Delivery Dates for MMEA Extended to 2022

SHAH ALAM: Delivery dates for MMEA OPV extended to 2022. Destini Bhd today announced that the government had agreed to extend the delivery dates of the three OPVs being built by the THHE/Destini joint venture.

This means that the first OPV – Tun Fatimah- will only need to be delivered by February, 2022 instead of October, this year as under the contract. The ship is targetted to be launched by late August, two months after the date that MMEA had stated previously will be the time it will take delivery of it. By agreeing to the extension the government may well allow THHE/Destini JV not pay any late delivery charges.

The first MMEA OPV at her slipway at the THHE Fabricators yard in Pulau Indah in November 2020.

Destini announcement to Bursa

Reference is made to the Company’s announcements made on 27 October 2016, 30 November 2016, 8 December 2016 and 19 January 2017 respectively.

Destini Berhad (“Destini” or “the Company”) wishes to update that the Government of Malaysia vide its letter dated 17 November 2020 has approved an extension of time for the supply, delivery, testing and commissioning of three (3) units of Offshore Patrol Vessels (“OPV”) C/W fitting and accessories for Malaysian Maritime Enforcement Agency (“Contract”) (“EOT”) with effect from 23 August 2020 to 22 August 2022. The average current progress of the works for the OPVs is approximately 74%.

In view of the EOT above, delivery dates for the 3 OPVs initially scheduled on 22 October 2021 for OPV 1, 22 April 2022 for OPV 2 and 22 August 2022 for OPV 3 have been extended to 22 February 2022, 22 April 2022 and 22 August 2022 respectively. Launching for the OPV1 which works in progress has reached 89.5% is targeted to be by the end of August 2021.

This announcement is dated 6 April 2021.

The announcement did not say why the company sought the extension but Malaysian Defence had previously reported on it. It is likely the pandemic had impacted the build as the statement stated that the extension letter was received in November last year though it is unclear why Destini waited almost five months before making it public.

Another view of the obstacles that is preventing the ship from being launch directly.

I was told in early February that the ship was supposed to be launch in early March but alas, it was scrubbed just a few days before that date. I was told that the debris that blocked the original launch dates last year was the main reason for the scrubbed launch. It is likely that the problems would be solved in late August for the launch. The delay in launching the first OPV also have knock-down effects on the second and third OPVs, which is now scheduled to be delivered to MMEA on the second and third quarters of 2022.

Tun Fatimah at its launch cradle in late February 2021. Malaysian Defence via source

The only silver lining in this episode is the fact that the end date of the project is clearly stated (22 August 2022) unlike the still unknown for the LCS.


— Malaysian Defence

If you like this post, buy me an espresso. Paypal Payment

Share
About Marhalim Abas 1607 Articles
Shah Alam

15 Comments

  1. Ohh… everyone thumbs up when it say it will deliver last year, however due to debris near the shipyard + covid-19… so what is the issue now?

  2. Funny isnt it..nothing is going right now..This announcement make this project 2 years late..Just another thing for others (you know who) to make mockery out of us..Sigh..Lcs super late..This Opv project supposedly ‘better’ but still 2 years late..Oh ya dont even dream of batch 2!!

  3. So much for building Malaysia’s in house defence industry..No need to sugarcoat it we just not up there yet in building naval and equivalent ships..

  4. Hahaha my hunch is right..Thats it just buy further ship if any from original shipyard..Stop with this national interest bs

  5. I thought someone told us not to have negative vibes here and we should support the local industry or whatnot.

  6. For what it’s worth, just buy off- the- shelf like buying IKEA furniture. The idiot admirals and generals as proxies of the corporate and governmental gold-diggers are at it again. Lo and behold, the government yet again, gave these same goblins room to breathe and milk the system. 😒

  7. @Taib
    And that is why having generals and admirals forming a quarter of the Parliament would have been a bad, BAD idea. Similar to all other politicians, they won’t be taking care of national interests, only their own. Having them around would screw us even more with less accountability. Just look at Thai & Myanmar politics with these such a bloc.

  8. With everyone here being frustrated and mad on the extension, if we read what Marhalim had quoted, the extended date is only for the first ship and not the entire program. So the entire program seems to be in schedule even with the first ship being late. I’ll take that as a success if indeed all 3 will be delivered by August 2022

  9. Taib – “idiot admirals and generals as proxies of the corporate”

    It’s not as if Malaysia is the only place where ex senior military officials are hired for their knowledge and networking abilities.

    Also; if indeed “idiot admirals and generals” are able to engage in questionable practices; it’s our highly flawed system which enables/allows it …

    I for one happen to know of a few ex Generals who post retirement really put in a lot of effort and pride to provide value added services to the MAF.

    Taib – “d, the government yet again, gave these same goblins room to breathe and milk the system”

    No kidding …..

    It was the government who in the first place created the system ….

    Local companies acting as agents; enabling them to gain revenue : all under the illusion and delusion it actually benefits the country; but then this topic has been done to death.

  10. @Azlan @joe
    We then have a chicken and egg blame game here. No use trying to assign blame to whom in the current situation. The whole pie has turned into a ‘fruit cake’. A right mess.
    @joe. My take on a parliament with a quarter of its members from the armed forces stems from the fact that Indonesia has such a set-up. No guesses whose the Defence Minister there too. An ex General with a dubious human rights record. If we go ‘that’ way, perhaps, MinDef can buy all the toys it needs…. If we go ‘that’ way …

  11. Taib,

    As I have pointed out; there are no quick and fast solutions. It will take a concentrated and apolitical approach – with a lot of soul searching and deep thinking – to undo the rot that has set in as a result of a policy which has gone badly wrong.

  12. There is no need for the armed forces to participate in politics. The civil gov is capable enough. All that is required is review the system. Defence equipment except for local maintenance where a local company to perform the job for the manufacturer is essential should be bought gov to gov nego. Dont go through 3rd parties.
    Identify only proven local yards that can perform the job n deliver if need to built local.
    But most important civil gov must only have the nations intetest in mind n not their personal interest in mind. Any nation will suceed if the interest of the nation is put up front n not personal interest trumping national interest.
    My 2 cents

  13. Taib,

    It’s a complete different environment in Indonesia.

    The TNI occupies a place in public psyche and is a national institution in a way the MAF is not; due to history and other factors. Quite a few politicians are ex military and the TNI has still has a lot of political pull in the way the MAF doesn’t.

Leave a Reply

Your email address will not be published.


*