Austal USA Commences Construction on New Steel Assembly Facility


Austal USA Breaks Ground on New Steel Assembly Facility

Austal USA Breaks Ground on New Steel Assembly Facility

Austal USA has announced the groundbreaking of its new final steel assembly facility, set to be completed by summer 2026. The facility, located in Mobile, Alabama, will include a new assembly building, a ship lift system, and waterfront improvements.

The 192,000-square-foot, three-bay building will expand Austal’s shipyard’s capabilities to build steel ships. The company, known for building aluminum ships for the Navy, is now gearing up to work on projects like the Heritage-class Offshore Patrol Cutter for the Coast Guard and the Navy’s T-AGOS-25 ocean surveillance ship.

The estimated cost of the facility is $250 million and will feature a Pearlson & Pearlson Inc. ship lift platform capable of moving 18,000 tons. Austal USA President Michelle Kruger expressed excitement about the expansion, stating, “Austal USA is poised for significant growth, and this infrastructure expansion plan reflects that.”

In addition to the current steel ships under contract, Austal USA is also being considered as a contender for the second yard to build the Constellation-class frigate (FFG-62). The company recently appointed former Secretary of the Navy Richard V. Spencer as its new chairman.

Despite a recent bid from South Korean shipbuilder Hanwaha Systems and Hanwha Ocean to acquire Austal USA for $662 million, the bid was rejected due to U.S. national security concerns. Austal’s investment in the new facility highlights its commitment to supporting the National Defense Industrial Strategy and investing in the Mobile region.

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