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Australian battery manufacturer PMB Defense Engineering has signed a contract with BAE Systems in the United Kingdom to explore integrating its nickel-zinc battery technology into the design of new nuclear-powered submarines being developed under the AUKUS security partnership. BAE Systems will review PMB’s battery data to see how it can be used in submarines jointly developed by the United Kingdom, Australia, and the United States, known as SSN-AUKUS submarines. The deal builds on PMB’s six-year collaboration with the UK Ministry of Defense and the Submarine Delivery Agency (SDA) to qualify nickel-zinc batteries as a replacement for traditional lead-acid systems on the Astute-class submarines. The technology, which offers about twice the energy capacity of lead-acid batteries, has now been identified as the preferred option for the next-generation SSN-AUKUS fleet. Nickel-zinc battery could offer double power Nuclear-powered submarines generate their primary power from onboard reactors but rely on battery systems to operate equipment, maintain quiet operations, and provide backup energy. The nickel-zinc chemistry promises greater energy density and reliability, along with lower maintenance demands, a key advantage for long-endurance, stealth missions. “This enablement contract with PMB is an example of the industrial uplift efforts underway to maximize and accelerate Australian industry participation in trilateral nuclear-powered submarine programs,” said Craig Lockhart, chief executive of BAE Systems Australia. “Strong progress is being made on the detailed design phase of the SSN-AUKUS program, and strong collaboration is occurring between the UK and Australian governments, industry partners, and the submarine build teams.” Stephen Faulkner, CEO of PMB Defense Engineering, stated that the contract marks a milestone for Australian defense technology. “We are proud to contribute Australian innovation to one of the most complex defense programs in our nation’s history,” he said. “This agreement will drive further growth in our Adelaide-based team and expand our local supply chain as we move toward production.” Next-gen nuclear submarines The Australian government stated that the contract, valued at more than A$34 million (approximately USD 22 million), is expected to create new jobs in South Australia. PMB has already added 20 employees to its workforce and anticipates further hiring as production scales. The company employs more than 45 engineers and technicians and produces the main batteries for Australia’s Collins-class submarines, which have been in service since 1996. Australia’s Minister for Defense Industry Pat Conroy said the deal highlights the industry’s role in building sovereign capability. “The Albanese government will always back Australian innovation, and this strategic contract reinforces the fact that Aussies are world leaders when it comes to defense technology,” Conroy said. “AUKUS is expected to create around 20,000 direct jobs over the next 30 years.” The SSN-AUKUS submarines will be based on the UK’s next-generation design, incorporating technology from all three partner nations, including US propulsion systems, common vertical launch systems, and a joint combat system. The Australian fleet will be built at the Osborne Naval Shipyard in South Australia by BAE Systems and ASC. PMB continues to supply lead-acid batteries to the Royal Navy under a separate contract, but said its focus is on advancing nickel-zinc technology for the future fleet.