BAE Systems Australia Welcomes Destroyer Contract

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BAE Systems Australia has been selected to partner with the Commonwealth of Australia to deliver a sovereign sustainment capability to the Royal Australian Navy’s Hobart Class Destroyer (DDG) fleet based in Sydney.

The $155 million contract will see BAE Systems become the Capability Life Cycle Manager (CLCM) for each of the Navy’s three Hobart-class Destroyers - HMAS Hobart, HMAS Brisbane and HMAS Sydney. Over the next six years, the Company will manage the fleet, ensuring they are ready to fight and win at sea, with the latest capability.

To deliver this contract, the BAE Systems’ team will operate from the existing Destroyer Enterprise facilities based at the Royal Australian Navy’s Fleet Base East in Sydney.

Since 2017, the Company has been the managing contractor for the DDG Enterprise and has a specialised team of around 100 highly skilled people focussed solely on the delivery of sustainment services to the Hobart Class Destroyers. This contract will sustain those positions and grow the local ship sustainment industry into the future.

BAE Systems Australia Managing Director — Maritime, Craig Lockhart, said:

“We welcome the Commonwealth’s decision and look forward to working alongside the Navy and our Enterprise partners to deliver this vital capability.

“Our established team has deep knowledge of the Hobart Class Destroyer and will deliver a proven Enterprise and collaborative approach that focuses on dependable delivery today and innovative ways of sustaining the class into the future.

“This is another example of how BAE Systems Australia is helping to deliver the next generation of naval capability to and building local industry to help keep Australia secure.”

Maximising Australian Industry Capability is a critical element of the approach for future sustainment undertaken by BAE Systems Australia and its partners. BAE Systems will continue to bring together leading partners that offer the best Australian engineering, asset management, consulting and advisory services.

The contract comes at a critical time for naval fleet sustainment in Australia as the industry transitions to the Future Maritime Sustainment Model (FMSM), guided by the vision of the Commonwealth’s Plan Galileo. This plan ensures existing and new naval fleets can be effectively sustained and deployed rapidly from strategic locations across Australia and provides a cradle to grave approach to asset and capability management.


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