Pipavav Defence joins hands with Russia's JSC to refit submarines

New Delhi: Pipavav Defence and Offshore Engineering today announced the signing of a multi-crore agreement with Russia-based JSC Ship Repairing Centre Zvyozdochka for medium refits and life certification of eight EKM 877 submarines in India. Pipavav, in which Anil Ambani-led Reliance Group is in the process of acquiring a majority stake, proposes to execute the program under a joint venture, with 51 percent stake, consistent with Ministry of Defence regulations, a company statement said.[caption id=“attachment_2115273” align=“alignleft” width=“380”]  An Indian Navy submarine. Ibnlive image[/caption] This will also mark the first time the work for refit of submarines was being considered for the private sector in India. The indicative value of work proposed to be undertaken by the proposed JV is approximately Rs 11,000 crore, it said. The company said that the skills and experience developed by the JV will position Pipavav favorably for undertaking similar work for large submarine forces of similar class deployed by countries like Algeria, Vietnam and Iran, with potential additional revenues of approximately Rs 20,000 crore. Under the terms of the agreement, Zvyozdochka will provide complete technical assistance and support to the JV, including inter alia for enhancement of infrastructure at the Pipavav facilities, training of engineers among others. Pipavav technicians will also be closely associated with the first Refit to be carried out in Russia, it said. “Refit and modernisation of submarines is an ongoing need for our Blue Water Navy. PDOC and Zvyozdochka are deeply committed to playing an enabling role towards enhancing Naval preparedness, which is vital for our national security,” a spokesperson for Pipavav Defence & Offshore Engineering Co. Limited (PDOC) said. A refit in India has several advantages, the most important being savings on transportation costs to Russia and back, and the enhanced operational availability of the submarines for thousands of additional hours by avoiding the downtime in transporting them to Russian and back. Zvyozdochka, founded in 1954, is the premier ship repairing centre in Russia. It undertakes repair and upgrade of warships and submarines of the Russian Navy. So far, it has undertaken upgradation and refurbishment of more than 120 submarines and 90 warships. The Zvyozdochka team had conducted a survey of all shipyards in India, both in the public and private sector, and selected PDOC as its partner on the basis of the available world class infrastructure and declared commitment of Anil Ambani-led Reliance Group to transform PDOC into the leading naval and defence shipyard in the country, the statement said. India currently has a fleet of 9 EKM class submarines. Of these, 8 were bought during 1986-1990 and have completed 25 years of designed service life. Refit and life extension will provide an additional 10-15 years of operational life bringing in great relief to the Navy, facing serious depletion in its underwater assets due to delays in new inductions. Defence sources said Zvyozdochka has informed the Integrated Headquarters of Ministry of Defence (Indian Navy) about selection of PDOC as its Indian Partner for the Medium Refit and Life Certification of EKM 877 submarines in India. Pipavav is also in talks with Russian authorities for a possible tie-up to build India’s next three state-of-the-art frigates. PTI