Austal (ASX:ASB) will build eight landing craft heavy vessels based on Damen Shipyards' Landing Ship Transport 100 for the Australian army, the preferred design selected by the government, according to a Monday filing with the Australian bourse.

The vessel has a 3,900-tonne displacement and can carry more than 500 tonnes of military vehicles and equipment, as per the filing.

Construction at the Henderson Defence Precinct in Western Australia is anticipated in 2026, subject to negotiations.

Austal said the potential value of the project is yet to be fully determined.