HJ Heavy Industries announced on Jan. 6 that the final review for the Ship Maintenance Repair Agreement  to be concluded with the U.S. Navy, the ‘Port Assessment , has been completed, making the license agreement certain to be concluded within this month.

The ‘Ship Maintenance Repair Agreement (MSRA)’ is an agreement concluded between the U.S. government and shipbuilding companies for the maintenance, repair, and overhaul of U.S. Navy vessels. Shipyards that conclude this agreement are given the qualification to bid for MRO (Maintenance, Repair, and Operations) projects for U.S. Navy vessels, and can also bid for MRO projects for U.S. Navy warships that are subject to strict security regulations.

HJ Heavy Industries applied for a license to conclude an MSRA with the U.S. Navy Supply Systems Command (NAVSUP) last year. Subsequently, the Deputy Commanding Officer, Quality Assurance Officer, and Marine Inspector from the Naval Sea Systems Command (NAVSEA) visited HJ Heavy Industries’ Yeongdo Shipyard to conduct the first on-site inspection for qualification review.

The ‘Port Assessment’ conducted at HJ Heavy Industries’ Busan Yeongdo Shipyard on Jan. 5 is an official procedure by which the United States evaluates the security preparedness of foreign ports and the implementation of port facility security rules, serving as the final gateway for concluding an MSRA. The evaluation team, composed of security experts from the Naval Criminal Investigative Service (NCIS), conducted an on-site inspection of the Yeongdo Shipyard, comprehensively examining the procedures and implementation of port terrorism response and security regulations, facility control and surveillance systems, and technical information management.

During the on-site inspection process of the port security assessment, HJ Heavy Industries explained the facility status of the Yeongdo Shipyard, construction records of Republic of Korea Navy vessels and Coast Guard patrol vessels, MRO project performance, security-related internal regulations, and actual operational status, and reportedly received an evaluation from the assessment team as the optimal shipyard capable of pursuing U.S. Navy MRO projects.

An HJ Heavy Industries official said, “Through the U.S. Navy’s first and second on-site verifications, HJ Heavy Industries’ capability to carry out MRO projects has been verified,” adding, “We expect to be able to conclude the ship maintenance agreement within this month.”

Source:Business Korea