By CAROLINE STRAINIG
A PORT Macquarie company has won a multi-million-dollar contract to supply boats and engines to the US Army – but it took a four-year tender process and surviving a four-month legal challenge to secure the deal.
Marine engineering company Birdon, whose headquarters are at Sancrox just west of Port Macquarie, was awarded a US$259 million contract to build 374 bridge erection boats back in November 2013. However, an unsuccessful tenderer challenged the decision and it was a tense four-month wait before the challenge was dismissed.
General manager Ian Ramsay told the Independent yesterday that the news of the dismissal had put an end to what has been an emotional roller-coaster for the owners, Jamie Bruce and his sister Tammie, and the 80 staff.
“First we celebrated, and then a week later heard about the challenge,” Mr Ramsay said. “We knew it was pretty weak, but it was still really good when we got the official confirmation.”
He said Birdon had won Australian government tenders before but this was the first time they had tendered for a US Government contract and it was “way above” anything they had done previously.
Stage one will be 25 boats and engines, with four option stages. If all go ahead – which Mr Ramsay is confident they will – Birdon will build 374 boats and 748 Namjet engines for the boats.
Birdon purchased the US company manufacturing the Namjets in 2011 and Mr Ramsay said the engine’s design was a key factor in winning the contract. The boat design was also an updated version of a proven bridge erection boat developed by Birdon that won an Australian Army tender in 2003.
Under the terms of the contract, the boats will have to be built in the US, and Birdon will expand the Namjet operation to include a new plant in Denver, Colorado.
However, Mr Ramsay stressed the headquarters of Birdon would still remain very much at Sancrox, Port Macquaire.
He expected staff numbers there would increase slightly because of the administration and project management of the US Government contract, but the long-term flow-on effects could be substantial.
“While under the terms of this contract, we have to build the boats in the US, we are already getting inquiries from other countries because of winning this tender, and we can build those boats right here,” he said.
Birdon managing director Jamie Bruce, who owns the company in partnership with his sister Tammie, said the announcement was a resounding global endorsement of the strength of Australian research and development capability and the potential of Australia’s defence industry.
Mr Bruce said the contract was a win for Australian innovation.
“I am immensely proud that the expertise and technological know-how of a family-owned company based in Port Macquarie has been recognised on the world stage,” he said in a press statement.
“The tender process for US defence contracts is among the most competitive in the world and to win this one, Birdon beat off a number of globally recognised suppliers. That’s a testament to the expertise and ingenuity that exists in our defence industry and manufacturing sector generally.”
Bridge erection boats are primarily used to provide propulsion and manoeuvring thrust to support temporary floating bridges often made necessary when existing bridge crossings have been destroyed in military conflict.
