On Friday, 20 February 2026, the Australian company Austal Defence Shipbuilding Australia (part of Austal Limited) announced that it had received a contract worth approximately 4 billion AUD from the Australian Department of Defence for the delivery of eight heavy Landing Craft Heavy vessels based on the LST-100 design by the Dutch company Damen Naval, under the Land 8710 program for the Australian Army.
Photos and image: Austal Limited
On 5 August 2025, it was announced that negotiations had concluded on a 15-year Strategic Shipbuilding Agreement (SSA) with the Government of the Commonwealth of Australia for the construction of landing craft: 18 medium Landing Craft Medium (LCM) and 8 heavy Landing Craft Heavy (LCH). Construction will be carried out by the newly established special-purpose vessels division, Austal Defence Shipbuilding Australia, at the shipyard in Henderson, Western Australia. Construction of the first LCH will begin later this year, while the final vessel will be delivered by 2038.
Austal Limited CEO Paddy Gregg said that awarding the Landing Craft Heavy contract to Austal Defence Australia under the Strategic Shipbuilding Agreement strengthens the company’s position as a sovereign shipbuilder of the Commonwealth of Australia and a trusted partner of the Australian Defence Force. The agreement generates a record order book for Austal, provides a long-term demand signal for our supply chain, and encourages investment to enhance its capabilities.
“Constructing the Landing Craft Heavy vessels at Henderson will create and develop thousands of new, skilled jobs in Western Australia and provide further opportunities for the local defence industry supply chain” – said Paddy Gregg, Austal Limited CEO. “This contract represents another significant investment in Australia’s sovereign shipbuilding capability – and Austal Defence Australia is ready to deliver these highly capable vessels to support the ADF’s operational requirements,” Mr Gregg said. “While Austal’s US business has traditionally accounted for a large share of our defence order book in recent years, this contract reflects the growing strength and success of Austal’s Australian operations – and Australian industry – within the national shipbuilding and sustainment enterprise. This LCH construction contract balances out the split and provides greater geographic diversity of earnings. It also provides earnings and employment stability for the next 12 years.”
Gavin Stewart, Chief Executive Officer of Austal Defence Australia – Strategic Shipbuilding, said that the Landing Craft Heavy contract was the second major contract awarded under the Strategic Shipbuilding Agreement, following the 1.029 billion AUD contract awarded in December 2025 for the design and construction of the Landing Craft Medium.
“With Landing Craft Medium and Landing Craft Heavy contracts now underway, there are outstanding opportunities for people and businesses to engage with Austal Defence Australia, and our industry and supply chain partners, to help deliver new capability for Australia. Austal Defence Australia is looking forward to expanding and developing the industrial capabilities at Henderson and beyond, into a reliable shipbuilding enterprise to support the Commonwealth’s objectives of sovereign shipbuilding capability. These Programs under the Strategic Shipbuilding Agreement represent decades of continuous naval shipbuilding work, to be delivered here in Western Australia,” Mr Stewart said.
Austal Defence Shipbuilding Australia was established on 23 November 2023, following its victory in a tender, to implement the contract for the delivery, together with the company Birdon, of medium landing craft, then designated LMV-M (Littoral Manoeuvre Vessel-Medium), for the Australian Army. These vessels will replace the currently used LCM-8 (Landing Craft Mechanised Mk 8) in a ratio of 18 to 15 units, with deliveries starting in 2026.
As the prime contractor, Austal Defence Australia will ultimately be responsible for all aspects of the design and integration, construction, installation, testing, delivery, and acceptance of all 26 landing craft of both types, while ensuring that the projects are carried out in a cost-effective manner and that progressive cost reductions and construction process improvements are implemented.
The LCH vessels will be intended for amphibious operations, logistics tasks, humanitarian assistance, and disaster relief missions.
LST-100
Earlier, the LST-100 design had been selected by Nigeria, one vessel, NNS Kada (LST 1314), and Argentina, also for a single ship. More recently, it was chosen by the United States under the Landing Ship Medium (LSM) program for the US Marine Corps (USMC), where the ships will receive the name McClung.
The LST-100 is a ro-ro class vessel with a hull length of 100.08 m, a beam of 16 m, and a displacement of approximately 4,000 tonnes. It has a maximum speed of 14–16 knots, a range of 3,400–4,000 nautical miles (at 15 knots), an endurance of up to 15 days, and a payload capacity of up to 1,400 tonnes. Propulsion is provided by two Caterpillar 3516C diesel engines, each producing 2,244–3,400 hp (1,650–2,500 kW), along with four Caterpillar C18 generator sets rated at 816 hp (600 kW) each.
The crew consists of 32 officers and sailors, with accommodation for an additional 16 personnel and up to 234 soldiers. In emergency situations, the ship can temporarily accommodate up to 450 people. The vessel is capable of transporting two LCVP (Landing Craft Vehicle Personnel) landing craft. In the Australian configuration, it will also be able to carry 200 soldiers as well as six M1A2 SEPv3 Abrams main battle tanks or nine AS21 Redback infantry fighting vehicles.
The ship is equipped with a bow ramp with a lifting capacity of up to 70 tonnes, an internal ramp rated at 30 tonnes, and a stern ramp rated at 70 tonnes. A helicopter or an unmanned aerial vehicle can operate from the stern deck. The vessel will also be fitted with a 25-ton crane (located in the bow section), allowing it to embark an unmanned underwater or surface vehicle. Its armament consists of a close-in defense system selected by the customer.
We’re proud to announce that @Austal Defence Shipbuilding Australia Pty Ltd, as the Commonwealth’s Strategic Shipbuilder in Western Australia, has been awarded a ~$4 billion contract to construct eight Landing Craft Heavy (LCH) vessels for the @AustralianArmy, under the Strategic… pic.twitter.com/CK8GVN882Y
— Austal (@austal) February 20, 2026
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