BAE Systems wins 134 mln stg from UK's MoD to transfer frigates to Chile
09.08.2005, 07:27 AM
LONDON (AFX) - Defence group BAE Systems PLC said it had won a 134 mln stg contract from Britain's Ministry of Defence to prepare and transfer three former Royal Navy Type 23 frigates to the Chilean Navy.
BAE said its customer solutions and support (CS&S) division would work with the UK Defence Logistics Organisation and UK industry to prepare HMS Norfolk, HMS Marlborough and HMS Grafton for transfer.
Preparation of each ship and crew training is expected to take about eight months and the last vessel will be delivered in 2008.
The government said yesterday that, following negotiations with the Chilean government and BAE, all three parties were now in a position to sign an agreement to sell the ships to Chile.
Ministers said last year that they plan to cut destroyer and frigate numbers to 25 from 31 as part of a restructuring of UK naval capabilities.
Group managing director of BAE's CS&S division, Ian King, said: 'This latest contract is excellent news for BAE Systems and excellent news for UK industry, providing work and sustaining important capabilities in the country's defence industrial base.'
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