Australia's Defence Department has selected ST Marine as the preferred tenderer to convert the Royal Australian Navy tanker HMAS 'Success' to be double hulled. ST Marine represented the best value for money and the shortest time out of service, the Navy claims.
The work will be carried out in Singapore, where the ship has a scheduled visit while on deployment in Asia and involves the double hulling of the HMAS 'Success' to meet International Maritime Organisation standards for environmental protection against oil spills.
ST Marine's tender came in under budget. As a result, funds saved on this project will be re-directed towards the priority repair and maintenance work required on HMAS 'Kanimbla' and HMAS 'Manoora', for which a precautionary Operational Pause was recently initiated by the Chief of Navy. This work will occur concurrently at Garden Island, Sydney.
Overseas companies were allowed to bid for the work on HMAS 'Success' as this is a one-off project – work of this type will never again be carried out in Australia; and no Australian company had ever undertaken work of this type.
The on-going repair and maintenance of Navy ships happens in Australia and will stay in Australia, said the Navy. This includes the regular and on-going repair and maintenance of HMAS 'Success'.
This year Defence will spend approximately AU$79 million (US$77.43 million) on ship repair and maintenance in the Sydney region.
Next year Defence has budgeted to spend AU$81 million (US$79.39 million) on ship repair and maintenance in the Sydney region.
Next year Defence will also issue tenders for five-year contracts for the repair and maintenance of Navy ships at Garden Island. This work will all occur in Australia and is worth about half a billion dollars over the five years.
These long-term contracts will provide more security for Australian businesses and more job security for their workforce, claims the Navy.
