Babcock International Group PLC Preferred bidder for Royal Navy support contract (2574B)
April 03 2017 - 1:00AM
UK Regulatory
TIDMBAB
RNS Number : 2574B
Babcock International Group PLC
03 April 2017
03 April 2017
Babcock International Group PLC (Babcock or the Group)
Babcock's down-selection as preferred bidder for key Royal Navy
support contract
Babcock, the UK's leading engineering support services company,
has been selected as preferred bidder for all four elements of a
Ministry of Defence programme, potentially worth in the region of
GBP360m over seven years, to become Marine Systems Support Partner
(MSSP) for the Royal Navy's new Queen Elizabeth Class (QEC)
Aircraft Carriers and Type 45 Destroyers.
Subject to contract, Babcock, with the support of our key
support partners, will become the Systems Technical Authority for
the platform and propulsion systems on both classes of vessel. As
Systems Technical Authority, Babcock will manage the technical
configuration of those systems, manage obsolescence issues and work
with the equipment suppliers to develop and manage system upgrades.
MSSP includes all power and propulsion systems including gas
turbines, diesel engines, electrical distribution and platform
management systems as well as a variety of on-board systems,
including air conditioning, filtration, waste management, valves
and pumps, fire-fighting equipment, highly mechanised equipment,
lifts, cranes and refuel-at-sea capabilities. As part of MSSP,
Babcock will also supply spares and in-service support to mitigate
the risks to maritime equipment availability arising from routine
maintenance and unforeseen in-service failures.
Drawing on our strong existing relationship with the Royal Navy
and our role in the Aircraft Carrier Alliance, Babcock is perfectly
placed to deliver a safe, cost effective and flexible solution that
puts the maintainer at the heart of in-service support and
equipment provision.
Babcock's successful down-selection for all four elements of
MSSP comes shortly after the news that the company has secured a
seven year contract from the Ministry of Defence, valued at up to
GBP70m, for all six Maritime Equipment Consumables (MEC)
packages.
Under the new MEC contracts Babcock will provide a supply
management capability to ensure that the consumable spares needs
and requirements of Royal Navy ships and submarines are met and
will have overall responsibility for project, quality, risk,
obsolescence and performance management.
Babcock's position on MSSP and the contract for MEC have been
made possible by our significant investment in the creation of a
dedicated Equipment Management Operations Centre (EMOC) at the
company's Marine facilities in Bristol. EMOC enables Babcock to
deliver an impressive combination of suitably qualified experts,
tailored processes and refined software solutions which improve
material planning and enable 80% of regular equipment orders to be
completed using an automated system. The addition of the Systems
Technical Authority for MSSP will further enhance the EMOC's
capabilities and will create further opportunities in the UK and
internationally.
Babcock Chief Executive Archie Bethel said: "Our selection as
the MoD and Royal Navy's partner for MSSP and MEC represents a real
vote of confidence in our capabilities and performance as the Royal
Navy's key support partner. This has been a highly successful year
for our EMOC team and we look forward to supporting the iconic
Queen Elizabeth Class aircraft carriers as they are delivered into
service".
Enquiries
Babcock International Group
PLC 020 7355 5300
Franco Martinelli
Gulshen Mahinder
FTI Consulting 020 3727 1340
Nick Hasell
This information is provided by RNS
The company news service from the London Stock Exchange
END
CNTFMGFFVMGGNZM
(END) Dow Jones Newswires
April 03, 2017 02:00 ET (06:00 GMT)
Babcock (LSE:BAB)
Historical Stock Chart
From Apr 2024 to May 2024
Babcock (LSE:BAB)
Historical Stock Chart
From May 2023 to May 2024