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Significant Navy spend for NZ secured

18 October

Government tendering service secures significant Navy spend for NZ

New Zealand Trade and Enterprise’s (NZTE) Industry Capability Network (ICN) unit are looking for New Zealand companies capable and ready to help build seven new vessels for the Royal New Zealand Navy.

The search is on after ICN signed a relationship agreement with Tenix Defence Pty Ltd, Australia securing a minimum $110m worth of work to be carried out in New Zealand on the $500m Ministry of Defence (MOD) Project Protector.

Tenix was awarded the $500m Project Protector contract to build the ships in July 2004 with the last expected to be delivered by December 2007.

Industry Capability Network Director, Harold Williams, says six of the seven ships will have a large component built in New Zealand with four 55 metre, 340-tonne Inshore Patrol Vessels completely built and launched in Whangarei.

“This project represents a significant opportunity for New Zealand companies to participate in this major Defence Vessel project. While Tenix have committed to $110m worth of work coming to New Zealand companies, our suppliers need to be prepared to offer competitive prices alongside high quality products.”

Items that may be sourced from New Zealand include fabricated products ranging from stairs, bunks and other fitted internal fittings and furnishings as well as Rigid Hull Inflatable Boats and external fittings and components of the vessels’ mission system. Some modules of the vessels’ superstructure will also be built in Whangarei.

ICN has been working with the Ministry of Defence on Project Protector for nearly two years and has identified New Zealand industry capability for the five prime tenderers for Project Protector.

“Now that a contract with Tenix has been signed the next stage for the ICN is to assist in identifying potential local sub-contractors for the build phase of the Project.

“ICN will draw upon its extensive understanding of local industry capability to assist Tennix in identifying potential suppliers for the $110m New Zealand supply agreement.

“ICN’s goal is to help significantly exceed this $110m target. We encourage capable New Zealand companies to contact us so we can assess them and refer them on to Tenix where appropriate,” Harold Williams says.

ICN are a business unit of NZTE responsible for maximising opportunities for New Zealand companies in Government purchasing and in major New Zealand projects.

The seven new ships will be operated by the Royal New Zealand Navy. In addition to military tasks they will be extensively used by other government agencies to carry out their duties. These agencies include; New Zealand Customs, The Department of Conservation, Ministry of Agriculture and Forestry, Ministry of Foreign Affairs and Trade, Ministry of Fisheries, Maritime Safety Authority of New Zealand and New Zealand Police.

ENDS

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