Naval Group Australia: Attack Class Submarine Program
Piper Alderman advised Naval Group Australia on major procurement and supply chain contracting for the Future Submarine Program (SEA 1000). At the time it was the largest Defence procurement program in Australia’s history.
Under the program, 12 conventionally powered Attack Class submarines were to be built in Australia by an Australian workforce. Construction was to take place at a purpose built Submarine Construction Yard at Osborne, South Australia. The program was governed by a Strategic Partnering Agreement between the Commonwealth and Naval Group. The parties later amended that agreement to make Naval Group’s commitment to spend at least 60 per cent of the contract value in Australia a contractual obligation. Piper Alderman was listed by the Department of Defence among the Australian companies and organisations holding subcontracts for the Future Submarine Program.
Our work included:
- Drafting and negotiating Commonwealth linked procurement and subcontract terms that flowed down head contract obligations to the Australian and international supply chain.
- Advising on risk allocation, liability and intellectual property positions across supplier contracts.
On 16 September 2021, the Australian Government announced that it would not continue with the program because Australia’s strategic circumstances had changed. The contracts with Naval Group were then terminated for convenience. The decision was not related to Naval Group’s performance.
The engagement reflects the strength of Piper Alderman’s defence and major projects practice. Our Adelaide team understands Commonwealth procurement frameworks, flow down regimes and sovereign capability requirements, and we advise primes, suppliers and government across the full defence project lifecycle.
