Construction specialist Lendlease has been awarded a contract by the government of Australia to construct Osborne South Shipyard in Adelaide.
Under the terms of the contract, Lendlease in collaboration with Australian Naval Infrastructure will be responsible for undertaking the shipyard work.
Mobilisation works for the shipyard is slated to start in October 2017 which is being built to serve the construction of navy frigates, which gets under way in 2020.
The project is expected to create 600 jobs at the peak construction time.
Minister for Defence Industry Christopher Pyne said that South Australians were now seeing the tangible benefits of the Turnbull Government’s historic AUD90bn ($71bn) naval shipbuilding programme.
“For the first time in over a decade we are seeing jobs created at Osborne, with up to 600 construction related jobs to be created on the Osborne South Shipyard project,” Pyne added.
“The valley of death is over and we are now seeing an upturn of employment in naval shipbuilding in our state that will only continue to increase as these new projects gain momentum.”
Minister for Finance Mathias Cormann said: “Through Australian Naval Infrastructure Pty Ltd the Government is investing more than $500m in naval infrastructure at Osborne that will support a sustainable, long-term naval shipbuilding industry in Australia.”