Osborne submarine shipyard to triple in size for AUKUS build

Osborne’s submarine shipyard will more than triple in size as the federal government moves to secure the space needed for nuclear-powered submarines.

Adelaide’s submarine shipyard will more than triple in size to become one of the most sophisticated construction bases in the world, as the federal government plans a huge expansion of the Osborne site ahead of the nuclear-powered submarine build.

The Advertiser can exclusively reveal the federal government will take its first major step towards construction as part of the AUKUS security pact, moving to lease 45ha of land just north of the current shipyard from Renewal SA.

The size of the submarine precinct, where the now-dumped Attack-class fleet was to be built, will swell from 20ha to a massive 65ha.

It’s understood the initial lease, to be revealed in Tuesday’s federal budget, will last for 12 months with options to extend while the federal government negotiates the full purchase of the land.

The location of the new land will be somewhere within the red circle. Picture: Supplied

The cost of the lease won’t be revealed in the budget papers as talks with Renewal SA continue but The Advertiser understands it will be several million dollars a year.

Finance Minister Simon Birmingham said the expansion was a “reminder of the scale of work that will be undertaken in SA”.

“This pocket of land has the potential to form part of what will be one of the most sophisticated construction yards in the world,” he said.

“The construction of the new submarine shipyard will be a mammoth task.

“It’s important we start to dot the Is and cross the Ts on sites as part of the current work of the (Nuclear-Powered Submarine) Taskforce.”

It’s understood the federal government took the early step of leasing the land to prevent any other industry players swooping on the area.

Mutton Cove Conservation Reserve will not be used.

Finance Minister Simon Birmingham said the expansion will be a “mammoth task”. Picture: Jane Dempster/The Australian.

Adelaide is set to build at least eight nuclear-powered submarines, similar to Britain’s Astute class.

The Nuclear-Powered Submarine Taskforce will order Australian Naval Infrastructure to conduct crucial land testing and geotechnical surveys to assess the suitability of the area and ensure it meets stringent nuclear safety requirements.

The taskforce will hand its report to the government in March next year. It’s understood other sites around Osborne could be considered if it doesn’t meet necessary standards, including satisfying Britain and the US.

The federal government expects lease negotiations with Renewal SA will be finalised within months.

Six hundred shipyard construction roles were plunged into doubt as a result of Scott Morrison’s decision to cancel the $90bn Attack-class program.

Senator Birmingham is expected to highlight the “thousands of highly skilled jobs” the vastly expanded submarine shipyard will create.

Last month senior defence officials from Britain and the US flocked to Adelaide to assess the Osborne site. Australia will acquire at least eight nuclear-powered submarines under the AUKUS pact, building either a British or US model.

Earlier this month, Defence Minister Peter Dutton remained confident the first submarine could hit the water “sooner than the 2040s”.

Originally published as Osborne submarine shipyard to triple in size for AUKUS build