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Austal USA to Add Second Final Assembly Building

The Mobile Chamber announced the expansion of Austal USA Mobile shipyard with the construction of an additional waterfront assembly facility to support the growth of shipbuilding in Mobile.

This significant project, with a capital investment of more than $288 million, is set to create 1,032 new jobs over the next four years. 

“Austal’s growth plans in Mobile will have a massive impact on the shipbuilding industry in the Port City,” said Ellen McNair, secretary of the Alabama Department of Commerce. “Not only will this expansion create more than 1,000 jobs with a significant new investment, but it will also broaden Austal’s manufacturing capabilities and solidify its future in Mobile.”

This infrastructure expansion includes the construction of Final Assembly Building No. 2 (FA 2), with three bays to build large steel modules including the Coast Guard’s Offshore Patrol Cutter (OPC) and the Navy’s TAGOS-25 ocean surveillance steel ships. It will also provide flexibility to manufacture modules for submarine and other surface ship programs.

“This is a big deal,” said Mobile Chamber President and CEO Bradley Byrne. “The new Final Assembly 2 will provide job growth as the OPC and TAGOS-25 programs transition from design to production and enhance the infrastructure needed for future contract competitions.”

FA 2 will provide 192,000 square feet of covered manufacturing space and will occupy four and a half acres to the south of Austal’s current waterfront facility.

“This groundbreaking ceremony represents a significant milestone for the city of Mobile, the state of Alabama and the U.S. defense industrial base,” said Austal USA President Michelle Kruger. “As we have done throughout our history, Austal USA is again expanding our facility to meet the needs of the nation.”

The project also includes waterfront improvements, and a shiplift system to safely and reliably launch completed ships from the assembly buildings. The system features an articulated lifting platform capable of lifting, launching and docking vessels in excess of 18,000 long tons.

“This is an exciting day for the entire Mobile region. Austal has proven it is invested in Mobile, and it is exciting to see its U.S. operations continue to grow here. Shipbuilding is an integral part of Mobile’s history, and thousands of our citizens continue to make a good living on the waterfront thanks to industry leaders like Austal,” said Mobile Mayor Sandy Stimpson.


Upon completion of this expansion, Austal USA’s Mobile facility will feature a 117,000 square foot steel panel line, two module manufacturing facilities with more than a million square feet of covered manufacturing space optimized for serial production, and seven assembly bays offering more than 400,000 square feet of indoor erection space.


“This expansion does more than strengthen our national defense and create high-quality jobs, it demonstrates the leadership of both Austal USA and Mobile County’s shipbuilding industry,” said Mobile County Commission President Randall Dueitt. “The $288 million construction investment and more than 1,000 new jobs mean that Austal USA’s new waterfront assembly facility is yet another win for our local workforce because Austal’s AIDT training programs mean that local people have opportunities to prepare themselves for these new jobs.”


Overall, the Mobile facility spans 180 acres and will encompass more than 1.5 million square feet of indoor manufacturing space.

To execute the project, Austal USA has partnered with:    

- Pearlson & Pearlson Inc., program manager and owner’s representative    

- Kiewit Infrastructure South Co., lead for design and construction    

- Pearlson Shiplift Corporation, designer and builder of the shiplift system

Photo Courtesy: Austal USA


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