TMS bridges the defence-commercial gap

Australia's defence industry policy, articulated repeatedly by the Minister for Defence, CDF and the Secretary for Defence, states that Australian companies should not rely solely on Australian defence contracts for their business survival. The Undersecretary of Defence, Mick Roche, has pro-actively encouraged local companies to explore business opportunities in alternative and non-defence domestic and export market sectors and technologies. DMO initiatives also encourage the development of commercial technologies and products based on original research undertaken by the Defence Science and Technology Organisation (DSTO).

The role of Australia's very capable Defence industry is to provide capability and long term support to the ADF; it is wrong, argues Ashley Deacon of Sydney-based Thomson-Marconi Sonar Pty Ltd (TMS), to assume that the ADF has an obligation to "feed" industry for the sake of maintaining industrial capability. However, Australian industry has in the main been slow in meeting the challenges of expansion into commercial and civil markets, he feels.

One defence industry sector that has achieved notable success is the Australian sonar industry, with TMS leading the way in commercialising defence technology, Deacon said. TMS has developed and successfully marketed solid towed arrays for marine seismic exploration in support of the offshore petroleum industry. The estimated size of the marine seismic exploration industry is around US$250 million per year, Deacon told ADM.

TMS developed the Sentry and second-generation Guardian seismic solid towed arrays based on original research undertaken with DSTO. This research successfully developed solid and gel-filled, slim-line towed arrays for the RAN's Collins-class submarine and surface warship programs. The performance and economic productivity of the TMS seismic solid towed arrays far exceeds that of the traditional oil-filled (or liquid) arrays. Since 1996 TMS has exported over 500 kilometres of solid towed arrays to the marine seismic industry, generating over $200 million in income for Australia. This represents over 20% of the world seismic towed array market, Deacon estimates.

The company has recently been awarded a contract by the Houston, Texas-based Veritas Geophysical Corporation to supply the latest generation TMS Guardian small-diameter solid towed arrays. Some 480 sections of the solid towed arrays will be delivered to Veritas for deployment onboard their exploration ships starting in September 2001.

TMS has, over the last three years established a worldwide network of seismic customer support bases. More recently, Thomson Marconi Sonar Seismic Inc was established in Houston, Texas, to provide a USA centre for total customer support.

Almost half of TMS's annual turnover is now derived from export of defence and civil underwater systems generating employment for the 500 staff at TMS and stimulating the local economy, Deacon told ADM. These successes are in turn sustaining the Australian-based innovation and manufacturing capabilities of TMS to support the ADF, he said.