Saudi Military Industries signs warships JV, corvettes with Spain’s Navantia

SAMI has signed a JV Agreement for the design and construction of five Avante 2200 corvettes, above, with the Spanish state-owned shipbuilding company Navantia. (Courtesy Navantia)
Updated 19 July 2018
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Saudi Military Industries signs warships JV, corvettes with Spain’s Navantia

  • The program will start this autumn with the last unit to be delivered by 2022
  • The contract will generate 6,000 direct and indirect jobs for five years

RIYADH: State-owned Saudi Arabian Military Industries (SAMI) signed an agreement with Spain’s Navantia to set up a joint venture in the Kingdom to build five warships, the state news agency SPA reported on Thursday.
The deal is part of a wider framework agreed in April by Spain and Saudi Arabia for Spanish state-owned shipbuilder Navantia to supply warships to the Gulf Arab state under a deal estimated to be worth around 1.8 billion euros ($2.2 billion).

SPA said the agreement between SAMI and Navantia was for the design and construction of five Avante 2200 Corvettes under a program that would start this autumn, with the last unit due to be delivered by 2022. It gave no value for the deal.
In line with the contract, SAMI said the joint venture would “localize more than 60 percent of ships combat systems works,” including installation and integration in the Saudi market, perfectly aligned with the Kingdom’s Vision 2030, by localizing 50% of total military spending by 2030.
The contract will generate 6,000 direct and indirect jobs for five years, as follows: 1,100 direct jobs, more than 1,800 from the auxiliary industry, and more than 3,000 indirect jobs generated by other suppliers.
In this respect, the JV will focus on program management and combat system integration and installation, system engineering, system architecture, hardware design, software development, testing and verification, prototyping, simulation, modelling, and through-life support.
Ahmed Al-Khateeb, Chairman of Saudi Arabian Military Industries, said: “SAMI remains committed to being a key enabler of the Saudi Vision 2030, and the establishment of this Joint Venture with Navantia will localize more than 60% of ship combat systems work including, installation, and integration, which contribute to the Kingdom’s objective to be at the forefront of shaping the local military industries ecosystem. We will continue to explore collaborations and leverage partnerships that meet our key mandate to localize more than half of the Kingdom’s total military spending.”
Esteban Garcia Vilasanchez, Chairman of Navantia, said: “Navantia is very happy with the signature of this contract that means a starting point for the collaboration with Saudi Arabia. Navantia is committed to contributing to Saudi Vision 2030 and will support the country in this endeavour. The JV between SAMI and Navantia is an opportunity to develop capabilities in the country and jointly explore future opportunities.”
For the Avante 2200 contract, the JV will be responsible, among others, of supplying the Combat System of all five ships. Corvettes 4th and 5th will be finalized and delivered to the Kingdom of Saudi Arabia, where the JV will do the installation, integration and test of the complete Combat System.

Saudi Arabia’s top sovereign wealth fund, the Public Investment Fund (PIF), launched SAMI last year as part of a government plan to diversify the economy, reduce reliance on oil export revenues and create jobs.
SAMI aims to contribute more than 14 billion riyals ($3.7 billion) to the country’s gross domestic product by 2030, according to SPA.


Saudi border guards rescue French passenger from Red Sea cruise ship

Updated 19 April 2019
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Saudi border guards rescue French passenger from Red Sea cruise ship

JEDDAH: Saudi border guards rescued a French female tourist on Friday after she broke her leg on board a cruise ship in the Red Sea.
The 85-year-old was aboard the Costa Luminosa off the coast of south-west Saudi Arabia when the Maritime Rescue Coordination Center in Jeddah received an emergency call from the King Abdulaziz International Airport’s search and rescue center, saying the women needed emergency medical attention.The details of the message was passed to the Saudi Arabia Border Guards.
The border guard’s vessel Al-Lith was sent to meet the cruise ship near Al-Qahma, in the Kingdom’s south-western Asir region.
Lt Col. Misfer Bin Ghanam Al-Qarni, border guards spokesman, said the patient was transferred to Jazan, where she was then taken to Prince Mohammed Bin Nasser Hospital by ambulance.
The Costa Luminosa, which was traveling from Salalah in Oman toward Aqaba in Jordan, continued on its voyage.