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SOUTH KOREAN FIRM DAEWOO TO BID ON INDONESIAN SUBMARINE DEAL.

AsiaPulse News

| June 08, 2009 | COPYRIGHT 2009 Asia Pulse Pty Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

JAKARTA, June 8 Asia Pulse - South Korea's Daewoo International Corp. (KSE:047050), said Sunday it plans to bid for a contract worth about $1.2 billion to build two diesel-powered submarines for Indonesia.

Daewoo International said it will submit specifications to supply two 1,400-ton diesel electric Type-209 submarines to Jakarta.

The hulls of these vessels could cost $350 million apiece with critical sonar and combat management systems pushing the total price to $600 million.

The ships to be built are a modified version of the Chang Bogo class currently in service in the South Korean Navy.

Seoul operates nine such vessels that were built in the country using designs provided by Germany's Howaldtswerke-Deutsche Werft (HDW).

The company, which has been at the forefront of South Korea's arms exports, said winning the bid could open a new chapter for the country.

"The two vessels are equivalent to the country selling 70,000 automobiles and would be the first time South Korea has exported submarines," a Daewoo executive in Jakarta said.

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Source: HighBeam Research, SOUTH KOREAN FIRM DAEWOO TO BID ON INDONESIAN SUBMARINE DEAL.

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