and is part of Forgacs goal to enhance Australia’s profile as a globally efficient naval shipbuilder, said the company in a statement.
Civmec anticipates an overall investment in the region of A$80 million to develop the entire facility over the coming years. Based on this timing of construction it is intended that the proposed new facility be funded using internal cash resources and borrowings. Design and planning have already commenced with a further more detailed focus on engineering and geotechnical analysis occurring immediately in the new year.