SINGAPORE - Singapore Technologies Engineering Ltd STEG.SI said on Wednesday it has won a contract worth up to $1.94 billion to build as many as three icebreaker ships for the U.S. Navy.
The U.S. Department of the Navy awarded VT Halter Marine, ST Engineering's shipbuilding business in Mississippi, a $746 million contract for the detail design and construction of the U.S. Coast Guard (USCG) polar security cutter, the Singapore-based company said in a statement.
The first ship is due for delivery in 2024, said ST Engineering. It said the contract is worth $1.94 billion, including options for two more vessels with estimated delivery dates of 2025 and 2027.
The United States has two operational icebreakers - the Polar Star, which is more than 42 years old, and the Healy. urn:newsml:reuters.com:*:nL1N1YB2IP
ST Engineering shares were up 1.6 percent in morning trade at S$3.82, while the broader market .STI was up 0.2 percent.
(Reporting by Aradhana Aravindan; Editing by Christopher Cushing) ((aradhana.aravindan@thomsonreuters.com; +65 6403 5659; Reuters Messaging: aradhana.aravindan.thomsonreuters.com@reuters.net))
