POSCO Daewoo secures ship-building materials deal with Indonesia

POSCO Daewoo has signed a memorandum of understanding (MOU) with Indonesian shipbuilder PT. Pal to export $150 million worth of materials, the Korean firm said Thursday.

Once the MOU is put into effect, the Indonesian firm will use the materials ― including main engines ― to build 10 patrol boats and one combat support ship for the Indonesian navy and related parties.

“Our past business performance has been acknowledged to the point of making this deal,” POSCO Daewoo CEO Kim Young-sang said. “We will expand the deal into exporting materials to serve more diverse purposes including marine platforms, fishing boats and ferries.”

From 2006 to 2010, POSCO Daewoo, the trading arm of Korean steelmaker POSCO, transferred shipbuilding technologies to PT. Pal for two of four medium-to-large multi-purpose vessels the firm was commissioned to build for the Indonesian navy. Since 2014, the Korean firm has been supplying materials for two of the same vessels the Indonesian firm is building for the Philippines navy.
Source: KTimes