US Navy awards T-AGOS 25 contract

The US Navy awarded Austal USA a detail design and construction contract for up to seven T-AGOS 25 class ocean surveillance ships. (L3Harris Technologies)

The US Navy (USN) awarded Austal USA a contract with a potential value of USD3.2 billion for the detail design and construction of up to seven T-AGOS 25 class ocean surveillance ships, the contracting team confirmed on 19 May.

Austal USA has teamed up with L3Harris Technologies (L3Harris), Noise Control Engineering (NCE), TAI Engineering (TAI), and Thoma-Sea Marine Constructors (TMC) for the T-AGOS 25 work.

The USN in fiscal year (FY) 2022 procured the first new T-AGOS 25 class ocean surveillance ship at a cost of USD434.4 million.

The navy's FY 2024 budget request submission shows that the ship's estimated procurement cost has since grown to USD789.6 million – an increase of USD355.2 million, or 81.8%, the Congressional Research Service noted in an 18 May report. The request includes USD355.2 million in additional cost-to-complete procurement funding to pay for this cost growth.

Having established itself as shipbuilder for USN programmes, building aluminium ships such as the Independence-class littoral combat ships (LCSs), Austal USA revamped its yard to concurrently produce aluminium and steel-hulled ships.

Before securing the steel-hulled T-AGOS work, Austal USA had won contract awards to build USN steel-hulled towing, salvage, and rescue ships (T-ATSs), Auxiliary Floating Drydock Medium (AFDM), and the US Coast Guard Offshore Patrol Cutter (OPC).