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MPAC (Batch 4) Combat System and Capability Upgrade Project of the Philippine Navy

The MPAC (Batch 4) Combat Systems and Capability Upgrade Project of the Philippine Navy involves the acquisition of two separate items for the MPAC (Batch 4) acquisition project that was tendered separately and won by Propmech Corporation - Lung Teh Shipbuilding Co. Ltd.

The PN's MPAC Weapon Systems as shown installed on the MPAC Mk. III. Photo c/o Baomai.com 
Project Summary:

MPAC (Batch 4) Combat Systems and Capability Upgrade Lot 1 - Weapon Systems Acquisition


Note: Edited as of 05 October 2019.

* End User: Philippine Navy (Littoral Combat Force)

* Quantity: 3 systems


* Modernization Phase: Horizon 2 Phase Priority Project of RAFPMP

* Project ABC:
 Php662,000,000.00 

Acquisition Mode: Government-to-Government (G2G) between Philippine Department of         National Defense and Israel Ministry of Defense

* Source of Funding
GAA Funds through AFP Modernization Program Trust Fund

* SARO Release: SARO-BMB-D-18-0012925 dated 31 May 2018, released 01 June 2018.

* Winning Proponent: Rafael Advance Systems Ltd.

* Contract Price: Php662,000,000.00

* First post by MaxDefense: TBC

* MaxDefense Searching Hashtag: #PNMPACBatch4CombatSystems

* Status: Delivery scheduled by early 2020.

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MPAC (Batch 4) Combat Systems and Capability Upgrade Lot 2 - Mission Essentials Equipment and Integrated Logistics Support

Note: Edited as of 05 October 2019.

* End User: Philippine Navy (Littoral Combat Force)

* Quantity: 1 lot


* Modernization Phase: Horizon 2 Phase Priority Project of RAFPMP

* Project ABC:
 Php60,000,000.00 

Acquisition Mode: Public Bidding

* Source of Funding
GAA Funds through AFP Modernization Program Trust Fund

* SARO Release: SARO-BMB-D-18-0012925 dated 31 May 2018, released 01 June 2018.

* Winning Proponent: Propmech Corporation

* Contract Price: Php59,991,888.00

* First post by MaxDefense: TBC

* MaxDefense Searching Hashtag: #PNMPACBatch4CombatSystems


* Status: Mission Essential Equipment delivered as by September 2019. Installation of Weapon Systems to be done in 2020, dependent on completion of Lot 1.

Project Overview:

Lot 1 covers the Weapon System, which will be installed on the MPAC Batch 4 once the boats are accepted by the Philippine Navy with an ABC of Php662 million;

Lot 2 covers the Mission Essentials Equipment and Integrated Logistics Support (ILS) for the MPAC (Batch 4) boats, with an ABC of Php60 million.

As of 2018, only the Lot 2 is ready for tendering with documents made available by the Department of National Defense (DND). Meanwhile Lot 1 is still reserved and undergoing pre-procurement development phase with the Philippine Navy's Technical Working Group (PN TWG) for the said project.

Based on the Technical Specifications for Lot 2, it involves several items that appears to be not included in the MPAC (Batch 4) acquisition project. This includes:

* Installation of the weapon systems (Rafael Typhoon MLS-ER launcher, Mini Typhoon 12.7mm Machine Gun System, and ISTEC Swing Arms for the two M60 7.62mm general purpose machine guns), 

* Supply and installation of radio communications systems,  
* Supply and installation of NIJ Level 3 Ballistic Protection on certain parts of the boats, 
* Supply and installation of jump seats for passengers
* Integrated Logistics Package.


The same technical specifications also confirmed that the Philippine Navy is again after the acquisition of the Rafael Spike-ER short range surface-to-surface missile, Typhoon MLS-ER missile launchers, and the Mini Typhoon 12.7mm MGS. These can only happen through a Government-to-Government (G2G) transaction between the Philippines and Israeli defense departments, the same way the weapon systems for the MPAC Batch 3 were acquired.

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U P D A T E S:
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31 May 2018:

The Department of Budget and Management (DBM) released a new SARO, with reference no. SARO-BMB-D-18-0012925 dated 31 May 2018 worth Php722,000.000.00 covered the MPAC (Batch 4) Combat Systems and Capability Upgrade.


The budget fits the description MaxDefense received on the budget allocation for both Lots 1 and 2, with Php662,000,000.00 going to Lot 1 for Weapon Systems, and Php60,000,000.00 allocated to Lot 2 for the Mission Essentials Equipment and ILS.

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19 July 2018:

The deadline for bid submission, and bid opening for the Lot 2: Mission Essentials Equipment and ILS acquisition project proceeded on 19 July 2018 as scheduled.

Only Propmech Corporation submitted a bid for the project, wherein they submitted their offer worth worth Php59,991,888.00, which is a little over Php8,000.00 lower than the ABC.

Propmech will undergo the Post Qualification Inspection (PQI) as the next step, and would need to pass to avoid the tender from failing and a rebidding to happen.


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30 August 2018:

MaxDefense received confirmation that Propmech Corporation was declared the Single Calculated Responsive Bidder for the Lot 2 acquisition project tender. This is after Propmech passed the Post Qualification Inspection (PQI) made by the PN TWG and DND BAC.

A Notice of Award (NOA) is expected to be released soon, as this is a priority project considering the boats are already under construction and could be available for delivery by 2019. Preparation is needed for Propmech Corp. to be able to order the needed equipment and provide enough lead time for the delivery to be made.


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11 September 2018:

As expected, the DND has indeed released the Notice of Award (NOA) in a very short time (less than 3).

Contract signing is expected to happen either within September or October 2018, in line with fast-tracking the project to meet and match the delivery date of the MPAC Batch 4 by 2019.


Notice of Award released in favor of Propmech Corporation dated 11 September 2018.
Photo taken from DND's website.
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28 August 2019:
As posted on our social media community page:

The Philippine Navy confirmed that the last 4 units of KAAV7A1 amphibious assault vehicles (AAV) arrived earlier this month, and will be commissioned with the Philippine Navy (Marines) together with 3 Multi-Purpose Attack Crafts (MPAC) which are scheduled for delivery next month.

This will allow the completion of the Amphibious Assault Vehicle acquisition project, part of the Horizon 1 Phase Priority Projects under RAFPMP. So far no plans have been made for additional units despite the PN planning to acquire 2 more Landing Platform Docks.

Meanwhile the MPAC Batch 4 are part of the 2nd List of Horizon 1 phase projects. But its weapons, armoring, communication and orher extras are funded under the Horizon 2 phase Priority Projects.

While the MPACs will be armed with Spike ER missiles, MaxDefense can confirm that this won't happen next month and may take some more time before delivery happens from Israel.

In the meantime the MPACs can be used without its automated weapons.

Three MPAC Mk.3 missile-armed MPACs during live fire exercises. Photo taken from Philippine Navy.
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23 September 2019:
As posted on our social media community page
:

Ms. Frances Mangosing of Inquirer.net / Philippine 
Daily Inquirer posted these photos on her Twitter account, during the commissioning ceremonies for the Philippine Navy's 3 new Multi-Purpose Attack Craft (Batch 4) fast boats and 4 KAAV-7A1 amphibious assault vehicles today at PN headquarters in Manila.

As expected, the MPACs acquired from the JV of Lung Teh Shipbuilding and Propmech Corp. would not have their missile launchers and RCWS yet as they are acquired under a separate contract between the DND and Rafael Advance Defense Systems of Israel.

Weapons shown on the MPAC are two manually-operated 7.62mm general purpose machine guns.

In total, the PN now has 12 MPACs in service.

Credits to Ms. Mangosing for all 4 photos shown below.
https://twitter.com/FMangosingINQ/status/1176025084672102400


Photo credited to and taken from Frances Mangosing.
Photo of MPACs during commissioning taken from and credited to Chiara Zambrano of ABS-CBN News.

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05 October 2019:
The Philippine Navy confirmed that the missile systems intended for the MPAC (Batch 4) that were commissioned last September, will only be installed by early 2020.

This was after PN spokesman Capt. Henry Quinto made the statement during an interview with the Philippine News Agency.

MaxDefense previously reported that the contract for the Combat Systems is separate from the contract of the Multi-Purpose Attack Crafts itself, as the contractor for the weapon systems, Rafael Advance Systems Ltd of Israel, has its own contract with the DND instead of being a subcontractor of the Joint Venture of Propmech Corporation and Lung Teh Shipbuilding.

The MPAC Batch 4. Photo taken from and credited to Priam Nepomuceno of Philippine News Agency.
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First edit and release: 07 April 2019

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