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Commonwealth, Industry partners reach SSN-AUKUS agreement

The Australian and UK Governments have formalised the agreement between he Australian Submarine Agency (ASA) and industry partners, BAE Systems and ASC Ltd to support the delivery of Australia's fleet of nuclear-powered, SSN-AUKUS submarines.

The Australian and UK Governments have formalised the agreement between he Australian Submarine Agency (ASA) and industry partners, BAE Systems and ASC Ltd to support the delivery of Australia's fleet of nuclear-powered, SSN-AUKUS submarines.

The Australian and UK Governments have reached a major milestone in the partnership between the Australian Submarine Agency (ASA) and key industry partners, advancing the delivery of the SSN-AUKUS fleet—conventionally armed, nuclear-powered submarines—for the Royal Australian Navy.

The ASA, BAE Systems, and ASC Pty Ltd have signed a Tasking Statement, a contractual agreement focused on developing a build strategy, supply chain management plans, and a workforce development strategy.

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Stuart Whiley, Chief Executive Officer and Managing Director of ASC welcomed this milestone achievement, saying, "The Tasking Statement is an important step in establishing a sovereign nuclear submarine build capability in Australia. The program is anticipated to generate thousands of highly skilled jobs over its lifetime."

Over the past eight months, government and industry partners have achieved significant progress in delivering the SSN-AUKUS program. In November, the ASA, BAE Systems, and ASC formalised an AUKUS Mobilisation Deed, establishing a framework for contracting with the Australian Government through the ASA.

Steve Timms, Managing Director, BAE Systems' Submarines business, said, "SSN AUKUS is our contribution to the critical tri-national security partnership between Australia, the UK and the US. The safe build, test and commissioning of nuclear submarines is a hugely complex engineering endeavour and through these agreements, we’re able to share our vast experience of nuclear submarine capabilities with our industry partners to support the build of submarines in Australia."

This followed the Heads of Agreement and the tri-lateral announcement of Australia’s designated shipbuilders in March.

Meanwhile, Craig Lockhart, Chief Executive Officer, BAE Systems Australia, added, "Focused on stealth and endurance, the SSN AUKUS submarine will integrate cutting edge technologies and advanced materials to enable it to operate the full spectrum of underwater missions, from advanced intelligence and surveillance through to underwater warfare."

This announcement comes while Australian Deputy Prime Minister and Defence Minister, Richard Marles and Foreign Minister, Senator Penny Wong are currently in the United Kingdom, meeting with their UK counterparts, Foreign Secretary, David Lammy and Defence Secretary, John Healey.

As part of the joint statement on the 2024 Australia-UK Ministerial Consultations (AUKMIN) meetings, the partners recognised the "significance of the mobilisation agreement signed last month between the Australian Submarine Agency (ASA), BAE Systems Australia Submarines Pty Ltd and ASC SSN AUKUS Pty Ltd which will ensure work to build Australia’s SSN-AUKUS submarines can commence as quickly as possible.

In addition to this, the joint ministerial statement added, "They welcomed the announcement of the first Tasking Statements contracted underneath the tripartite mobilisation agreement on 16 December 2024, enabling the ASA, BAE Systems Australia Submarines Pty Ltd and ASC SSN-AUKUS Pty Ltd to work together to develop detailed plans, schedules and workforce initiatives for the Australian build program of the SSN-AUKUS nuclear-powered submarine. Ministers also welcomed the wide range of initiatives to deliver a more resilient and prosperous trilateral submarine supply chain in the UK and Australia, particularly including the initiation of the UK-focused effort under the AUKUS Defence Industry Vendor Qualification program."

Integrated Project Teams are now in place to manage key tasks, including nuclear stewardship, infrastructure requirements, business enablement, and build preparation. Supporting functions—such as nuclear safety and assurance, engineering, and build operations—have also been established to ensure program success.

More to come.

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