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Military


BAE OPV

In 2007-8 VT Shipbuilding International was awarded a contract for three Offshore Patrol Vessels to Trinidad & Tobago. The design of these highly versatile offshore patrol vessels is based on the proven River Class ships in service with the Royal Navy. Their ability to accommodate a diversity of roles makes them an attractive option to Trinidad & Tobago Coast Guard. This followed the work the Company’s engineers have been undertaking for the past three years to the support the two interim vessels that BAE Systems provided to the Trinidad & Tobago Coast Guard in 2007.

The Ocean Patrol Vessels are capable of speeds in excess of 25 knots and weigh 2,200 tonnes fully loaded. With a 30mm cannon and two 25mm guns, as well as a helicopter flight deck and a rigid inflatable boat, the ships are ideal for performing maritime security roles in Brazil’s territorial waters. Designed to accommodate a crew of up to 70, with additional accommodation for 50 embarked troops or passengers and ample deck space for container storage, the vessels are also effective for search and rescue and disaster relief operations.

The first ship was constructed at the BAE Systems Portsmouth facility and the other two at its shipyard on the Clyde. The ships are part of a contract to build, integrate, test and commission three 90m Offshore Patrol Vessels for the Trinidad & Tobago Coast Guard which will be used for a range of Economic Exclusion Zone management tasks, from disaster relief operations to tackling drug runners. BAE Systems will provide maintenance and in-service support to the ships for the next five years, while the UK Ministry of Defence is providing technical advice, quality assurance and operational sea training for the 60 man crews.

At a time when BAE Systems sought to boost export opportunities, the highly versatile offshore patrol vessels, based on the proven River Class ships in service with the Royal Navy, were able to accommodate a diversity of roles making them attractive to other navies around the world. The deal with Trinidad and Tobago was supported with aid from the UK government, as the ships were seen as helpful to intercepting Caribbean drug-runners and in emergency relief operations in the area.

The Trinidad & Tobago program included the fabrication and delivery of 17 superstructure units with a total weight of 400 tons inclusive of transportation frames. They were installed on three new build offshore patrol vessel’s (OPV) at BVT’s yards. The complexity of this project included incorporating the creation of a build strategy and developing erection methods which complied with new building regulations. Material thicknesses ranged from 4 to 43mm and units 13 and 16 for each vessel were a combination of a steel structure joined to an Aluminium funnel structure incorporating quality standards surpassing Lloyd’s regulations and the introduction of new weld procedures.

Fabrication and building ship sections for three 90m new build Offshore Patrol Vessel’s for the Trinidad & Tobago Coast Guard was at A&P Group’s Tyne yard. This consisted of 4 units for ship 1, first of class, 9 units for ship 2, second of class and 4 units for ship 3, third of class. On project completion the client stated “each unit fitted perfectly with the assembled units in the assembly yard” which highlighted A&P’s attention to detail and proven quality record. A&P Tyne Project Director Iain Campbell commented: “The dedication and skill of the workforce is further highlighted after the completion of this project."

The Ocean Patrol Vessels were originally ordered from Vosper Thorneycroft in 2007, but the company was running late with construction at the time its shipbuilding arm merged with BAE Systems in 2008. The deal with Trinidad and Tobago was supported with aid from the UK government, as the ships were seen as helpful to intercepting Caribbean drug-runners and in emergency relief operations in the area. The launch of San Fernando 16 July 2010 came eight months after the launch of the first and second ships in the class and this, along with Scarborough’s departure for final trials, demonstrated BAE's commitment to delivering these ships to the Government of the Republic of Trinidad and Tobago.Scarborough, the second of three Offshore Patrol Vessels built by BAE Systems for the Trinidad & Tobago Coast Guard, successfully completed sea trials off the west coast of Scotland o7 August 2010 and was on track to be delivered in October.

The contract was terminated in 2010. Two of the boats were constructed on the Clyde and the other at Portsmouth. The cancellation of the order in September 2010 meant the ships had been berthed at Portsmouth awaiting a sale to another buyer.

BAE Systems on 14 November 2012 reached a settlement in its long-running dispute with Trinidad and Tobago over a cancelled offshore patrol boat order. The settlement brought to a conclusion a disagreement that arose when Trinidad cancelled an order for the three boats following cost overruns and delays. The decision in 2010 came so late in the development phase of the contract that one of the three boats was ready to be delivered, prompting BAE to take a £100m charge.

T&T PM's statement on the successful settlement of the OPV arbitration with BAE Systems November 19, 2012: "The nation can feel duly proud and relieved on the historic and successful settlement of the OPV arbitration which has resulted in the payment of close to $1.4 billion ($1.39 billion) to the people of Trinidad and Tobago. This is a significant and important legal victory for our nation in many ways.

"The government assumed office in May 2010, it inherited an OPV project that was riddled with difficulties:

  • OPV 1 was already overdue by one year; and
  • OPV 2 was three months late.
  • there were major issues and deficiencies with the OPVs
  • Overall, there were serious obstacles to the proper execution and implementation of this project.

"The former administration tolerated and accepted the unreasonable and inordinate delays. I was of the view that while the government should respect and honour its contractual commitments, we should equally insist on compliance with the contract by BAE consistent with the country’s rights under the OPV contract.

"The government took a strong stand in this matter: I was not prepared to compromise the nation’s interest any further. We refused to sign a supplemental agreement negotiated by the former administration that would have had the effect of condoning the prolonged delay in exchange for liquidated damages. Today, I feel vindicated by the decision I took, as we have been able to repel a $700 million claim against our country and emerge victorious with a settlement of $1.4 billion.

"While many appear to be shell-shocked by the positive result – we are not. There is no “secret deal”, or hidden, undisclosed, future cost or supplemental agreement; the $1.4 billion represents full and final settlement without the government having to pay any money to BAE. The settlement will not only mean that we will be able to repay the OPV loans we inherited but shall also provide a surplus $340 million which can be utilized for the benefit and upliftment of our people.

"When I instructed the Honourable Attorney General to fight this arbitration, I did so with the full knowledge that Trinidad and Tobago, as a small country, was about to take on one of the largest and most powerful military defence corporations in the world. I was, however, guided by the principles of law, truth and fairness and firm belief in our competence to settle the matter in our nation’s favour.

"While critics poured scorn on the fact that we dared to challenge an international military organisation, Trinidad and Tobago can stand proud today that your government successfully defended the nation’s rights. This isn’t a political victory; it is an undeniably positive result for every citizen.

"I am proud and satisfied that this matter has been amicably resolved and wish to pay tribute to the Attorney General, Anand Ramlogan, for his dedication and commitment to this matter. He played an important role throughout and appeared as a witness for Trinidad and Tobago in the arbitration. I also wish to thank the dedicated public officers and members of the Defence Force who stood with the government for our country in this hour of need. Without their support, this result would not have been possible.

"I express my gratitude to the Cabinet as well for the unity, strength and vision in this matter. Our commitment to the pursuit of justice has once again been vindicated and the national interest has been best served."

The Brazilian Navy signed a contract 02 January 2012 worth £133 million with BAE Systems for the supply of three Ocean Patrol Vessels and ancillary support services. The contract also contained a Manufacturing Licence to enable further vessels of the same class to be constructed in Brazil.

The three 90 metre vessels, originally constructed for the Government of Trinidad & Tobago, will provide the Brazilian Navy with enhanced maritime capability in the near term, pending the acquisition of future ships under its PROSUPER programme (Brazil’s current surface ship acquisition plan). The first two ships were delivered in 2012 and the third followed in early 2013.

As part of the Manufacturing Licence, a Design Information Package was provided which will contain the relevant design and manufacturing information to enable the Brazilian Navy to construct further Ocean Patrol Vessels in Brazil, helping to support the country’s naval re-equipment program and strengthen Brazil’s maritime industrial capability.





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