VT Shipbuilding Gains OPV (H) Nod

Sea Power, Feb 2005

VT Shipbuilding announced Dec. 13 that it began negotiations with the U.K. Ministry of Defence (MoD) for the construction of a new 80-meter offshore patrol vessel (helicopter), or OPV (H), indicating it had been selected as the preferred supplier for this program.

VT's selection as preferred supplier follows an assessment of competitive bids that began in April 2004 for one OPV (H) to replace the two Castle-class offshore patrol vessels that are currently rotated to the Falkland Islands for patrol duty by the Royal Navy. With a construction contract expected in early 2005, the new vessel is expected to be commissioned in 2006 and chartered to the Royal Navy through an initial period of 2012.

The lease will more than likely be extended well past 2012 clue to the Falkland Islands patrol requirements. The initial program to build and operate the vessel through 2012 is estimated to cost around $57.3 million.

Initially thought to be a class of two vessels (since it is replacing two vessels), VT Shipbuilding has guaranteed the availability of the new OPV for more than 300 days a year eliminating the need for a second vessel.

U.K. Firm to Upgrade Philippine OPVs

The U.K. defense firm QinetiQ signed a $17.4 million contract with the Philippines Dec. 6 for the first phase of the three-phase modernization program for the three Emilio Jacinto (ex-Peacock)-class OPVs. The work will be conducted at the Keppel Batangas Shipyard in the Philippines.

The project is expected to take approximately 24 months and should be complete by November 2006.

Phase 1 will consist of the following:

* Complete overhaul of the 76mm gun by OTO Melara;

* Installation of one MSI Defense Systems 25mm mount on the stern;

* Replacement of the existing GSA7 Sea Archer fire-conlrol radar with a new Radamec 1500, which will be lied into the gun and mount to provide all-weather day-and-night engagement capability;

* Installation and integration of new electrical and navigation systems including Ultra Electronics electrical power systems, Sperry Marine Bridge Master E Series radar, Raytheon Gyro Compass and Global Positioning System equipment.

Phase 2 consists of the installation of two new diesel engines.

Phase 3 will consist of the installation of a new safety system, likely including new fire pumps as well as fire suppression systems.

Three Firms Bid On Aussie Destroyer Program

Australian Defence Minister Robert Hill announced Dec. 23 that the Defence Department had received three bids for the three new air warfare destroyers to be built under the "SEA 4000 AAW Destroyer Program." A request for proposals (RFP) for the build phase was released on Oct. 18 for the $4.4 billion project.

The three submitting bidders were:

* ASC Shipbuilding with the Blohm Voss F-124 design;

* Northrop Grumman Ship Systems with the Gibbs & Cox Modified Arleigh Burke design; m Tenix Defense Systems with the IZAR F-100 design.

With the bidding process now closed, the Defence Department will begin its evaluation phase with an expected announcement of the winner by early 2005 followed by a construction contract award by 2006.

In addition to hull construction, the Defence Department is evaluating responses from BAE Systems, Raytheon Australia and Saab Systems for the Air Warfare Destroyer Combat System/System Engineer (AWDCSSE) prime contractor. The RFP for AWDCSSE was released on Oct. 25 for the system-level design and integration. The prime contractor for AWDCSSE is expected to design and integrate all non-AEGIS systems. The preferred company for AWDCSSE is expected to be appointed by March 2005.

Bulgaria Requests Corvette RFP

The First Deputy Chief of the General Staff Bulgaria has announced the release of an RFP for six new corvettes. The RFP, announced Dec. 10, has been anticipated since January 2004 when the Bulgarian Navy signed a memorandum of understanding with Thyssen of Germany to conduct an assessment of financial, technological and logistical aspects of an acquisition of naval ships.

The RFP for construction was issued to all major European shipbuilding firms, including the following likely lead competitors:

* IZAR Construcciones of Spain;

* Armaris of France;

* Fincantieri of Italy;

* Luerssen Werft of Germany;

* Thyssen/Blohm Voss of Germany;

* VT Shipbuilding of the U.K.;

* Schelde Shipbuilding of the Netherlands.

The biggest challenge in this program for all competitors will be financing. The annual budget of the Bulgarian Navy is approximately $56 million. Major procurements of all the services generally require special parliamentary funding and, in the case of the corvette, estimates for the program run anywhere from $600 million to $800 million.

Bulgarian governmental sources indicate that funding for the corvette program is not feasible for the foreseeable future, which has led to the decision to procure one Wielingen-class frigate from Belgium in early December 2004. The frigate is expected to be transferred by October 2005.

AMI International Inc., Bremerton, Wash., is an international consulting and naval intelligence services company located on the web at www.amiinter.com