Naval Offshore Patrol Vessels of Indian Navy and Coast Guard : Updates & Discussions

Milspec

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If he works out something else for the other companies in debt, the govt will save RNEL since it's of strategic importance.

Well Anil Bhai's Reliance Asset Reconstruction company could be used to liquidate RNEL, but the irony would be too cruel. I was watching something on news channels where contractors of RNEL haven't been paid in the last couple of years or something, and those Patrol ships still haven't been handed over to the navy.
I hope the Navy doesn't have to take RNEL to NCLT now.
 

randomradio

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Well Anil Bhai's Reliance Asset Reconstruction company could be used to liquidate RNEL, but the irony would be too cruel. I was watching something on news channels where contractors of RNEL haven't been paid in the last couple of years or something, and those Patrol ships still haven't been handed over to the navy.
I hope the Navy doesn't have to take RNEL to NCLT now.

The delay with the ship is pretty normal, and the IN withdrew bank guarantee last year. So the actual delay is not a lot anyway.
 

Milspec

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The delay with the ship is pretty normal, and the IN withdrew bank guarantee last year. So the actual delay is not a lot anyway.
Well then that's pretty good news, so when is the expected commissioning?

I was just looking at the market cap of Reliance Naval, it's 81.14 cr (dropped 15x in a year), literally less value than some apartments in Mumbai. Revisit this thread for a year ago and read through some of your own assertions, I am sure you will find it amusing.

Reliance Naval’s eligibility question holds up warship orders worth Rs 63,000 crore (Rs 630 billion)
 

randomradio

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Well then that's pretty good news, so when is the expected commissioning?

I was just looking at the market cap of Reliance Naval, it's 81.14 cr (dropped 15x in a year), literally less value than some apartments in Mumbai. Revisit this thread for a year ago and read through some of your own assertions, I am sure you will find it amusing.

Reliance Naval’s eligibility question holds up warship orders worth Rs 63,000 crore (Rs 630 billion)

Who knows when the commissioning is. What I do know is Reliance's achievements in shipbuilding far surpasses that of the DPSUs that took decades to reach the level where they can design and build their own ship. AFAIK, they are currently delayed by a year. So, for a first timer, a delay of one year is peanuts compared to the always delayed DPSUs.

Google Earth shows 4 ships out of 5 ordered in Pipavav. So the project itself is going quite well. They will only get better after this.
 

Milspec

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Who knows when the commissioning is. What I do know is Reliance's achievements in shipbuilding far surpasses that of the DPSUs that took decades to reach the level where they can design and build their own ship.
 

Gautam

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Govt issues show-cause notice to Reliance Naval after encashing all bank guarantees in patrol vessel contract

Rajat Pandit | TNN | Updated: Feb 11, 2020, 08:19 IST
1581431875279.png


NEW DELHI: In fresh punitive action against the Anil Ambani-promoted Reliance Naval and Engineering Limited (R-Naval) for its failure to deliver five naval offshore patrol vessels (NPOVs) under a Rs 2,500 crore deal, the government has issued a show-cause notice to the debt-ridden company and encashed all its different bank guarantees worth around Rs 980 crore.

Defence ministry sources on Monday said R-Naval will have to explain within a month why the contract inked in May 2011, under which the five 2,000-tonne NPOVs were to be delivered from 2014-2015 onwards, should not be cancelled forthwith.

“Not a single NOPV has been delivered till now. The government’s interests had to be secured by encashing the different bank guarantees collectively worth Rs 980 crore, which will cover all the advances given in the deal. It was done a few days ago,” said a source.

R-Naval had earlier been taken to the National Company Law Tribunal (NCLT) by the IDBI Bank for debt-resolution, with the latter also recently filing an application to initiate insolvency proceedings against the company. A Reliance official, on being contacted, did not offer any immediate comment to the development.

R-Naval had inherited the contract for the NOPVs, the largest such warship deal awarded to the private sector, after it acquired Pipavav Defence and Offshore Engineering Company Ltd, which had gone under heavy debt, in 2015.

The work at the Pipavav shipyard in Gujarat had earlier come to a grinding halt but there was some progress after R-Naval took over the reins, with the first two NOPVs, Shachi and Shruti, being “launched” in July 2017.

The patrol vessels, armed with 76mm super-rapid gun mount systems along with two 30mm AK-630M guns, were supposed to be tasked with surveillance of the country’s vast Exclusive Economic Zone as well as anti-piracy patrols, coastal security operations and protection of shipping lanes.

R-Naval had also announced grandiose plans of constructing even bigger warships and submarines for the Indian Navy as well as servicing and repairing warships of the US Navy’s Seventh Fleet stationed in Japan. But no such plans have actually materialized on the ground.

In December 2018, the then Navy chief Admiral Sunil Lanba had dismissed any talk of “preferential treatment” being given to R-Naval, stressing that some of its bank guarantees were being encashed as a penalty against failure to deliver the OPVs in time. “The encashing of all the bank guarantees has taken place now, along with the decision to issue the show-cause notice,” said the source.

Govt issues show-cause notice to Reliance Naval after encashing all bank guarantees in patrol vessel contract | India News - Times of India
 
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Ashwin

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Govt issues show-cause notice to Reliance Naval after encashing all bank guarantees in patrol vessel contract

Rajat Pandit | TNN | Updated: Feb 11, 2020, 08:19 IST
View attachment 14216

NEW DELHI: In fresh punitive action against the Anil Ambani-promoted Reliance Naval and Engineering Limited (R-Naval) for its failure to deliver five naval offshore patrol vessels (NPOVs) under a Rs 2,500 crore deal, the government has issued a show-cause notice to the debt-ridden company and encashed all its different bank guarantees worth around Rs 980 crore.

Defence ministry sources on Monday said R-Naval will have to explain within a month why the contract inked in May 2011, under which the five 2,000-tonne NPOVs were to be delivered from 2014-2015 onwards, should not be cancelled forthwith.

“Not a single NOPV has been delivered till now. The government’s interests had to be secured by encashing the different bank guarantees collectively worth Rs 980 crore, which will cover all the advances given in the deal. It was done a few days ago,” said a source.

R-Naval had earlier been taken to the National Company Law Tribunal (NCLT) by the IDBI Bank for debt-resolution, with the latter also recently filing an application to initiate insolvency proceedings against the company. A Reliance official, on being contacted, did not offer any immediate comment to the development.

R-Naval had inherited the contract for the NOPVs, the largest such warship deal awarded to the private sector, after it acquired Pipavav Defence and Offshore Engineering Company Ltd, which had gone under heavy debt, in 2015.

The work at the Pipavav shipyard in Gujarat had earlier come to a grinding halt but there was some progress after R-Naval took over the reins, with the first two NOPVs, Shachi and Shruti, being “launched” in July 2017.

The patrol vessels, armed with 76mm super-rapid gun mount systems along with two 30mm AK-630M guns, were supposed to be tasked with surveillance of the country’s vast Exclusive Economic Zone as well as anti-piracy patrols, coastal security operations and protection of shipping lanes.

R-Naval had also announced grandiose plans of constructing even bigger warships and submarines for the Indian Navy as well as servicing and repairing warships of the US Navy’s Seventh Fleet stationed in Japan. But no such plans have actually materialized on the ground.

In December 2018, the then Navy chief Admiral Sunil Lanba had dismissed any talk of “preferential treatment” being given to R-Naval, stressing that some of its bank guarantees were being encashed as a penalty against failure to deliver the OPVs in time. “The encashing of all the bank guarantees has taken place now, along with the decision to issue the show-cause notice,” said the source.

Govt issues show-cause notice to Reliance Naval after encashing all bank guarantees in patrol vessel contract | India News - Times of India
Anil should cash out this and Dassault JV before it's too late.
 

Gautam

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Anil should cash out this and Dassault JV before it's too late.
Anil Ambani is like that guy who makes one bad bet after the other but never looses enthusiasm for one more bad bet.:ROFLMAO::ROFLMAO:
Although, I liked the design of the ship. Encashing is one thing but we need those boats. Who will make those ships now ? Mukhesh bhai ?
 

_Anonymous_

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Who knows when the commissioning is. What I do know is Reliance's achievements in shipbuilding far surpasses that of the DPSUs that took decades to reach the level where they can design and build their own ship. AFAIK, they are currently delayed by a year. So, for a first timer, a delay of one year is peanuts compared to the always delayed DPSUs.

Google Earth shows 4 ships out of 5 ordered in Pipavav. So the project itself is going quite well. They will only get better after this.
@Milspec

I think this should be his pinned post. What's your take on this?
 

CountryFirst

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Anil Ambani is like that guy who makes one bad bet after the other but never looses enthusiasm for one more bad bet.:ROFLMAO::ROFLMAO:
Although, I liked the design of the ship. Encashing is one thing but we need those boats. Who will make those ships now ? Mukhesh bhai ?

Atleast he is a man of integrity and pays up loans as much as possible by business men standards and doesn't run off like Nirav Modi and Vijay Malya.
 

Gautam

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Atleast he is a man of integrity and pays up loans as much as possible by business men standards and doesn't run off like Nirav Modi and Vijay Malya.
The unfortunate reality is that no matter what he does he will forever be compared to his big brother not with someone else. Side effects of having a successful peer.
 

CountryFirst

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Dec 11, 2017
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The unfortunate reality is that no matter what he does he will forever be compared to his big brother not with someone else. Side effects of having a successful peer.

I find him inspiring. I like that he never looses the spirit. And I do consider him talented but lacking funds.
 

GuardianRED

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Dec 2, 2017
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Anil Ambani is like that guy who makes one bad bet after the other but never looses enthusiasm for one more bad bet.:ROFLMAO::ROFLMAO:
Although, I liked the design of the ship. Encashing is one thing but we need those boats. Who will make those ships now ? Mukhesh bhai ?
Make the ships??

At lease 4 hulls have been floated !!!!.... what will they do with them if one cancels the order?

Indian-Navy-NOPV.jpg
 
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Ashwin

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Indian naval shipbuilder Reliance Naval and Engineering Limited (RNEL) has confirmed that it has received notification from the Indian Ministry of Defence (MoD) to terminate its construction of offshore patrol vessels (OPVs) for the Indian Navy (IN).

The company said in a recent stock exchange filing that the MoD's "show cause notice" outlined a requirement to "terminate the contract related to five Naval OPVs". RNEL said it will take "all the necessary steps and actions to protect its rights including arbitrary invocation of bank guarantees".

RNEL also confirmed that the company is currently undergoing a "corporate insolvency resolution process" under an order in January passed by India's National Company Law Tribunal (NCLT).

Reliance points to possible termination of OPV project
 

_Anonymous_

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Reliance will have to sell the shipyard to someone with more money. Maybe then MoD will look into it again. Two other private companies may be looking into getting into the business.
@Milspec , pls note. Since you do speculate in stocks, I wonder sometimes if you engage with randomradio here only to do the opposite of what he pronounces while trading.
 
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