Transfield Services (ASX:TSE) says it has secured two new defence industry contracts totaling A$68 million. These covers a six year A$35 million contract with ASC on behalf of the Air Warfare Destroyer (AWD) Alliance and a three year A$33 million contract with the Department of Defence to provide Comprehensive Maintenance Services (CMS) in Central Northern New South Wales. The CMS contract also has extension options of up to three further years, with a value of up to an additional A$33 million.

Transfield Services will perform blast and paint work for the ASC - Australia's largest specialised defence shipbuilding organisation - as part of the construction of three AWDs. Work will commence early in 2011 and be carried out at the ASC facility in Adelaide, South Australia.

In addition, through the Comprehensive Maintenance Services contract with the Department of Defence, Transfield Services will provide all building and equipment maintenance, call centre services and manage a portfolio of capital works projects primarily to RAAF Williamtown in Newcastle and the Singleton Military Area. The work will also encompass services to bases spread from the Hawkesbury River north of Sydney through to the Queensland border.

The company has also provided Garrison Support Services to the Department of Defence for more than a decade in Victoria, South Australia and Western Australia and provides corrosion protection services to the Australian Navy's six Collins Class Submarines.

Transfield Services has a robust pipeline of work developing in oil and gas, power, defence, transport and social infrastructure, providing continuing diversification for the business.

Over 85 percent of the company's services are delivered under long-term contracts and relationships with key clients.

At 1125 AEDT, shares in Transfield were down three cents at $3.27.