Approval has been given for a $500 million project to upgrade 350 of the Australian Army's fleet of M113 combat vehicles.
Defence Minister Robert Hill made the announcement today at Tenix Defence's northern Adelaide facility saying he expects a contract will be signed between the Federal Government and Tenix in early July.
Senator Hill says this will fulfil another one of the Government's key commitments in the 2000 Defence White Paper, and further strengthen the combat capabilities of the Army.
"This upgrade to the tracked armoured personnel carriers will improve the protection provided for Australian soldiers in combat," Senator Hill says.
"New engines will be installed to improve mobility and meet stringent environmental standards and the interior space of the vehicles will be improved to benefit soldiers.
"Tenix is also designing and developing a new turret to improve the firepower and protection of the M113 vehicles. Tenix in Adelaide will carry out the production of the turret.
"The upgrade will ensure that our vehicles can perform safely and effectively in combat, and can be supported through to 2020.
"The project will be based on design work being carried out at Tenix in Adelaide that has been under way for more than a year.
"Production of the upgraded M113 fleet will take place at the Bandiana Defence facility near Albury-Wodonga which is managed by Tenix under a commercial support contract."
The Army's M113 fleet was first used in Vietnam, but was also valuable in recent East Timor operations. The M113 remains the backbone of many western armies, and was used by the United States in the Persian Gulf.
Several other nations are also choosing to upgrade their M113 fleets - including Canada, Germany and Denmark - as the upgrade represents excellent value for money compared with purchasing limited numbers of expensive new vehicles.
Senator Hill says the upgrade of the M113 fleet is just one of the Government's strategies for enhancing armoured mobility for the Army.
"I recently announced plans to test and build Bushmaster wheeled armoured trucks for long distance troop transport in Bendigo," Senator Hill says.
"Work is already well under way for Adelaide to supply an additional 150 Australian Light Armoured Vehicles with turrets made in Adelaide for the world market." (ends)
Further Comments by Defence Minister Robert Hill During June 30 Media Conference At Tenix Defence In Adelaide, South Australia Major Upgrade For Army Combat Vehicles
