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Austal USA: $100M steel shipbuilding facility in Mobile a ‘game changer’

Tuesday, Austal USA company leadership joined with military and government officials in Mobile to showcase the defense industry titan’s new $100 million steel shipbuilding facility.

According to the company, its 117,000-square-foot manufacturing addition will house state-of-the-art computerized and robotic steel processing equipment to meet current and future demands of the U.S. Navy and U.S. Coast Guard.

Celebrating Austal’s new facility was U.S. Rep. Jerry Carl (R-Mobile), a member of the House Armed Services Committee, who touched on the company’s vital contributions to the military’s maritime capabilities given the growing national security threats posed by U.S. adversaries.

“The opening of the new steel manufacturing line at Austal USA means south Alabama will be able to continue providing high-quality ships for the Navy,” stated Carl in a release. “This massive $100 million investment will also create jobs and spur economic growth throughout the region, while continuing to develop and grow our local workforce with the hiring of countless folks in the trades to meet the demands of the new line.”

The congressman added, “With increasing security threats around the world, the work being done by shipbuilders like Austal USA is even more important now than ever before. That’s why ensuring they are able to continue competing for future Navy programs is one of my top priorities in Congress. I’m proud of the incredible work being done right here in my district, and I look forward to seeing south Alabama become a major player when it comes to steel shipbuilding.”

A 60,000-square-foot stock yard will be utilized for handling the raw steel. Additionally, a 19,500-square-foot paint facility will provide the ability to paint and blast simultaneously in two separate cells, or both cells can be combined providing the ability to paint super-modules, the company advised.

Austal USA president Rusty Murdaugh stated that the company’s steel capability addition was a “game changer” for its operations in supporting the U.S. military.

“We are so excited to see our plans to add steel to our capabilities come to fruition. The addition of steel capability is a game changer as it opens up our capability to support the U.S. Navy, U.S. Coast Guard and other customers with high-quality ships,” said Murdaugh. “We appreciate the confidence the Department of Defense and the Department of the Navy have shown in us with the award of the DPA grant to get this project started and look forward to repaying that confidence with our future performance delivering high-quality steel ships.”

“Austal USA will operate our steel production line using the same lean manufacturing principles that we’ve refined over the last 15 years building LCS and EPFs for the Navy,” continued Murdaugh. “That process has resulted in Austal’s reputation for delivering quality ships on time and on budget ship after ship. We will bring that same reliable production capability to steel ship construction.”

Austal is under contract to build two Navajo-class Towing, Salvage and Rescue Ships (T-ATS), which are set to become the first steel ships constructed in the new facility.

The shipbuilder has delivered 15 Littoral Combat Ships (LCS) and 12 Expeditionary Fast Transports (EPF) to the Navy while another seven total aluminum Navy ships are under construction.

Dylan Smith is a staff writer for Yellowhammer News. You can follow him on Twitter @DylanSmithAL

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