Australian defence shipbuilder Austal has executed a US$100 million loan agreement with Export Finance Australia (EFA), the Australian Government's export credit agency, to partially fund the development of the final assembly two (FA2) project at the Austal USA shipyard in Mobile, Alabama.
The EFA loan facility to support the development of Austal's FA2 project was credit approved, but subject to completion of finance documentation, when Austal announced its AU$488 million (US$321 million) refinance package in late June 2025 and was included in that total package, hence this total refinancing amount remains unchanged.
With the documentation now signed, subject to the satisfaction of conditions precedent, Austal will use the facility to assist in funding construction of FA2.
The EFA loan tenor is for 10 years. Austal said this reflects the long-term secured orderbook for ships that will be built in this facility, commencing with up to eleven US Coast Guard offshore patrol cutters and up to seven US Navy ocean surveillance vessels.