SAMI signs SAR 3.7 bln military deal with Spanish firm

SAMI Navantia Naval Industries (SAMI-Navantia) signed a SAR 3.7 billion contract with Spanish shipbuilder Navantia to collaborate on combat system integration (CSI) on the Avante 2200 corvettes for the Saudi navy.

SAMI-Navantia is a joint venture between Saudi Arabian Military Industries (SAMI) and Navantia S.A., Saudi Press Agency reported.

It was signed at SAMI’s booth on the sidelines of the Defense and Security Equipment International 2019 exhibition at London’s ExCeL convention center.

“This will provide a strong foundation for long-term cooperation between SAMI and Navantia,” Navantia S.A. chairwoman, Susana de Sarria, said.

The contract will contribute to industry localization, transfer of technology and creating job opportunities, she added.

The deal will also contribute to developing the Kingdom’s defense system through the localization of up to 60 percent of the industry, in-line with Vision 2030, which aims to nationalize 50 percent of the total military expenditure by 2030.

“The partnership agreement represents an achievement for SAMI-Navantia as the company is embarking on a historic journey with the objective of helping realize Saudi Arabia’s ambitions related to localizing the military and defense industries, transferring technology to the Kingdom, and creating new jobs as envisaged in the Saudi Vision 2030,” SAMI-Navantia CEO, Antonio Rodriguez-Barberan, said.

The contract will focus on integrating the combat system into the new vessels, system engineering and architecture, hardware design, software development, testing and verification, prototyping, simulation, and modeling, as well as logistical support and training programs.