NGV Tech wins work with Daewoo shipbuilder

KUALA LUMPUR, Malaysia, Dec. 16 (UPI) -- Malaysian shipbuilder NGV Tech has signed a contract with Daewoo Shipbuilding & Marine Engineering to construct two 250-foot training and patrol vessels for the Malaysian navy.

"In the period of 24 months, we will collaborate to design, build and deliver the naval vessels," NGV Tech Executive Chairman Datuk Zulkifli Shariff said.


"DSME will do the design. The vessel blocks will be transported to Malaysia and we will start joining it together at our 24-hectare shipyard in Sijangkang," Shariff said.

NGV Tech was founded in 1992 and is based in the city of Telok Panglima Garang, in the state of Selangor on the west coast of the Malaysian peninsula. Sijangkang is on the coast of Selangor.

The company offers design, fabrication, installation as well as repair and maintenance services for all type of ships including buoy tender vessels, offshore crew boats, patrol craft, landing craft, harbor tugs, hydro-graphic craft and strike craft.

NGV Tech builds around 40 ships annually in Sijangkang, generating around $160 million in revenues, a statement from NGV Tech said.

But the contract with South Korean firm Daewoo is NGV Tech's "maiden project" for the Malaysian navy, Shariff said. Each vessel will be worth $48 million-$58 million to NGV.


The company is also in direct discussions with the navy to design a 515-foot, multi-role support ship that could cost $380 million-$415 million. "We will start the retail design as per the requirements of the RMN and once orders have been confirmed, we can start building immediately," Shariff said.

Malaysia continues to expand its naval fleet, including with recent arrivals of two Scorpene submarines. The contract between the Malaysian government and French shipbuilders DCNS for the two Scorpenes, as well as associated logistics and training, was signed in June 2002.

The KD Tunku Abdul Rahman, the first Malaysian submarine reached its homeport in September 2009 and its sister ship, the KD Tun Razak, arrived last July. Malaysian navy classification for the two 210-foot vessels is Perdana Menter.

They have a maximum operating depth of 1,150 feet and a submerged speed of more than 20 knots. Their operational endurance is 50 days with six torpedo tubes for 18 torpedoes or missiles, according to analysts at

Main suppliers for the ships include Calzoni for naval handling and aviation lighting; Cloudis for cabling and planning software; L-3 Communications ELAC Nautik for sonar, echosounders and underwater communications; and Schneider Electric for energy management.


Chile and India have also ordered Scorpenes from DCNS.

In July, Daewoo Shipbuilding and Marine Engineering won a $436 million order to build four very large crude carriers. Delivery of the ships to Malaysia's American Eagle Tankers is scheduled for October 2013, a Daewoo statement said.

AET is a unit of Malaysian petrochemicals shipper MISC.

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