Hanwha Ocean Wins KRW 680 Billion Thai Frigate Deal, Raising Hopes for Three More Orders

[Financial News] Hanwha Ocean said on the 9th that it had been selected as the preferred bidder for the Royal Thai Navy’s next-generation frigate acquisition project. The Thai navy plans to expand its fleet to as many as eight frigates, raising expectations that Hanwha Ocean could win additional orders in the future.
According to Hanwha Ocean, the selection as preferred bidder is a procedure for negotiating conditions such as technical specifications and the scope of the project before the final contract. In effect, it is the step toward finalizing the contract. The frigate construction and integrated logistics support project announced by the Thai navy is valued at KRW 683.3 billion, or THB 16.73 billion.
The Thai navy has drawn up a plan to increase its fleet of high-performance frigates from the current four to eight by 2037. Expectations are growing that Hanwha Ocean could secure orders for up to three additional frigates, starting with this construction project. That was why global defense companies from Spain, Singapore and Türkiye initially participated in the bidding.
Hanwha Ocean said, "During the detailed negotiations, we will carefully coordinate the conditions needed to build a vessel that satisfies both the Royal Thai Navy and Hanwha Ocean by ensuring the stable execution of the project. We will use this selection as the preferred bidder as an opportunity to strengthen the foundation for long-term maritime defense cooperation with Thailand."
Hanwha Ocean’s selection as the preferred bidder was driven by the trust built during its earlier frigate construction project. In 2018, when it was still Daewoo Shipbuilding & Marine Engineering, Hanwha Ocean delivered the 3,700-ton Bhumibol Adulyadej-class destroyer, HTMS Bhumibol Adulyadej, to the Thai navy. Damage to the ship’s engine had emerged as a potential complication, but Thailand chose Hanwha Ocean on the strength of their deep-rooted trust.

[email protected] Yoon-ho Kim Reporter