Austal stays optimistic as US confirms commitment to LCS

Australian shipbuilder Austal has expressed confidence in winning further contracts to produce Littoral Combat Ships (LCS) for the US Navy (USN), following a recommendation earlier this month that re-emphasised Washington's commitment to procure 55 of the vessels.

On 6 April US Secretary of Defense Robert Gates revealed details of the Pentagon's USD533.7 billion budget request for Fiscal Year 2010 (FY10). Although the plan called for major cuts in several programmes, he reiterated the USN's intention to acquire the LCS by calling the platform a "key capability for presence, stability and counter-insurgency operations".

Gates also stated that the LCS programme's FY10 funding will accelerate from two to three ships.

A spokesman from Austal - which, with US partner General Dynamics, is currently completing the USN's second LCS, named Independence - indicated that the Perth-based company watched the US budget developments closely.

"A lot has been said about Austal and the LCS project," he said, "and we are aware of the potential in the programme. There will be no major change in our strategy or direction but we are reasonably confident."