In 2020, Malaysian authorities have introduced that the Royal Malaysian Navy’s Maharaja Lela-class frigates or Littoral fight ships (LCS) undertaking encountered some delays. The Malaysian Ministry of Defence (Kementerian Pertahanan Malaysia) awarded the undertaking to BHIC in 2011 and at the least two vessels ought to have been delivered by 2020 however not one of the ships delivered but as 2020. The Ministry of Defence is contemplating two choices to resolve the delayed RM9 billion LCS undertaking by Malaysia’s state-owned Boustead Heavy Engineering Company (BHIC).
The primary possibility is BHIC must proceed the development of the primary of two ships so the federal government can resolve it. The second possibility is the federal government will ask the DCNS (the unique designer) to finish the ships however this feature was rejected by the parliament. Pangkor assemblyman, Datuk Seri Dr Zambry Abdul Kadir had mentioned about 200 distributors and contractors will shut down and 10,000 staff will affected if LCS program proceed to delay. On 5 Might 2021, the Malaysian authorities determined that it will retain BHIC as the category’ shipbuilder.
Commercial
Earlier this month, Janes reported that BHICis searching for to problem an Islamic bond value as much as RM4 billion ($962 million) to help its programme to assemble six Maharaja Lela (Gowind)-class Littoral Fight Ships (LCS) for the Royal Malaysian Navy. BHIC CEO Sharifuddin Md. Zaini Al-Manaf instructed Janes that the funding can be raised via the sukuk securities system, an interest-free finance mechanism akin to standard bonds.
The Maharaja Lela-class frigates (Littoral fight ships, LCS) is a category of six stealth frigates being constructed for the Royal Malaysian Navy. The ships are based mostly on an enlarged model of the Gowind-class corvette, designed by DCNS (now Naval Group) of France. The contract has been finalised and it has been determined that each one six ships shall be constructed by native shipbuilder BHIC at a ceiling worth of RM9 billion (US$2.8 billion), ranging from 2015. The ships shall be 111 metres (364 ft 2 in)s lengthy with a displacement of three,100 tonnes (3,100 lengthy tons).
