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Australia invests another AUD 4.6 billion in nuclear submarine construction yard

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • Australia announced an additional AUD 4.6 billion investment for its nuclear-powered submarine construction yard in Osborne, South Australia.
  • This funding supplements an initial AUD 3.9 billion and is dedicated to building the SSN-AUKUS submarines.
  • The project is expected to cost around AUD 30 billion over several decades and create nearly 10,000 jobs.

Australia is bolstering its defense capabilities with a significant new investment in its nuclear-powered submarine program. The government announced an additional AUD 4.6 billion (approximately USD 3.2 billion) for the construction yard at Osborne, South Australia, where future SSN-AUKUS submarines will be built.

This latest funding package complements the initial AUD 3.9 billion investment announced in February 2026. The federal government's total announced contribution for the Osborne facility now stands at AUD 8.5 billion (around USD 107 trillion). The entire project, spanning several decades, is estimated to require an investment of approximately AUD 30 billion.

"This investment is another critical step in building the sovereign capability required for Australia to build, operate, maintain and sustain our future submarine fleet," said Deputy Prime Minister and Minister for Defence Richard Marles. He emphasized that the ongoing work at Osborne demonstrates the AUKUS security pact is "on track and being realized now."

This investment is another critical step in building the sovereign capability required for Australia to build, operate, maintain and sustain our future submarine fleet

— Richard MarlesDeputy Prime Minister and Minister for Defence of Australia, commenting on the new investment.

The funds will support the development of new infrastructure and workforce training. The planned shipyard complex will be about ten times larger than the current surface ship construction facility at Osborne. Construction is expected to occur in phases over roughly a decade, with around 50 buildings planned. The first building is targeted for completion within 12 months, and steel cutting for the first Australian-built SSN-AUKUS submarine is slated for before the end of this decade.

Approximately 1,100 workers are currently involved in the facility's development, a number projected to increase to around 4,000 construction workers in the coming years. The overall nuclear-powered submarine program is anticipated to generate nearly 10,000 jobs in South Australia.

The work that is happening at Osborne now shows that AUKUS is on track and is being realized now

— Richard MarlesDeputy Prime Minister and Minister for Defence of Australia, affirming the progress of the AUKUS pact.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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