MANILA (PNA) -- The contract for the Philippine Navy's two missile-armed frigates is now being finalized, Department of National Defense (DND) public affairs office chief Arsenio Andolong said Monday.
Once the contract is finalized, it will be signed by DND Secretary Delfin Lorenzana and the duly authorized representative of the winning proponent, Hyundai Heavy Industries (HHI), he added.
"Notice of Award (NOA) was formally served to HHI last Aug. 4. Once the formal contract is signed, it will be followed by a Notice to Proceed, which will be formally served to the proponent," Andolong said.
"NOA was given to HHI as GRSE (Garden Reach Shipbuilders and Engineers Ltd) was post-disqualified after it was determined that their Net Financial Capacity was insufficient and therefore not in compliance with Republic Act 9184 (Government Procurement Policy Board)," he added.
GRSE along with HHI was one of the six proponents in the DND's frigate program.
In the NOA, HHI offered PHP15,744,571,884 for the two frigates.
The DND has allocated the sum of PHP18 billion for the acquisition of two missile-capable frigates, with PHP16 billion going to the construction of the ships and PHP2 billion for its munitions.
The ships will be armed with a variety of sensors and weapons capable of detecting and neutralizing air, surface, and submarine threats.
It will be also capable of electronic warfare.
Aside from this, the frigates, according to their technical specifications, must be capable of performing extended maritime patrol with an embarked naval helicopter and maritime surveillance through air-and-surface-search radar, sound navigation and ranging (sonar) for sub-surface search.
It will be armed and fitted a variety of air-to-air, anti-ship, and anti-submarine weapons.
(PNA)
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