Story surfaces of HMAS Farncomb dive and propulsion failure incident (Update-with Defence Response)

The Collins-class submarine continues to add to its poor reputation as a $10 billion dollar dud of little combat worth.

For instance, we had the event back in May where the Defence PR machine writes about great combat effectiveness in an exercise yet the sub in question never showed because it was broke.

It might even be funny if the core-skillsets needed to operate a properly running submarine had big margins for error.

Today, The Australian has a scary story of an incident played down last month as not a big deal by Defence.

Depending on how one interprets the story, it is possible that the Collins-class sub HMAS Farncomb could have been lost with all hands due to an equipment failure.

Given that it is peace-time, I wonder why a sub skipper would not order an immediate surface when there is a propulsion failure at 20 meters?

Update- Defence Response.
Everything normal. Although that doesn't explain the reporting on thoughts by some of the sailors that were there.

Defence, "on the record" statements haven't always been successful.