western australia - Centre for Marine Science and Technology ...

WESTERN
AUSTRALIA
Defence Industry grows in WA AMC key to defence industry Skilled workforce in WA

Western Australia
The logical choice
Western Australia is the logical choice for
industry serious about module fabrication,
ship consolidation, repair and maintenance
for naval and commercial vessels.
The Australian Marine Complex (AMC) in Cockburn
Sound, Western Australia, is the perfect location to
undertake this type of work and is being developed
to accommodate the Royal Australian Navy’s (RAN)
upcoming Amphibious vessel build program.
In addition to the initial $200 million State and Federal
Government funding to establish the successful
Common Use Facility (CUF) at the AMC, the Western
Australian Government has invested a further
$90 million in infrastructure to meet the ongoing
requirements of naval and commercial ship fabrication,
consolidation, repair and maintenance. This will make
Western Australia the most capable location to build
and consolidate vessels of the size required by RAN.
The $90 million of new infrastructure includes:
• A floating dock to launch and dock large ships and a
rail transfer system to allow construction and repair
within the CUF’s undercover facilities.
• An extension and upgrade of the existing wharves
to accommodate all types of naval and commercial
vessels.
• The installation of marine services such as power,
seawater firemain, wharf communications and
sewerage offtake.
The $90 million infrastructure works will be completed
in time to meet the upcoming naval construction
program timeframes, with planning already
commenced and tenders to be let shortly.

Investing in success
The AMC provides numerous advantages for ship
fabrication, consolidation, repair and maintenance
requirements for naval and commercial operations
including:
• Proven world-class infrastructure and enhancement
of this infrastructure with a further $90 million worth
of capability.
• A workforce skilled in naval and commercial ship design
and construction.
• 80ha of laydown areas with abundant room to grow.
• Economies of scale from having half of Australia’s
commercial shipbuilding activity at the AMC and
complementary skills from the booming offshore
fabrication industry.
• A sophisticated integrated support capability supported
by a strong industry base.
• A dedicated purpose built facility that is free of the
operating restrictions that apply to older urbanised
shipyards.
• A proactive and supportive State Government.
The AMC is already the logical choice for:
• The $60 million conversion of the Delos tanker for the
RAN being undertaken by Tenix at the AMC-CUF.
• $500 million upgrades to the Anzac frigates through the
ANZAC Alliance Group.
• Austal Ships producing the:
o RAN Armidale Patrol Boats worth $350 million; and
o design of the US Navy’s new Littoral Combat Ships,
part of a initial US$230 million contract
• Raytheon Australia’s naval systems division
headquarters.
The AMC is also the upcoming location for:
• ASC Pty Ltd’s new $20 million submarine repair and
maintenance facility.
• $13 million Challenger TAFE engineering training
facility, providing a skilled and trained workforce.
All of this makes the West the best location and
logical choice for shipbuilders and repair and
maintenance operators.
Don’t miss your opportunity to get on board, contact
Mr John O’Hare, General Manager, Marine & Defence,
Australian Marine Complex at the Department of
Industry and Resources on +61 8 9222 0966 or via
email at john.o’hare@doir.wa.gov.au
DoIRMAY06_707-C

New Minister pushes defence
in Western Australia
rancis Logan was appointed Minister for Energy; Science and
Innovation in Western Australia following a cabinet reshuffle in
February 2006.
Appointed by the new Premier, Alan Carpenter, his posting symbolised
a significant shift in the economic focus of the Western Australian
Government.
“The resources sector has always been a strong contributor to the
Western Australian economy,” Minister Logan said.
“However, the boom won’t last forever. We need to consider longterm
sustainability for our economy and the way to achieve this is
through encouragement of innovation and technological advancement
and expansion.
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“There is huge potential for areas such as information and
communications technology (ICT), biotechnology, bio-fuels and the
marine and defence sector.
“We only have to look at the Australian Marine Complex at
Cockburn Sound to see what innovation and logical leadership can do
for our economy.”
As MLA for Cockburn Sound since 2001, the cluster of marine and
defence industry at the AMC has been a big part of Minister Logan’s
political career for the past five years.
In May this year the Federal Government released the $2 billion
Amphibious ship tender that has the potential to place the successful
bidder as a long term player in the shipbuilding industry.
Local industry has put a strong case forward for the warships to be built
in Australia, despite the Defence Materiel Organsation casting doubt on
the wisdom of building such vessels locally, reportedly saying there was
‘no strategic reason for doing so’.
However, the State Government has joined forces with unions and
local businesses to support Western Australia’s bid to have the warships
built here.
The contract would see two 27,000 tonne amphibious vessels
consolidated at the AMC over the next 10 years and would create about
1500 jobs.
In a detailed submission to the Senate in April 2006 Minister Logan
emphasised the strategic and economic sense in building the vessels at
the AMC.

“The State and Federal Governments have invested more than $270
million to boost the capacity to construct, fabricate, repair and maintain
such vessels at the AMC,” Minister Logan said.
“The complex is more than capable of handling the project and with
an abundance of skilled labour in WA it’s the ideal location for this
project.”
Since opening in 2003 the AMC has generated more than $55 million
for the State’s economy and created about 800 full-time positions.
The complex is already home to naval shipbuilding contractors
and the common user facility enables businesses to lease facilities to
complete projects without set-up costs.
The first stage of the floating dock is capable of lifting 13,500 tonnes
and, once the second stage is complete, will be capable of lifting up to
27,000 tonnes.
When completed, the floating dock will also have the ability to look
after any future Royal Australian Navy (RAN) vessels and is located close
to the RAN base at Garden Island.
The State Government has invested A$26 million for the Challenger
TAFE college within the technology precinct at the AMC.
It is anticipated to open for enrolment at the start of 2007 and will
offer courses through flexible learning packages for operator training in
the oil and gas industry.
Over the next three years Minister Logan also hopes that a dedicated
marine-focused technology park will be established at the AMC.
“Relevant companies spread throughout Perth are invited to take up
residence at the AMC to create a world-class marine and defence cluster
with everything in one spot,” Minister Logan said.
CANBERRA “IGNORES” WA
The Western Australian Government is opening a new office at
Parliament House in Canberra in order to encourage the Federal
Government to understand Western Australia’s capabilities.
“As one of the most isolated cities in the world Perth is often
forgotten about by our east coast neighbours,” Minister Logan said.
“However, with some of Australia’s biggest resource, oil and gas
projects, a leading edge in areas such as biotechnology, ICT and medical
research and close proximity to South East Asia, it makes tactical and
economic sense to assist growth here.
RAN may use AMC for support
The last ANZAC frigate will be delivered
to Fremantle for its refit and upgrade. The
fifth ship has undergone the process so far
in WA. Under project SEA 1448 anti-ship
missile defence upgrade “Tenix and Saab will
design a package and when the work is to be
declared WA is looking for a majority of the
work,” says Mr Chris Eggleton, director of the
ANZAC Systems Program Office at the DMO.
The ANZAC ships are getting the Harpoon,
an air weapons magazine (with Penguin and
MH90) and mine avoidance sonar upgrade
during the refit. Asked whether the RAN will
use the Common User Facility (CUF) at the
AMC, Mr Eggleton replied that the Minister
for Defence will have to decide if the AMC will
be used or if Fleet Base West at Garden Island
will be upgraded.
“A paper is being drawn up by the DMO for
the Minister giving the pros and cons of each
choice. The final decision is expected in mid-
2007,” he says.
The ANZAC alliance is working from designs
by Tenix and Saab and the work is then subcontracted
out. “The DMO has its preferred
suppliers within WA,” says Mr Eggleton. “This
is where most of the work will take place and
we have never had a delay because of a skill
shortage or lack of resources.”
A ten-year ‘Naval Shipbuilding Plan’ is rewritten
every year on the in-service support
for the ANZAC ships as they are expected to
be in service for between 20-30 years. Further
work includes a system to go with the Phased
Array Radar for the ship due for completion
by 2009. Saab is undertaking the integration
work in South Australia.
“There is a centre of excellence here in WA
teaching software development and testing.
I would like to join up all the centres of
excellence across Australia so that forces are
joined up before being deployed,” says Mr
Eggleton.
“We would like to link sailors and other
users to their industry contacts so that any
problems encountered can be referred to
them, this means putting sailors inside the
industrial process.”
A research project has been conducted to
see what effect the ANZAC ship project has
had on Australia. Over A$400 million was
spent on infrastructure before the ANZAC
project was started and this money went into
the Australian economy.
“Communications upgrades for the
ANZAC’s is next on the list,” Mr Eggleton
concludes. ADI is currently looking at
purchasing land in the AMC in order to handle
the projects JP2008 Advanced SATCOM
Terrestrial Infrastructure System (ASTIS)
Maritime Communications Element (MCE) and
SEA1348 ANZAC Ship Project Underwater &
Surface War Fighting Upgrade Program.
The origins of the Alliance was set up in July
2001, this has been “very successful”, says Mr
Eggleton. “The new alliance arrangements will
be signed off in July 2006.”
5

Australian Marine Complex
expands to attract fl eet works
he Australian Marine Complex (AMC) in Western Australia (WA) is set
to increase the capability of its facilities further with the construction
of a floating dock capable of bringing large ships and submarines out
of the water for maintenance work and upgrades.
The AMC is a short distance from Fremantle, WA and is a facility made
up of a series of large construction yards. Warehouses, a technology precinct
and the Common User Facility (CUF).
The CUF is an impressive module fabrication and construction facility that
stands out from the line of buildings housing the companies that use the
facility. The CUF is owned and run by the Western Australian government
with the buildings and facilities leased by companies that are presently
working on naval projects.
“Not only are we going to add a floating dock, but we are also extending
the wharves and upgrading the capability of the facilities to go with them”
said Mr John O’Hare, General Manager of the Marine & Defence Australian
Marine Complex. “This will give us increased flexibility if a ship is running
late for example it can remain alongside without having to be moved to
accommodate a load out over the wharf.”
Expressions of Interest were called for the first stage of the floating dock
in January 2006 with four companies short-listed for the tender process.
Tender documents were released 31 May and submissions close on 31 July.
The contract is expected to be awarded in October and has a 18 month
build process.
The contract for construction of the Eastern Wharf extension was awarded
on 2 June to John Holland Pty Ltd and is expected to be completed within
12 months.
A number of other projects, including the dredging contract are
progressing through the expression of interest and tender process.
Mr O’Hare said the AMC was rapidly gaining an international reputation
as the nation’s leading industrial facility for marine-related industries.
“The expansion will ensure that a larger slice of billions of dollars worth
of defence, marine and resource contracts come to and remain in Western
Australia”.
ADI and Tenix have indicated they are both interested in investing
further into the AMC facility. Both companies have been in negotiations
with the AMC.
As part of the expansion ASC wants its new submarine and maintenance
facility, adjacent to the CUF to be completed by March 2008 in order to
meet its submarine through life support contracts with the RAN. This timing
ties in with the completion date for the floating dock and transfer system.
“The AMC is invaluable, not only to the military but also the civilian
sector”, said Mr O’Hare, “The construction of platforms for export in the oil
6
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and gas sector could not have been done without this facility.”
Mr O’Hare is confident that a workforce to undertake the work on the
amphibious vessel projects will not be a significant problem. “The A$2
billion project pales in comparison when compared to the A$14 billion of
projects undertaken in the north of the state for the oil and gas sector” he
said, “it’s because this is a defence project that it raises peoples concerns.”
With the Garden Island naval base directly opposite the AMC, becoming
more a forward operations centre for the RAN, rather than a repair shop,
much of the work for construction, maintenance and overhaul of the RAN
surface and sub-surface fleet will come here to the AMC, says Mr O’Hare. “It
makes sense if the fleet is based nearby, repair work can then be completed
close to their contractors rather than over on the east coast (of Australia).”
The Royal Australian Navy signed a contract with the AMC in April-June
2005 and is looking to extend this by a further six months. The Delos tanker
replenishment ship, the replacement for HMAS Westralia, is undergoing its
conversion at the CUF and is due to be completed for commencement of
sea trials in August 2006.
With a move towards a federal defence strategy the AMC concept is
being copied elsewhere in areas such as Queensland and the Northern
Territories. The states and territory governments across Australia are coming
round to the idea that defence work can be attracted if the right facilities
are in place.
Key components of the A$90 million CUF upgrade include:
Extension to the Eastern Wharf to berth up to three naval vessels
simultaneously.
First stage of a floating dock (99m long) to transfer submarines and
other marine vessels to shore, capable of expansion in a second stage
to launch and retrieve the navy’s future amphibious ships.
Construction of a marine vessel rail transfer system
Dredging works
Upgrading the capacity of electricity and services to the facility

Perth becomes a niche IT centre
T
echnology company Calytrix has found its home in the niche
environment of defence simulation that aims to help companies reduce
the cost of their underlying IT infrastructure. Calytrix was founded in Western
Australia in 2000 with a grant from the Australian Federal Government.
In the past 12 months Calytrix has grown 40 percent with the company’s
work ratio in 2005 approximately 75 percent consulting and 25 percent
product development.
Despite the large proportion of business attributed to consulting, Calytrix
is predominantly a product company that promotes its simulation and
performance assessment products worldwide to Canada, UK, France and
China. “We are also looking at potential sales to Turkey, Japan and UAE”,
says Mr Shawn Parr, director of Calytrix.
“We focus upon engineering processes, products and support and
maintain them for our customers”, Mr Parr says “the consulting work
helped fill the gaps, but we found that it helped us meet our customers and
give us more exposure to the types of products in demand”.
The products that Calytrix has developed to date have all originated
from their consulting work: Simplicity, Jet, CNRsim and Mentor. In order to
find business Mr Parr said they went out and “knocked on the door” of
the Defence Science & Technology Organisation (DSTO) and others to find
companies in need of the solutions they were offering. “Simplicity – our
first product – is now installed at 30 locations around the world”.
The Australian Defence Simulation Office (ADSO) is one of Calytrix’s
largest customers and Mr Parr says they have developed “a symbiotic
relationship” supporting each other. Calytrix has now found itself in the
position to “bridge between SME’s and the larger companies”.
It was through the DSTO that Calytrix found work in Western Australia
in naval systems simulation for Raytheon as one of their main SME’s.
“Australia has a strong simulation industry”, continues Mr Parr “we can do
the innovative stuff as well as produce the big simulation systems”.
There are limitations however according to Mr Parr. “The in-country
capability exists but not the number of programmes to keep everyone
running. As a result the big simulator companies and the small ones do not
mix very well”.
If Tenix Defence were to win project JP2048
to build the amphibious vessels for the Royal
Australian Navy then Western Australia
“would be involved in a very significant way”,
says Mr Liam Bathgate, Tenix’s Manager of
Public Affairs. “We can’t say much at this
stage, but in any proposal we submit, WA will
feature heavily when we balance the work
between our yards.”
The facilities at the Australian Marine
Complex, in particular the Common User
Facility (CUF) and the proposed floating dock
for which Tenix will bid to construct, means
that Tenix will be able to engage in the export
market for larger vessels. Currently Tenix is
able to build ships up to 8,000 tons.
Tenix has three main projects in Western
Australia: the ANZAC ships upgrade through
the ANZAC Alliance, the Delos Tanker
Conversion to HMAS Sirius at the CUF and
submarine repair and maintenance through a
contract with ASC. The company employs 550
people, including sub-contractors.
Despite being a busy yard, Mr Bathgate
says there is sufficient space for the
amphibious vessel work because of the
expansion of the facilities at the AMC.
One of Calytrix’s major programmes is the provision of its Mentor
product to the ADF under the Joint Combined Training Capability (JCTC).
This has meant the company is now more closely involved with the
Defence Materiel Organisation (DMO) and there are “more political
issues coming to the fore”, says Mr Parr.
Mentor was originally developed with the RAN as a training
management system. It automates and centralises a lot of manual
work. The JCTC contract was secured at the end of March 2006 and
represents an important advance for the company.
The JCTC programme is a valuable part of Land 134 and the
company is in partnership with Cubic Corporation. Mentor provides
the framework to conduct the planning and monitoring of simulation
exercises. PDA tablets are also issued to the exercise monitors and
information can be uploaded directly from the field over wireless
data links.
The results can be analysed instantaneously and the exercise
dynamics can be altered as the simulation exercise is actually taking
place. Calytrix is supporting a field command post exercise in July 2007,
“This is a challenging project with a very tight time frame”, Mr Parr says.
These exercises are “not just about the simulation system but also
about the training system too – how to use and maximise output
through developing exercise aims and parameters, this is often a very
manual process which we can now automate”.
Mr Parr hopes that Calytrix will not only end up with a live virtual
battlespace simulation for individual training but also undertake more
civilian work. However the company “is too small to take this on at
present, and in some ways the market is not as organised as defence”.
By the end of 2006 Mr Parr would like to see Calytrix enter into
the homeland security, police and emergency services market. In 9-12
months this may mean opening a larger office in Canberra. He believes
that Perth is the best place for business as it a more cost-effective place
to work and with an excellent environment with skilled people.
A small sales office has been opened in the US, but it is a big market,
but Calytrix does not expect any results for another couple of years.
Tenix WA operations will be involved in amphibious ships
Delos nearing completion is soon be commissioned as HMAS Sirius
Mr Bathgate is confident there will not be a
shortfall in skills and workforce requirements.
“You can’t ignore demand” he says, “skilled
workers will be attracted to these build
contracts [amphibious ships and Australian
Air Warfare Destroyer programmes] and with
their long in-service support tails, we do not
anticipate a problem.”
7

ADI/Thales relocates to WA
DI/Thales is re-locating 24 engineers and technicians from North
Ryde in New South Wales to Rockingham in Western Australia
where the ANZAC alliance is based. In March there were already 6-7
people established at the facility and this is set to grow.
“We are stakeholders in the ANZAC alliance and if re-location is best
for us, then we need to do it,” says Mr Graham Priestnall, Business
Development Manager, Electronic Systems, ADI. The company has been
announced as the preferred tenderer for the Maritime Communications
and Information project, Sea 1442 phase 3 and for the wide area network
under phase 4.
The company is providing the communications systems for the ANZAC
ships that include UHF satellite communications, secure voice/data, internal
communications subsystems and high-speed message handling. The current
contract for the ANZAC integrated management support (IMS) runs out
in July.
ADI/Thales provides 20 staff for in-service support for the ANZAC
and Adelaide class ships. The company uses between 30-40 SME’s per
ship, especially for maintenance and repair. The utilisation of SME
expertise in niche areas to take on short-term workloads expands the ADI
work capacity.
“WA allows us to take on extra defence work and we can do nondefence
work here too”, Mr Priestnall said. Over 85 percent of ADI/Thales
business is defence. Work on aerospace projects in WA include; the
Australian Army’s Tiger ARH helicopter, the troop lift helicopter and air-toair
refuelling.
8
A
The CMS/C2 system has been chosen for the FFG frigates and the
army is procuring the crisis management system under the JP2030
umbrella and a Command Support System for Joint Forces HQ in a
12-year ongoing contract.
The Air 9000 trooplift phase is still in its starting stages but ADI intends
to use the same mission planning system as deployed on the Tiger ARH and
customise it for use in other phases of the Air 9000 programme.
Whilst the ARH90 is in early stages of acceptance, the study on data
links for the helicopter has proved useful in other applications. In December
2005 an RFI was issued on JP2089 with recommendations for the ANZAC
data link with the Link 16 system a possible contender.
Mr Priestnall hopes the Tiger’s airborne mission planning system will win
in Europe, as it is “the only tried and battle tested mission support system
of its kind.” The company is pushing hard for Tiger contracts in Europe,
“we want to become a centre of excellence in this area within Thales”,
says Mr Priestnall.
The skills shortage is “not a problem for ADI”, continues Mr Priestnall,
“It is more of a national/international shortage of labour. We don’t take
people from the top, as they are not the sort of people we are looking
for. ADI will bring in new people and then let them work their way up
the ladder.”
There has been more work for SME’s but these are companies that are
struggling to find labour, concludes Mr Priestnall, “ADI and all the other big
primes use SME’s niche abilities and therefore this impacts upon us. The
DMO has to recognise this and make sure SME’s are not put out of work.”
French Navy, Pascal Fournier

ADI/Thales relocates to WA
DI/Thales is re-locating 24 engineers and technicians from North
Ryde in New South Wales to Rockingham in Western Australia
where the ANZAC alliance is based. In March there were already 6-7
people established at the facility and this is set to grow.
“We are stakeholders in the ANZAC alliance and if re-location is best
for us, then we need to do it,” says Mr Graham Priestnall, Business
Development Manager, Electronic Systems, ADI. The company has been
announced as the preferred tenderer for the Maritime Communications
and Information project, Sea 1442 phase 3 and for the wide area network
under phase 4.
The company is providing the communications systems for the ANZAC
ships that include UHF satellite communications, secure voice/data, internal
communications subsystems and high-speed message handling. The current
contract for the ANZAC integrated management support (IMS) runs out
in July.
ADI/Thales provides 20 staff for in-service support for the ANZAC
and Adelaide class ships. The company uses between 30-40 SME’s per
ship, especially for maintenance and repair. The utilisation of SME
expertise in niche areas to take on short-term workloads expands the ADI
work capacity.
“WA allows us to take on extra defence work and we can do nondefence
work here too”, Mr Priestnall said. Over 85 percent of ADI/Thales
business is defence. Work on aerospace projects in WA include; the
Australian Army’s Tiger ARH helicopter, the troop lift helicopter and air-toair
refuelling.
8
A
The CMS/C2 system has been chosen for the FFG frigates and the
army is procuring the crisis management system under the JP2030
umbrella and a Command Support System for Joint Forces HQ in a
12-year ongoing contract.
The Air 9000 trooplift phase is still in its starting stages but ADI intends
to use the same mission planning system as deployed on the Tiger ARH and
customise it for use in other phases of the Air 9000 programme.
Whilst the ARH90 is in early stages of acceptance, the study on data
links for the helicopter has proved useful in other applications. In December
2005 an RFI was issued on JP2089 with recommendations for the ANZAC
data link with the Link 16 system a possible contender.
Mr Priestnall hopes the Tiger’s airborne mission planning system will win
in Europe, as it is “the only tried and battle tested mission support system
of its kind.” The company is pushing hard for Tiger contracts in Europe,
“we want to become a centre of excellence in this area within Thales”,
says Mr Priestnall.
The skills shortage is “not a problem for ADI”, continues Mr Priestnall,
“It is more of a national/international shortage of labour. We don’t take
people from the top, as they are not the sort of people we are looking
for. ADI will bring in new people and then let them work their way up
the ladder.”
There has been more work for SME’s but these are companies that are
struggling to find labour, concludes Mr Priestnall, “ADI and all the other big
primes use SME’s niche abilities and therefore this impacts upon us. The
DMO has to recognise this and make sure SME’s are not put out of work.”
French Navy, Pascal Fournier

11

12

Western Australia has a “critical role”
in the Australian defence outlook
T
he Royal Australian Navy operates all of its Collins class submarines
from Fleet Base West facilities in Western Australia, Mr Greg
Tunney, Managing Director of ASC said, “the RAN is dependent on
ASC operations with its capability to undertake dockings for repair and
maintenance. Western Australian therefore has a “critical role” in the
Australian defence outlook”.
The Australian Marine Complex’s (AMC) proposed floating dock facility
will enable the Collins submarines to be upgraded and serviced safely out
of the water. When this has been given the go-ahead it will mean that ASC
will be able make the decision to invest in new maintenance facilities in
Western Australia.
Now that ASC is not restricted to the Collins class submarines Mr Tunney
says “There is no reason why it does not have to be purely for them… it
would be nice to get some work on smaller USN submarines.”
ASC currently employs 140 people in WA but this may grow by another
20-30 depending on the increase in work. Regarding the manpower
availability in Western Australia, Mr Tunney says, “I have heard about this
but ASC has not experienced any manpower problems.”
ASC employs over 25 SME’s in engineering and a number of specialists
in niche activities. “That pool of labour is there which we will use”, says Mr
Tunney. “between 60-65 percent of work in WA is for SME’s and they make
a significant contribution to naval activities in the state”.
Although ASC is the prime for the Sea 4000 Air Warfare Destroyer
programme, it is working with SME’s for the integration of combat systems
and modules with the final construction to take place in Adelaide. “Perhaps
some AWD modules will be made in WA” Mr Tunney points out. Two ship
designs are being worked on and SME contribution has yet to be decided.
For the amphibious vessels programme, Mr Tunney says, “ASC is in
conversation with the prime contenders and will have to wait and see
what they require. Modules for the vessels can be produced in both
Adelaide and at AMC but this will depend on timing and other work on
the order books.”
Extension into other market areas is only a third priority for ASC after
the AWD and amphibious vessels. The company has looked at patrol boats
and other areas “at great expense”. Mr Tunney says that the ASC is only
interested in the big vessels and plans that are being developed over the
next three years for the next decade revolve around this. ASC does hope
to increase exports but entering this market is expensive and will “take at
least five years to set up” to become established.
There is a good understanding from both the WA and SA governments
with regard to the AWD project that modules will be built around Australia
and assembled in Adelaide. In WA we are discussing what work can be
done and are putting forward the realities of the engineering situation.”
“State governments these days have more sophistication and maturity
than before, there is an improved level of understanding about what
defence means to the well-being of the economy.”
13

Centre for Marine Technology assists new
developments in underwater systems in WA
T
he formation of a formal strategic alliance with the DSTO has
allowed the Centre for Marine Technology at Curtin University of
Technology, Western Australia to develop work on underwater acoustics,
naval architecture, unmanned underwater vehicle technology and
cognitive work analysis which is a decision support tool.
Whilst most work funded by the RAN to date has been of an
environmental nature to track groups of whales off the Fleet Base West
submarine base, the listening technology has more immediate military
applications for noise research.
Curtin University is able to set up its own small private companies that
are able to build and sell acoustic monitoring devices for the RAN as well
as develop their own unmanned underwater vehicles (UUV).
The work conducted by the Centre for Marine Technology is 90
percent funded by external contracts making this business essential for
continued R&D. About 30 percent of the work to the Centre comes from
DSTO contracts.
The cognitive analysis is particularly important for the Centre as it
radically improves the operation of underwater vehicles. Through the
development of a virtual reality model in 3D displaying the location of the
UUV, improved decision-making is made available via the storing of an
image of the underwater environment.
This technology has particular relevance to the oil and gas industry,
which is always in need of improved UUVs as oil exploration and rig
maintenance at sea enters ever-deeper waters. The university designs,
builds and sells these systems through its small private company mainly to
overseas customers.
The Centre hopes to acquire a remotely operated vehicle to use for
extensive trials. The new floating dock development at the Australian
Marine Complex will allow the launch of the ROV. Professor Kim Klaka
stated that the AMC facilities and commercial presence is ‘vital’.
14
R&D into remotely operated vehicles for the military gathers pace in Western Australia
Remotely operated vehicles (ROV) are set
to become a key area of the underwater
battlespace in the near future according to
Mr Roger Leather, Director of Ocean Technix.
Whilst work on ROV’s is still mainly used
by the civilian sector serving the Oil and
Gas industry the capability they provide has
important consequences for the military.
Ocean Technix is based within the
AMC but has a large network of local sub
contractors which they co-ordinate and use
to facilitate small contracts repairing and
maintaining ROV’s for the Royal Australian
Navy. Their location in Western Australia
means they have been able to obtain work
with Thales and ADI from their large facilities
in the area.
ROV’s tethered to the controlling platform
are able to undertake seabed mapping,
submarine rescue, ship and other underwater
asset repairs, mine hunting and disposal.
The future however lies in automated
underwater vehicles that do not require a
cable, which will be able to perform the
above tasks with increased efficiency.
The RAN’s remotely operated vehicles
are seven years old and Mr Keith Clay of
Ocean Technix believes the navy is now 20
years behind commercial ROV technological
developments in the oil and gas sector. This
could be seriously detrimental to the RAN’s
underwater SAR capability.
Improvements in technology in the oil and
gas sector mean that conducting seabed
mapping, photogrammetry, meteorology,
underwater cultivating and the ability to
repair underwater sub-systems can be done
at even greater depths of up to 5,000
metres and much more quickly than previous
operations of this type.
Naval architecture and predicting the motion of vessels in water
is another important area for the Centre for Marine Technology.
Through another private company it designs, builds and manufactures
the SEAGYRO for patrol boats which uses old gyroscope technology
to stabilise the roll motions of small vessels such as patrol boats.
This piece of equipment is particularly useful on vessels that are
moving slowly or static in the water. This is because stabilisers are
only of use in fast moving vessels and do not prevent rolling in
smaller vessels moving slowly.
They are large pieces of equipment and are not yet established
on military vessels but they are able to reduce rolling by 50 percent,
which vastly increases the loitering capability of a patrol boat. The
SEAGYRO is included in specifications for companies bidding for
patrol boat production and the tender is yet to be decided.
Investigations are currently taking place into a work study contract
on the shallow water effects on submarines, which is particularly
important if a boat needs to get in-close to shore for the insertion of
special forces - an increasingly likely scenario.
The British defence research company QinetiQ is interested in the
work study contract and early discussions have taken place with a
decision soon to be made.
The Centre is also looking into other possible defence applications
such as the provision of online training courses in underwater
acoustics for SME’s and in naval architecture. A potential large
environmental programme is for sea habitat mapping which will
provide an extremely accurate picture of the ocean floor, this will
clearly have applications and benefits to the military.
The university has student links with both Nautronix and
Formation Design Systems and they in turn are represented at
the Centre.
“For Ocean Technix the defence
industry cannot be relied upon as its only
source of income. The environment is too
aggressive and as soon as business starts
getting noticed the big companies come
in and take it from you”, says Mr Clay.
“Small amounts of work in the niche
sector of maintenance and repair of ROV’s
suit our company”, he adds.
“In the oil and gas sector there is great
demand for skills, mainly in aluminium
and you can have a hard time trying to
find welders for steel ships as they are all
used on LNG plants”, says Mr Leather.
“The oil and gas sector can afford to pay
its workers much more than the defence
sector, but even so, some oil fields are
closing down as companies are not paying
for ships and ROV’s to repair their facilities
in the field.”

Nautronix will fight above its weight
in the underwater acoustics market
“W
estern Australia is an ideal place for our business with half of
the Royal Australian Navy’s surface fleet based here, all of the
submarines and there is a solid DSTO presence.” says Mr Mike Gallagher,
Chief Executive Officer, Nautronix Ltd, “There is also a well established
workforce of highly skilled, experienced engineers and scientists.”
Investment in the marine and the defence sector and the WA
Government support for underwater acoustics development is a major plus
for industry. The State is where all the oil and gas activity is based and for
an SME like Nautronix, they have access to the larger companies with the
obvious spin-offs for Defence related programs.
Approximately 90% of Nautronix Ltd business is in the Defence sector
with the remainder in support of offshore oil and gas exploration. The
company is perhaps best known for its through water communications and
underwater positioning technology.
Nautronix is not just a product house but is a leading technology
centre with the company making a large commitment to research and
development. “We have developed some very smart acoustic technology
that is applicable to a range of marine technology solutions.” says Mr
Gallagher “We have also evolved our systems integration capability and are
able easily to integrate other companies’ products, work with and alongside
other companies that support our drive to gain access to Australian and
overseas Defence markets.”
As one of the larger SMEs in WA, Mr Gallagher said, he would like,
“Nautronix to grow to become a leader in defence industry and work with
smaller SMEs in order to collectively ‘fight above our weight’ in underwater
acoustics and lower tier systems integration.” The company is currently
delivering high tech solutions for the mine countermeasure and underwater
systems aspects of project NAVY 1740 and the supply of electronic
navigation display systems for the RAN in Project SEA 1430 as well as a
number of domestic and international portable range solutions.
Through an Industry Alliance with the DSTO, Nautronix is working on
remotely deployable sensors with an angle for harbour protection and
surveillance in locations such as the North West shelf. Discussions have
also taken place with the Curtin University Centre for Marine Technology
cognitive work analysis program to manage data flows and movement
using Remotely Deployable sensors.
Nautronix is also working with Curtin University on its online training
programme in acoustics and is strengthening its successful working
relationship. Over 40 percent of its engineers are from Curtin. “We have
access to some very clever people in WA” says Mr Gallagher, “It is not an
issue finding software and systems engineers and other skilled people.”
Network centricity and underwater connectivity has largely been
“forgotten”. However, it is not a new challenge and Nautronix is well
placed in the international market through its links with the Royal Navy
in the UK and its sister companies in the US. “Having the AUS/UK/USA
presence allows us to shift focus and gain influence” said Mr Gallagher.
Portable and Fixed Range technology designed to “be adaptable to
customer requirements and preferred operating areas” had originated from
the oil and gas sector but is now being applied to military uses. In both
the UK and US, Nautronix’ underwater range technology has undergone
extensive trials over the years and is now in service with both Navies.
Nautronix has also entered into discussions with the Royal Singapore
Navy to provide portable range solutions to their unique needs. The
challenge however, is to develop a reliable system for all conditions.
Western Australia “is a good place to export from with its access to South
East Asia.”
15
Nautronix

Austal Pursues its Ambitions
in the Defence Sector
A
ustralian aluminium shipbuilder Austal began life designing and
building fast ferries and other commercial vessels. Over the last
decade or so it has transitioned its expertise into the defence market. To
date, Austal’s work in the Australian defence sector has been primarily on
“enforcement” craft such as patrol vessels, customs vessels and water
police boats. Now, however, Austal is designing and building more complex
platforms such as the Royal Australian Navy’s Armidale Class patrol boats
and the US Navy’s Littoral Combat Ship (LCS).
Whilst LCS is a combat ship built at Austal’s shipyard in Mobile, Alabama,
Austal hopes to build similar types of craft in Australia as well as push its
brand of minor war vessels and also the high speed trimaran Strategic Sealift
Ship, which has a similar function to the USN Theatre Support Vessel, to the
RAN and other navies. Austal’s internal research and development activity is
also continuing to push out the design barriers of aluminium shipbuilding as
a means to provide increased military capability, including a 200 metre high
speed vessel.
Austal believes that there is huge export potential for multi role vessels,
particularly the high speed trimaran Strategic Sealift Ship. This export
potential would be significantly enhanced if such vessels were to enter
service with the RAN. The high speed trimaran Strategic Sealift Ship provides
considerable utility for sealift and theatre support, including increased cargo
capacity and enhanced helo operations.
Mr Stephen Lupi, Austal’s Strategy & Business Development Manager
based in Henderson, WA said that Austal “does not desire to become a
dedicated defence player” as they want to retain Austal’s current expertise in
commercial design and construction. Retention of the commercial business
does not, however, prevent further expansion of its defence business.
16
Austal has confirmed its interest as a potential acquirer of the
Australian Submarine Corporation (ASC), most likely teamed with Bath
Iron Works, a subsidiary of the General Dynamics Corporation. Austal’s
relationship with Bath Iron Works has developed during the LCS program,
in which Austal is the platform designer and builder and Bath Iron Works
is the prime contractor.
Bath Iron Works has already built 25 Aegis vessels and their
partnership with Austal would mean that skills at ASC are developed for
the future AWD build.
Mr Lupi stated in regard to their ambitions that if Austal acquires ASC
then “Austal will be the majority partner”. He says this issue is very
important, as ASC must remain in Australian ownership. Austal have
made it clear that ASC will “remain in Adelaide as a naval ship builder”.
In the bid for the Royal Australian Navy’s amphibious vessels for Project
JP2048, Austal teamed with Raytheon and was part of a risk-reduction
study with Tenix, ADI and ASC. When ADI teamed with Armaris and Tenix
with Navantia, Austal withdrew from contention as a prime contractor.
Mr Lupi highlighted concerns over the availability of skilled labour, stating
that “it was considered too risky to set up dedicated facilities for the
amphibious ships when there are such severe skills shortages.”
Relations with Raytheon are “still good” and the alliance did not fall
apart as some have reported. In fact, Austal and Raytheon are pursuing a
number of opportunities together both in Australia and in the region.
Austal’s operations in Australia currently employ 1,100 workers. At the
US facility the workforce stands at over 600, but this is set to increase
rapidly with the US workforce planned to be larger than the Australian
workforce by 2007.
Austal Ships

Ausclad Group advocates paradigm
shift in defence industry
T
he Ausclad Group of Companies (AGC) is a metal fabrication
company with a big role in the oil and gas sector. AGC provides
total engineering solutions across the energy, resources and marine industry
sectors. The company builds jackets and topsides, power plants, loaders and
stackers, and mechanical and structured installations and maintenance.
Companies such as AGC from the oil and gas industry, are becoming
more relevant to the defence industry. This is where the technological
and engineering skills are based and they are readily transferable to the
defence sector.
The ability of oil and gas companies to undertake defence work
represents what AGC believes is a paradigm shift taking place within the
defence industry. The key in this relationship is the provision of a skilled
workforce and maintaining a stable level of work.
Just because a company is not a shipbuilder does not mean it cannot
do extensive work on ships say AGC. With the Australian Marine Complex
(AMC) development at Henderson, Western Australia, AGC could provide
pre-fabrication on components for the amphibious vessels and Air Warfare
Destroyer (AWD) programmes.
The AMC is “a tremendous capability” that has given Ausclad the means
to participate in the changing nature of metal fabrication.
“The skills shortage is in engineering not fabrication and defence offers
a long-term opportunity to maintain the workforce. We can build 27,000
tonne ships, it is just another project for Ausclad” says Mr Stuart Kenny,
Managing Director of AGC.
Ausclad developed a joint venture company in November 2005 with the
United Group called Western Australian Major Projects (WAMP). This JV will
compete for work on the amphibious ship and AWD programmes.
“We haven’t defined a target, we want to participate in the
programmes… we are not constrained by capacity but by information from
the prime contractor”, Mr Kenny said.
Mr Kenny believes that constructing the amphibious vessels in
Australia will reduce through-life costs and preserve knowledge of vessel
maintenance, repair and overhaul in this country. “If construction goes
offshore then the funding goes with it”, he concludes.
AGC is listed on the Singapore Stock Exchange as Mr Kenny believes the
ASX is “a bit boom and bust” and not large enough to allow a company to
grow. With Ausclad’s global focus it made sense to register in Singapore and
take on the Asian market. Investors in Singapore have a better understanding
of the defence market and its value to a company like Ausclad.
In Australia the company has met with all the primes and is conducting
work with the RAN as a subcontractor to Tenix. The company has also
undertaken work on three USN military sealift command vessels.
17

A “lively marine industry” in
Western Australia, says FDS
F
ormation Design Systems undertakes software development for
the marine industry and provides the Australian market with an
end-to-end design for ship construction. For the design and fitting of the
ship, the software will be able to predict the vessels strengths and its
motion in the sea.
Mr Philip Christensen, Managing Director said. “We are a crossover
company, and Formation Design Systems is placed between
the architectural and software design industry and the engineering
sector. With our products we provide a link from design into the
construction phase”.
MaxSurf is the ship design and analysis software suite that allows
users to prototype and optimise hull forms. ShipConstructor then provides
a detailed structural layout. “ So you can view the piping, air conditioning
and equipment layout using this programme, the Navisworks product
provides a 3D fly-through and inspection of a 3D model for design and
production teams”adds Mr Christensen.
Austal currently uses FDS MaxSurf and NavisWorks on the LCS and
Armidale Patrol boats. Australian Marine Technologies (AMT) has been
using ShipConstructor for the refit of the Delos putting in a new flight
deck and helicopter hangar using the software for design.
“Tenix is currently producing patrol boats for the Royal New Zealand
Navy under Project Protector, the inshore patrol vessel designers at Tenix
are using FDS software in WA”, he says. “We are based in WA because
there is a lively marine industry and sector here, everyone in the state
uses our products”.
The skills issue is a concern in Western Australia. “There are big
problems recruiting naval architects. However, we are lucky because
18
Strategic Marine is based in WA because
“aluminium and repair spin-off business
is in WA and because of the facilities
here [Australian Marine Complex]”.
Whilst the company has not had any
military contracts for over 18 months
it has become involved in the marine
policing market.
“Marine policing is very important,”
says Mr Newbold, Chairman of Strategic
Marine. “Crime has no borders, more
and more bigger boats are required
with more advanced systems, often
the systems are more expensive than
the boat and whilst we don’t build
electronic systems we are able to mount
them on the vessel.”
Strategic Marine is providing 60
boats to Singapore and a further 20 to
Malaysia. “The police patrol market is
opening up,” continues Mr Newbold.
“We are well placed to take advantage
of that with between 60-70 staff at our
facility in Singapore.” Mr Newbold says
that he is not interested in the United
States market.
“Strategic Marine is in WA because
it leads the world in aluminium
shipbuilding and is a technology base
from where we can sell our knowledge
services to the region,” Mr Newbold
said.
The facilities in Singapore are not
large enough to cope with demand,
which is why Strategic Marine is also
investing in Vietnam. The company
we recruit from the top end of the market, the people we want are not
involved in day to day engineering”.
FDS hopes to provide support tools for the LHD and AWD projects.
The contracts for the vessels “will be spread across states and between
disciplines”, he concludes. “We can bring people from different locations
and different industries together”.
Western Australia “leads the world in aluminium”
hopes to acquire a further 2 hectares
for its Singapore yard.
Strategic Marine has opened
up a new facility in Vietnam just
outside of Ho Chi Minh City. It was
purchased at the end of 2005 and
whilst the management of the facility
has not been finalised, the company
intends to buy the yard for long-term
investment.
Eventually Strategic Marine will
end up building vessels up to 30,000
tons. This will put the company in
a good position to take on the oil
industry market that requires larger
boats such as anchor boats and
tugs. “The market is a good one,
continuous and strong”.

Austal
Joint Ministerial Defence Taskforce
I
n January this year Premier Alan Carpenter and Minister for
Education Ljiljana Ravlich announced the formation of the Joint
Ministerial Taskforce on Skilling Western Australia’s Defence Industry.
Led by MLA Norm Marlborough the taskforce comprises
representatives from the Department of Education and Training, the
Department of Industry and Resources, Challenger TAFE and the
defence industry.
The taskforce is overseeing the examination of the training needs
required to meet the future expansion of the defence industry in WA.
Department of Industry and Resources Defence Strategist Mr Mike
Deeks said the aim of the taskforce was to produce a comprehensive
report detailing the training needs that can be implemented by
government and institutions such as Challenger TAFE.
“The provision of an appropriately skilled workforce is one of the
cornerstones of this Government’s program to grow new industry sectors
in WA,” Mr Deeks said.
“The need for vocational training institutions to focus on delivering
properly skilled people to industry is critical to the economic
development and diversity of WA.
The taskforce will oversee the implementation of the
recommendations of the Skilling Western Australia‘s Defence Industry
Supplement published by:
Ventura Media Asia-Pacifi c Pty Ltd
for Department of Industry and Resources Western Australia
PO Box 88, Miranda NSW 1490
Phone: +61 2 9526 7188 Fax: +61 2 9526 1779
report (August 2005) with a budget of $235,000 for 2006.
The taskforce will develop a comprehensive workforce
development strategy in order to position the WA defence industry
to deliver on the preferred maritime and military systems integration
and electronics line items of the 2004 – 2014 Defence Capability
Plan, as well as provide ongoing support through such
commitments as:
Customisation and badging of education and training courses to
meet the specific skill needs of the defence industry and provision of
discrete education and training pathways directly into industry.
Establishment of a Defence Industry Centre of Specialisation,
dedicated to servicing the skill needs of the defence industry in WA
by acting as a training provider, developer and broker.
Promotion of the defence industry as an attractive and rewarding
career destination to youth in senior secondary school.
Exploration of the concept of a defence industry group-training
scheme dedicated to assisting smaller employers to take on
apprentices and trainees and to provide a mechanism for those in
training to gain a wide range of defence industry experience.
Evaluation of strategies for encouraging increased uptake of
engineering courses relevant to the State’s defence industry.
1 Adelaide Terrace
East Perth Western Australia, Australia 6004
Phone: +61 8 9222 3333 Fax: +61 8 9222 6156
www.doir.wa.gov.au www.australianmarinecomplex.com.au
19

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