The Malaysian Ministry of Defence has awarded BHIC Submarine Engineering Services (BSES) a contract for maintenance and repairs of the Royal Malaysian Navy's two Scorpene-class diesel-electric attack submarines.
The contract has a firm duration of five years and a value of approximately MYR1.02 billion (US$240 million).
A representative of BSES said that each submarine would undergo an overhaul lasting around 30 months.
The company will undertake the overhauls at its drydocking facilities near the the boats' homeport at Teluk Sepanggar Naval Base in northern Sabah.
The two Scorpene-class submarines will be among the vessels that will be retained following the Royal Malaysian Navy's implementation of its fleet renewal program, which would reduce the number of available ship classes from 15 to only five.
The renewal program calls for the phasing out of the older vessels in the fleet. The navy said this will help streamline and ensure optimisation of operating expenses through savings in maintenance and operations costs.