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- VEEM (VEE) has received $9 million worth of orders from the Australian Submarine Corporation for specialised parts
- This order forms part of the maintenance program for Australian Submarine’s Collins Class Submarines
- Work will begin immediately and deliveries are expected during July 2020
- VEEM Managing Director Mark Miocevich says this order underpins the business during these uncertain times
- This new order comes two weeks after the company successfully constructed the world’s largest and most powerful gyrostabiliser for Europe’s largest shipbuilder
- VEEM has ended the day 5.38 per cent in the green with shares trading for 49 cents each
VEEM (VEE) has received $9 million worth of orders from the Australian Submarine Corporation (ASC) for certain specialised parts.
This order forms part of the maintenance program for ACS’s Collins Class Submarines.
ACS’s Collins Class Submarine project was created in 1982 to provide six new Australian built submarines for the Royal Australian Navy.
These submarines travel great distances, operate in varying environments, and deploy state-of-the-art weapons.
They also perform anti-submarine (designed to destroy submarines), anti-shipping and intelligence gathering missions.
Work for these orders will begin immediately at VEEM’s specialised engineering facility in Canning Vale, Western Australia, with deliveries expected to occur over 15 months from July 2020.
“The new contract with ASC is further demonstration of our reputation for precision engineering to the exacting defence standards. This work will positively impact our profitability in the current and next financial year,” Managing Director Mark Miocevich said.
“While marine gyro stabilisation is VEEM’s disruptive product range with huge growth potential, this $9 million contract demonstrates again the capacity of our traditional business to contribute growing recurring profits and will underpin our business during these uncertain times,” he added.
This announcement comes two weeks after VEEM successfully constructed the world’s largest and most powerful gyrostabiliser for Europe’s largest shipbuilder, Damen Shipyards.
A gyrostabiliser is a device used to reduce the rolling motion of boats and ships in water.
VEEM has ended the day 5.38 per cent in the green with shares trading for 49 cents in a $60.45 million market cap.
