Finmeccanica And Fincantieri Take Seven-Vessel Order For Italian Navy Fleet Renewal Plan

By Vessels

Both Finmeccanica and Fincantieri have been appointed to construct and subsequently equip the vessels designed for the purposes of the Italian Navy fleet renewal plan.

Finmeccanica And Fincantieri Take Seven-Vessel Order For Italian Navy Fleet Renewal Plan

In accordance to the lines of the plan, OCCAR (Organisation Conjointe de Cooperation sur l’Armement, meaning the international organization for cooperation on arms) has agreed upon and signed a contract regarding the building of six patrol ships (PPA, meaning Multipurpose Offshore Patrol Ship), with a set option for constructing an additional four along with one logistic support vessel (LSS meaning Logistic Support Ship) with the consortium (Raggruppamento Temporaneo di Impresa – RTI) in the face of Fincantieri, agent, and Finmeccanica, via its subsidiary of Selex ES, principal.

The seven-unit contracts’ value is roughly a total of €3.5 billion out of which Finmeccanica has a share of approximately €1.2 billion and Fincantieri respectively has around €2.3 billion.

The above-mentioned contracts come along with different phases of activation. Today, OCCAR has initiated the 1st phase regarding the building of the first PPA as well as the logistic support unit, which in total amount to €372 million, out of which Finmeccanica accounts for a €152-million share and Fincantieri for a €220-million one. The next phases for the other appointed vessels are expected to be activated at some point during the following months.

The logistic support unit has been scheduled for delivery in 2019 and the first patrol ship should be delivered at some point during 2021. The other patrol vessels have been scheduled for delivery in 2022, 2023, with two units being delivered in 2024, and the last one in 2025.