Austal Limited
(ASX:ASB) says it will build two further Cape class patrol boats valued at $63 million for the National Australia Bank.
NAB will then charter the boats to the Department of Defence for a minimum of three years with Austal providing a residual value guarantee to NAB.
This means Austal will buy the boats back at a pre-agreed price at the end of the charter should it not continue.
Two high speed support vessels destined for the Royal Navy of Oman are also currently progressing well.
Austal reported a net profit of $53.15 million for the 2015 financial year.
