Lumut Naval Town, Malaysia: Boustead Heavy, Eurocopter , Rheinmetall team up

Lumut Naval Town, Malaysia: Boustead Heavy, Eurocopter , Rheinmetall team up
www.contraves.com.my

Boustead Heavy, Eurocopter , Rheinmetall team up

Their JV company is setting up aircraft maintenance, repair and overhaul facility in Subang

GEORGE TOWN: Boustead Heavy Industries Corp Bhd (BHIC) is expanding into the aircraft maintenance, repair and overhaul (MRO) business following its latest agreement with Eurocopter Malaysia Sdn Bhd.

BHIC executive deputy chairman and managing director Tan Sri Ahmad Ramli Mohd Nor said in an interview that about RM50mil to RM100mil had been allocated for the MRO facility that was being developed at the new Subang Helicopter Centre.

Ramli was speaking on the sidelines of the 11th Langkawi International Maritime and Aerospace Exhibition 2011 (LIMA 11), where the agreement was inked on Dec 7.

“We hold 51% in the joint-venture company, BHIC AeroServices Sdn Bhd, formed with Eurocopter.

“We will operate soon from a temporary facility at Terminal 3 in Subang Skypark, while a permanent one is being developed at the new Subang Helicopter Centre.

“The new facility would provide maintenance services for commercial and military aircraft,” he said.

In another development, Ramli said BHIC's new joint-venture company,Contraves Advanced Devices Sdn Bhd, had yesterday signed an agreement with Rheinmetall Defence Electronic GmbH to make aerospace electronics of ISO 9100 standard.

The agreement includes a comprehensive technology transfer programme and investment in new state-of-the-art facilities for aerospace electronics manufacturing.

“Under the first phase of the project, Contraves would work with local small and medium enterprises to make housing and mechanical components.

“The second phase will deliver 180 production shipments to confirmed European customers.

“Subsequent phases are planned for the new A400M aircraft orders, to expand the scope to include the manufacture of Airbus 330 and A380 aircraft electronics sub-assemblies,” he said.

The value of the two initial phases is likely to exceed RM100mil, while the value of the subsequent phases may be more than RM500mil.

Contraves is a joint venture between BHIC Defence Technologies Sdn Bhd and Rheinmetall Air Defence AG.

Future business for CONTRAVES

The business developments toward our high technology future will start in 2012, and the following is an indication (ie not an exhaustive list) of the new business that has been secured for Contraves. 

• Airbus Electronic Subsystem Manufacturing: Last week Contraves signed an agreement with Rheinmetall for a multi-phase project to manufacture electronic subassemblies for Airbus A400M, A380 and A330 aircraft. The first phase of the program will be to manufacture PCBAs and to undertake a development program so that we can manufacture aerospace cables, source specialised components and subcontract the manufacture of housings, and then integrate the systems to ISO9100 standard. I cannot overstate the important of getting our quality processes to the highest standard for the manufacturing of these aircraft systems - I am quite sure that none of you and your family do not want to fly on an aircraft that has any component that is not assured to be of the best quality. It will soon be the case that many aircraft will fly with components manufactured by Contraves, so please consider the responsibility that places on all of us to get our manufacturing right. 

• Soldier Combat Training Centre Systems: Contraves has been selected to manufacture many thousands of sensor vests and associated electronic systems for a vast soldier combat training centre being delivered by Rheinmetall to customers in Europe and the Middle East. This will require some specialised PCBA manufacturing and assembly, and the systems will be required to operate in temperatures below -40deg to more than 50deg, and in mud and sand. Our manufacturing quality must be of the highest standard as these customers will not tolerate failures, even when operated in such harsh conditions. Contraves will also participate in the development phase where our sourcing and engineering teams will become part of the project definition. Full production will start in early 2013. 

• Reconnaissance and Surveillance Systems: Contraves has been selected by Vinghoek of Norway (a Rheinmetall group company) to source and manufacture complex surveillance system control electronics, and to integrate the complete electro-optic systems, initially for customers in Norway and Malaysia. This will require an additional investment in complex optical test equipment and specialised training of engineers to integrate and align the sensitive electro-optic sensors. This investment paves the way for Contraves to manufacture other electro-optic systems, including those from Rheinmetall in Bremen that are world leaders in this technology. This manufacturing capability does not presently exist in Malaysia, and is extremely rare outside of Europe and North America. Vinghoek is willing to make this investment because they believe that we have the potential to reach these technically very challenging standards. Project definition and basic training will start in 2012, with pre-production activities commencing in 2013. Full production will start from 2014.

• Second Generation Patrol Vessel: Contraves has teamed with a number of major defence contractors to manufacture and integrate the sensor, weapon and combat systems for Malaysia's Second Generation Patrol Vessel to be build by Boustead. Our scope will include the overall systems integration of the complete combat system under the leadership and guidance of DCNS, France's leading naval systems company that designs and builds everything from aircraft carriers to nuclear ballistic missile submarines. We will also manufacture subassemblies and undertake full system integration of the missile launcher systems, surveillance radars, fire control radars, optronic systems, sonars and combat management system for the six ships in a project that will last ten years. The program includes a vast technology transfer program with enormous opportunities for all of you to develop your career. 

• New Industrial Customers: We have also secured ABB as a customer and this manufacturing work will start in early 2012. We are also in negotiation with a number of other suppliers to expand our existing customer base. The industrial business will continue to be pursued to ensure that we retain a balanced mix of industrial, aerospace, and defence from different parts of the world. 

At last, after LIMA 2011 disappointing awaiting for announcement of SGPV contract, today its in STAR Biz new.

Saturday December 17, 2011

Boustead Naval Shipyard gets RM9bil contract

KUALA LUMPUR: The Defence Ministry has awarded Boustead Naval Shipyard Sdn Bhd a RM9bil contract to design, build and deliver six second-generation patrol vessels, or littoral combat ships (Frigate Class).

Boustead Heavy Industries Corp Bhd (BHIC) said in a statement to Bursa Malaysia that the contract awarded to its associate, Boustead Naval Shipyard, would be implemented over three Malaysia Plans, 10, 11 and 12.

The delivery of the ship was expected in 2017, with follow-on ships every six months thereafter, it said.

It said the contract would have no material effect on the earnings of BHIC for the current financial year ending Dec 31, but would contribute positively to the future earnings of the group.

None of the directors nor substantial shareholders of BHIC or persons connected with it had any interest, direct or indirect, in the contract, it said.

video coverage -LIMA 2011

BH Online - Lima 2011 coverage

Business for CONTRAVES : Contract sign between BHIC and RHEINMETALL AG

CONTRAVES AND RHEINMETALL TO MANUFACTURE AIRBUS ELECTRONICS IN MALAYSIA

Contraves Advanced Devices Sdn Bhd  (Contraves) and Rheinmetall Defence Electronics GmbH (RDE) of Germany have entered into an agreement for the manufacture of Airbus A400M Cargo Loading System electronic subassemblies. The agreement includes a comprehensive technology transfer program and investment in new state of the art facilities for aerospace electronics manufacturing.

In the first phase of the project Contraves will establish a dedicated facility in Malaysia for the manufacture of aerospace electronics to ISO 9100 standards, and will undertake a vendor development program with local SMEs for the manufacture of housing and mechanical components. The second phase will deliver 180 production shipments for confirmed European customers with associated spares. Subsequent phases are planned for expected new A400M aircraft orders, to expand the scope to include the manufacturing of Airbus A330 and A380 aircraft electronics subassemblies, and to establish a regionally oriented MRO for aircraft cargo loading systems.

The value of the initial two phases of the project will likely to exceed RM100m, and if all options are exercised the value of the subsequent phases will exceed RM500m over ten years.

RDE is part of Rheinmetall Defence and is one of Germany's leading defence technology companies for surveillance, fire control and command systems, guided weapon platforms, training and simulation systems, UAVs, and aircraft systems. It is a Tier 1 supplier to Airbus for the design and supply of aircraft cargo loading systems. Rheinmetall AG is an MDAX company listed on the German Stock Exchange.

Contraves is a joint venture company between Boustead Heavy Industries Corporation Berhad and Rheinmetall Defence. The JV Agreement envisages the development of Contraves from an industrial electronics manufacturer to a diversified, high value manufacturer and integrator of aerospace and defence electronics. These aims are consistent with Malaysia's Economic Transformation Program.

LIMA 2011

Here I come again :- new Organization, old faces. Will be under BHIC booth, displaying our new NEOSS from RDE , which will be manufacturer in Melaka for our new SGPV.

We also will display most information on our manufacturing activities, naval services activities and future plan of Contraves.

Will post more information and photo later.

See you in LANGKAWI