Austal gets USD 100 million in Australian EFA funding for Mobile shipyard expansion
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In a filing yesterday, Austal Limited (ASX: ASB) reported the execution of a loan agreement for
USD 100 million in funding from Export Finance Australia (EFA), the Australian Government\u2019s export
credit agency, to enhance the construction of vessels for the U.S. Navy and U.S. Coast Guard
at Austal USA\u2019s Mobile, Ala., shipyard.<\/p>\n
The EFA loan facility to support the development of Austal USA\u2019s Final Assembly 2 (FA2) project<\/a> was With the documentation now signed, subject to the satisfaction of conditions precedent, Austal \u201cSecuring Australian Government funding for our U.S. infrastructure expansion is a major \u201cThe Albanese Government is backing Australian defense companies to grow and export their Austal continues to invest in its shipbuilding and submarine capabilities with two major expansion \u201cAustal is undertaking a significant capital expansion in the U.S., and the working capital funding The post Austal gets USD 100 million in Australian EFA funding for Mobile shipyard expansion<\/a> appeared first on Marine Log<\/a>.<\/p>\n<\/div>\n
credit approved, but subject to completion of finance documentation, when Austal announced an AUD 488 million refinance package in late June 2025<\/a> and was included in that total package.<\/p>\n
will use the facility to assist in funding construction of FA2. The EFA loan tenor is for 10 years,
reflecting the long-term secured order book for ships that will be built in this facility, commencing
with up to eleven U.S. Coast Guard Offshore Patrol Cutters and up to seven U.S. Navy Ocean
Surveillance vessels (T-AGOS).<\/p>\n
milestone for Austal enabling the company to execute on its $13.1 billion order book,\u201d said
Austal CEO Paddy Gregg. \u201cIt also facilitates the shared defense objectives between the Australian and U.S. Governments and validates the relationship that exists between both Governments and Austal, building on the recent strategic shipbuilding agreement signed by Austal and the Australian Government.\u201d<\/p>\n
world-class capabilities by securing lucrative international contracts,\u201d said Australia\u2019s Minister for Trade and Tourism, Senator the Hon Don Farrell. \u201cAustal\u2019s expansion shows the strength of Australian busineses to export, invest and support shared Australian-U.S. priorities such as defense.\u201d<\/p>\n
projects currently underway in the U.S.A, the FA2 project and the submarine Module
Manufacturing Facility 3 (MMF3) project.<\/p>\n
we have established, which comprises a combination of debt, equity and cashflow, ensures that
we can complete that expansion in a financially astute manner,\u201d said Gregg.
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