Austal stands behind US Navy ships

Henderson-based shipbuilder Austal says it will support any request to identify the cause of rust on its aluminium naval vessels, after claims surfaced that the US Navy discovered corrosion in the first ship delivered by Austal under a 10-ship contract.

According to media reports, the corrosion is in the propulsion areas of the Austal-built littoral combat ship USS Independence, and permanent repair would require drydocking and removing its water jets.

Austal said that according to its company records, galvanic corrosion has not been a factor on any Austal-built or maintained vessel.

"Our technical experts are eager to support any request to identify root causes of any corrosion issue in any aluminium naval vessel in service today," Austal said in a statement.

Austal was awarded a $3.8 billion, 10-ship contract in December to provide littoral combat ships to the US Navy.

The USS Independence is the first ship to be delivered, while a second ship under the contract is due for completion by 2014.

"Austal has eagerly assumed the role of prime contractor for the Independence variant littoral combar ships awarded under the 10-ship block buy contract, and as a prime contractor for those 10 ships, Austal will always stand by its products and our Navy partners," Austal said.

At close of trade today, Austal's stock had dropped 2.9 per cent, to trade at $2.63.