The loan agreement, executed in October 2025, is part of Austal's broader A$488 million refinancing package announced in June 2025. The funds will be utilized to support the development of Austal's Final Assembly 2 (FA2) project, a key component of the company's US expansion strategy.

The EFA loan facility, with a tenor of 10 years, reflects the long-term secured order book for ships to be built in the FA2 facility. This includes up to eleven US Coast Guard Offshore Patrol Cutters and up to seven US Navy Ocean Surveillance vessels (T-AGOS).

Paddy Gregg, CEO of Austal, emphasized the significance of this funding, stating that securing Australian Government support for US infrastructure expansion is a major milestone, enabling the company to execute on its $13.1 billion order book. He highlighted that the loan facilitates shared defense objectives between the Australian and US Governments and validates the strong relationship between both governments and Austal.

Minister for Trade and Tourism, Senator the Hon Don Farrell, underscored the government's commitment to backing Australian defense companies, noting that Austal's expansion demonstrates the strength of Australian businesses to export, invest, and support shared Australian-US priorities such as defense.

Austal continues to invest in its shipbuilding and submarine capabilities, with two major expansion projects currently underway in the USA: the FA2 project and the submarine Module Manufacturing Facility 3 (MMF3) project. The company is undertaking a significant capital expansion in the US, and the working capital funding established, comprising a combination of debt, equity, and cash flow, ensures that Austal can complete that expansion in a financially astute manner.