×

Maintenance Repair & Overhaul Space Air Cargo

Home- Stories

PT PAL gets $250 million to build submarines

: Feb 24, 2014 - : 11:20 pm

pt-pal-sub

State-owned shipbuilder PT PAL Indonesia will get up to US$250 million in state capital injection (PMN) under a multi-year project for the development of submarines to support the nation’s defense system.

Of that amount, $180 million will be channeled this year, according to Deputy Finance Minister Bambang Brodjonegoro at a hearing with lawmakers at the House of Representatives on Monday, Februaqry 17, 2014.

Bambang added that out of the $250 million given to PAL, $150 would be used for the construction of the shipyard, $30 million for “consultation” and that $70 million would be spent on personnel, such as experts and technicians.

The PMN will be included in the revised state budget (APBN-P) for 2014 and the State-Owned Enterprises (BUMN) Ministry will oversee the matter.

To develop the submarines, PAL will work with South Korean shipbuilder Daewoo Shipbuilding and Marine Engineering (DSME).

Based on the contract between DSME and the Indonesian Defense Ministry in 2011, PAL’s shipyard must be completed and ready by November 2014.

The contract also states that the first two submarines will be built completely at a DSME plant in South Korea and that the third submarine will be built completely by PAL in Indonesia through the transfer of technology and knowledge.

Although the project is already running behind schedule, Navy chief of staff Adm. Marsetio claimed that the submarines built at the DSME plant were expected to be completed by 2017, while the one to be built by PAL was predicted to be completed by 2019 or 2020.

MORE NEWS

Headquartered in Singapore with reporters spread across all major regions, GBP Aerospace & Defence is a leading media house that publishes three publications that serve the aerospace and defence sector - Asian Defence Technology, Asian Airlines & Aerospace and Daily News. Known industry-wide for quality journalism, GBP Aerospace & Defence is present at more international tradeshows and exhibitions than any other competing publication in the region.
For over three decades, our award-winning team of reporters has been producing top-notch content to help readers stay abreast of the latest developements in the field of commercial aviation, MRO, defence, and Space.

Popular Posts

Copyright 2023. GBP. All Rights Reserved.

Home Defence & Security Space Commercial Aviation Maintence Repair & Overhaul Daily News Events About Us

z-index: 9999; /* Ensure the ad is on top of other elements */