Defence Minister Peter Dutton has signed a new 10-year contract with BAE Systems Australia to provide fast-jet combat training aircraft in Newcastle and Perth.
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BAE will upgrade its Hawk 127 training aircraft as part of the $1.5 billion contract to 2031.
Mr Dutton's office said on Sunday the contract renewal would "create" 260 "direct" jobs in the Hunter, but his staff confirmed with BAE on Monday that no new jobs would flow from the deal.
The contract will deliver continuing employment for BAE staff and allow the company to install relatively low-maintenance Adour 951 engines in the Hawks.
Williamtown's No.76 Squadron uses the Hawk 127 to train pilots to fly the new F-35A Joint Strike Fighter, the F/A18F Super Hornet and the EA-18G Growler.
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