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Wednesday, March 1 2000
Norway
picks Bazan and Lockheed Martin for frigate program
Norway's Ministry of Defense has selected the team led by shipbuilder
Empresa Nacional Bazan (E.N. Bazan) of Spain to provide the
Royal Norwegian Navy with a new frigate designed to protect the
country against subsurface, surface and air threats. Bazan is
teamed with Lockheed Martin.
Minister of Defense Elbjorg Lower said
Bazan/Lockheed Martin twill build five frigate- sized ships under
the program. The first will be delivered to Norway in 2005. The
value of the program is $1.4 billion. Approval by the Norwegian
Parliament is required before a contract can be signed.
Members of the Bazan team include Lockheed
Martin Naval Electronics & Surveillance Systems (NE&SS),
Moorestown , NJ and several Norwegian companies including
- Kongsberg Defense and Aerospace AS (KDA),
- Umoe, and
- Mjellum & Karlsen.
Lockheed Martin will provide the integrated
weapon system (IWS) to the frigate and Norwegian industry will
provide key elements of the IWS to the team.
Lockheed Martin's integrated weapon system
bid is based on the U.S. Navy's Aegis combat system, for which
Lockheed Martin serves as prime contractor and engineering design
agent. Other notable elements of the integrated weapon system
solution include a frigate-size version of the SPY-1 radar, which
is the heart of the Aegis system and the MK 41 Vertical Launching
System, the below-deck missile launching system designed and
developed by Lockheed Martin and deployed on U.S. Navy ships
and those of allied nations.
Lockheed Martin's role in the Norwegian
New Frigate program is valued at approximately $500 million.
Fincantieri sells Wärtsilä
NSD stake to Metra
The 15.4% stake in Wärtsilä NSD held by Fincantieri
Cantieri Navali Italiani S.p.A. was transferred to Metra Corporation
yesterday . The acquisition price was Euros 100 million (which,
these days is more or less $100 million).
Metra, a Finnish public company whose other
major components include Imatra Steel., is now the 100% owner
of Wärtsilä NSD. The cooperation between Fincantieri
and Wärtsilä NSD will continue in Italy, where Wärtsilä
NSD is a major supplier of marine engines to Fincantieri's shipyards.
EC
approves Finnish aid scheme for ice classed domestic ships
The European Commission has decided that a Finnish scheme for
interest subsidy for vessel acquisitions is compatible with the
rules on aid to shipbuilding. The scheme allows Finland's Ministry
of Transport and Communications to grant interest subsidy for
loans taken for the acquisition of new cargo vessels ordered
by Finnish shipping companies in 2000. The ships must be used
primarily for carrying Finnish export and import cargo by sea.
They must be built to ice duty class 1 A super requirements and
fulfil certain safety and environmental requirements. The interest
subsidy is 3% and the loan amount subsidized musdt not exceed
50% of the acquisition cost of the vessel.
The scheme is considered as operating aid
to shipbuilding but was considered io be in accord with European
Council Regulation 1540/98 on State aid to shipbuilding.
Box
ship order for Brazilian yard
Alianca Navegacao has reportedly placed a R$180mil ($101.8 million)
contract with Brazil's Estaleiro Ilha (Eisa) for two 4,000 TEU
full containers ships. The ships will be used by Alianca for
services between South America, Europe and the U.S.
Electric Boat gets $55 million
Navy contracts
The U. S. Navy has awarded General Dynamics Electric Boat submarine
engineering and life-cycle support contracts work worth up to
$55 million.
The largest of the awards -- $38.3 million
-- will provide for design, engineering, material and logistics
support for the Trident program. The award also supports work
at Puget Sound Naval Shipyard to backfit older Trident submarines
to accommodate D-5 missiles, and missile-tube maintenance at
Kings Bay, Ga.
Sixty percent of the work will be performed
at Groton; 11 percent at the Newport engineering office and Quonset
Point facility, both in Rhode Island; 13 percent at Bangor, Wash.;
and 5 percent at the Washington, D.C., engineering office.
Under the terms of the other award, Electric
Boat will perform $4.2 million worth of planning work in support
of Selected Restricted Availabilities (SRA) scheduled for USS
Dallas (SSN-700) and USS Pittsburgh (SSN-720) in 2001. The option
to perform the maintenance and upgrade work at the New London
submarine base will be worth $12.4 million, bringing the total
potential value for the SRAs to $16.6 million.
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