PH procurement of 6 naval vessels from Aussie firm still 'under negotiations' — Australian envoy
By Roy Mabasa
Australian Ambassador to the Philippines Steven Robinson AO on Thursday confirmed that negotiations are still ongoing between the Department of National Defense and Austal, a world-renown Australian defense contractor and shipbuilder, for the procurement of AUS$600 million worth of six naval offshore patrol vessels (OPVs).

Robinson said the ongoing discussion is strongly supported by the Australian government and is part of the Armed Forces of the Philippines’ modernization plan.
“We are having an ongoing discussion with the Department of National Defense as part of their modernization program and we would like to contribute to that in a meaningful way,” the Australian diplomat said in an interview over CNN Philippines Thursday, May 20.
A ranking Philippine Navy official earlier confirmed that the procurement of the OPV from Austal has been already approved as part of the AFP’s Horizon 2, or the second tier of the military’s modernization plan subject to the availability of funds.
Under the Horizon 2 tier, the AFP is acquiring fast-attack interdictor craft missile (FAIC-M), landing docks, air search radars, and other external defense equipment. The OPVs are expected to replace the World War II ships that were earlier retired by the PN.
It was earlier reported that Defense Secretary Delfin Lorenzana considers the Australian shipbuilder, which has a shipyard in Balamban Cebu, “at the forefront of the Navy's OPV procurement program”.
During the television interview, Ambassador Robinson reaffirmed Australia’s strong support to the Philippines through their existing Memorandum of Understanding on defense cooperation and the Status of Forces Agreement (SoFA).
Aside from the possible supply of naval offshore vessels, Robinson said Austal is also negotiating with Korean giant shipbuilder Hanjin for the operation of the Subic shipyard.
The Australian top diplomat in Manila said the Hanjin facility is a world-class facility which would be an “enormous boon” to any company that would be seeking to expand its business in the Philippines.