Designer and manufacturer of vessels Austal Ltd
(ASX:ASB) is to build a further two Joint High Speed Vessels for the US Navy as part of an existing 10-vessel, $1.8 billion program.
The company says it has already received the funding from the US Navy for long-lead time material, including diesel engines, water jets and reduction gears, for these two vessels.
Austal says the additional work is valued at around $225 million.
Managing Director Bob Browning says be exercising options 2 and 3, the US Navy has signalled its support of this important and significant multi-vessel program.
Austal posted a profit for the 12 months to June 30, 2009.
