Defense Secretary Delfin N. Lorenzana has signed the P30-billion contract for the procurement of six offshore patrol vessels (OPVs) from Hyundai Heavy Industries, which the defense chief said would complete the Duterte administration’s wish list under the military’s modernization program.
Lorenzana inked the acquisition contract on Monday with the vice chairman and president of the South Korean company at the Department of National Defense (DND), saying during a news briefing on Tuesday that the country gained much more out of the deal as it comes with donation of a warship.
The contract to build and deliver the six OPVs for the Philippine Navy was earlier eyed with Australian shipbuilder Austal, which has an assembly plant in Balamban, Cebu, but was scuttled by the DND after Austal raised the contract amount to P42 billion due to other costs.
Austal, in its effort to save the project, bargained to stick with the original amount, but will only build and deliver five OPVs instead of the six as required, prompting the DND to look for other contractors.
Hyundai, as the new contractor of the Navy project, will not only deliver the six OPVs but will also donate to the Navy a Poohang class corvette that had been used by the South Korean Navy, which Lorenzana said was a plus for the country. Hyundai also beat Turkish contractor AFAST for the project.
The OPVs measure 94.4 meters long, 14.3 meters wide, with a displacement of 2,400 tons, maximum speed of 22 knots, cruising speed of 15 knots and a range of 5,500 nautical miles.
A news statement issued by the DND, through its spokesman Arsenio Andolong, said the OPV project will further enhance the “maritime patrol capabilities” of the Navy, and would include “technology transfer, particularly human engineering operators and maintenance training of equipment, operations training and a design ownership, granting the Philippine Navy a license to manufacture/build using the OPV’s design for the exclusive use of the Philippine government.”
Andolong said a lifetime service support contract was also signed for the sustainment of the Jose Rizal class frigates.
“The OPV project was prioritized under the Second Horizon of the Revised AFP Modernization Program, as approved by President Rodrigo Roa Duterte in May 2018. This is the culmination of months of careful study by the Department of National Defense, as endorsed by the Philippine Navy,” the DND said.
Hyundai has built the two frigates of the Navy and is also the contractor of the Navy’s two brand-new corvette project.
Meanwhile, a contingent from the Navy is already in Haifa, Israel and has attended on Sunday the launching of two of the Navy’s Fast Attack Interdiction Craft (FAIC), Navy spokesman Cdr. Benjo Negranza said on Tuesday.
The team was represented by the crew of one of the vessels that will be soon named as BRP Lolinato To-Ong.
Commodore Alfonso Torres Jr., chairperson of the pre-delivery inspection team, and Commodore Roy Vincent Trinidad, chairperson of the project management Team of the FAIC Acquisition Project, led the contingent in witnessing the launch of the new ships at the Israel Shipyards Limited port, according to Negranza.
Torres acknowledged Israel’s role in the success of the Navy’s Multi-Purpose Assault Craft (MPAC) program.
“[Israel] paved the way for the FAIC Acquisition Project, [which] includes a complete transfer of technology, a first of its kind in our defense cooperation,” Torres said.
“This project enables the Philippine Navy to make a ‘leap-frog’ approach in strengthening our littoral defense capability in the areas of warfare, sustainment, and technical knowledge,” he added.
Negranza said the launching followed the conduct of the pre-delivery inspection of the two vessels from June 27 to June 30.
The Navy has ordered eight FAICs from Israel, which it eyed as replacements for all of its decommissioned patrol killer medium (PKM) vessels.
The Navy has used the PKMs for maritime interdiction operations.
Four of the FAICs will be built in Israel while the other four will be assembled in Cavite. The eight vessels have a contract price of P10 billion.
Image credits: DND