Cabinet decides on 'mutual termination' with company supposed to supply three OPVs but only managed to deliver one


PUTRAJAYA: A “mutual termination” will be used following the failure of a ship building company failing to deliver two of the three promised Offshore Patrol Vessels (OPV) for the Malaysian Maritime Enforcement Agency (MMEA), says Datuk Seri Saifuddin Nasution Ismail.

The Home Minister, when met at the National Registration Department headquarters here after an appreciation ceremony, said that the Cabinet had agreed to the matter following the company only delivering one ship, KM Tun Fatimah, which was also behind schedule.

"The Cabinet has decided on a mutual termination agreement with the company. This decision was made because the government had spent over RM600mil and injected another RM152.6mil just to complete a single vessel.

"So we must proceed with the project, and we need to find a solution to ensure that the MMEA, as the end user, receives the ships it requires to safeguard our maritime borders,” he said.

Previously the government had signed an agreement with THHE Destini in 2017 to supply three OPVs to the MMEA.

The vessels were initially scheduled for delivery in 2022.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Next In Nation

Melaka polls: Pakatan to maintain 21-seat contest, says Fahmi
Foreigner held over alleged assault, damaging property at Genting casino
Five falling-tree incidents hit Selangor in one evening, six vehicles affected
Melaka polls: Barisan and Perikatan will run with ‘one machinery, one manifesto’
Barisan and Perikatan formalise cooperation with MoU
Melaka polls: MCA incumbents to defend Klebang, Machap Jaya
Embassy in Madrid yet to confirm if Malaysians involved in high-speed rail crash
Over 350kg in pangolin scales seized in Negri Sembilan raid
Over 4,000 jobs expected from 27 approved data centre projects
Tech advancement must not sideline faith, morals and culture, says PM

Air Pollutant Index

Note: API is calculated based on 24hr running average of the most dominant parameter.

Highest API Readings

    Select State and Location to view the latest API reading

    Others Also Read