Severnaya Verf to Deliver Corvette Boiky in Time

14.12.2011 JSC Severnaya Verf shipyard, affiliate of United Industrial Corporation (USC) belonging to ex-senator Sergei Pugachev, confirms corvette Boiky will be delivered to Russian Navy in 2012, reports RIA Novosti referring to the yard's director general Andrei Fomichev.

"Third corvette, Boiky, is ready to accommodate the crew. This means that the ship is at high stage of completeness, and appropriate acceptance certificate will be signed soon. We don't talk about time displacements so far, everything depends on banks and their sanity", he said.

A spokesman for Severnaya Verf earlier said that the company would sue upon those banks in order to obtain credits in accordance with governmental resolution No. 1575/r issued on Sept 8, 2011. The document provides that three credit institutions must grant at least RUR 22 bln credit line. "What is happening is trivial sabotage and protractions. It is not about policy, it's just an attempt to change terms of the credit agreement in favor of the banks. But standard judicial procedures are in progress now, some banks have been already put into motion", added Fomichev.

Boiky will be the third serial Project 20380 corvette built by Severnaya Verf shipyard. Lead ship of the series is corvette Stereguschiy delivered in 2007. The second corvette – Soobrazitelny – was delivered to the orderer on Oct 14, 2011.

Another ship of this project – corvette Stoiky – is being built at the shipyard as well.

Displacement of Project 20380 corvettes is 2,000 tons, length is over 100 meters, max speed is 27 knots, operating range is 4,000 miles. Among main advantages are multifunctionality, compactness, low signature, high level of automation and integration of control systems.

A batch of new corvettes will considerably increase effectiveness of Russian Navy in littoral waters and accomplish tasks of newly-shaped strategic commands.

Earlier on, Russian government appointed Severnaya Verf the only supplier of corvettes built under modernized Project 20385; the contract for 4 ships has been already tied with defense ministry. Russian Navy declared the need for 20 ships of this class.

In Sept 2011, JSC Severnaya Verf shipyard received tens of billions rubles as governmental guarantee to execute the state defense order. Appropriate resolution No. 1575/r was signed by Prime Minister Vladimir Putin. According to this document, state guarantees will be granted till 2015.

According to the State Arms Program 2011-2020, Severnaya Verf is to produce six Project 20380/20385 corvettes till 2018, and six Project 22350 frigates till 2020.

At present, Severnaya Verf builds four Project 20380 corvettes, two Project 22350 frigates, and a Project 18280 special communication vessel for Russian Navy.

Holdings of JSC Severnaya Verf along with other shipbuilding assets is collateralized by the Central Bank for RUR 32-bln credit given to Mezhprombank which bankrupted last year and is the main credit institution of UIC.