Vard positions for Norway’s multi-billion naval build

The Norwegian shipbuilding company Vard is positioning itself to secure a role in Norway’s future standardised naval vessel programme, expressing confidence ahead of the still-to-be-awarded shipbuilding phase.

As reported, Vard is stepping up its efforts as competition shifts from design to industrial execution, following the award of the design contract to a Norwegian consortium.

- Vard is the only company in Norway that in recent times, and with strong results, has built larger vessels for the Norwegian Armed Forces, said Roy Arne Stavik in a written response to Defence Nordic.

He is appointed SVP Governmental Defense Program in Vard. Effective May 1, he will lead a dedicated Navy Business Unit in the company, strengthening the company’s ambitions towards this segment mainly in Norway.

Three multi-role vessels

The company has recently delivered three multi-role vessels for the Norwegian Coast Guard under the Jan Mayen class, two vessels for the intelligence service, and the Armed Forces’ only icebreaker.

- Our documented experience with defence contracts provides us with the expertise, and we already have the necessary infrastructure in place to get started quickly, Stavik said.

The standardised naval vessel programme is valued at between NOK 38 billion and NOK 84 billion and could deliver up to 28 vessels. It represents a central opportunity as Norway seeks to consolidate multiple ship classes across its navy and coast guard.

If awarded, Vard says it will work closely with stakeholders to identify "the best solutions for the Armed Forces and Norway", while respecting procurement processes and decisions.

- Our role is to be a robust and reliable shipbuilder, ensuring quality, progress and predictability throughout the project lifecycle, Stavik said.

Pressure

The scale of the programme is expected to place pressure on industrial capacity. 

Vard, which operates seven shipyards globally, including three in Norway, argues it is well positioned to meet the demand.

- Vard has significant capacity from hull construction through to outfitting and delivery. We can deliver in line with the authorities’ requirements, Stavik said.

Its Norwegian yards in Brattvåg, Søviknes and Langsten deliver between seven and eight vessels annually, he notes. Vard Langsten has recently delivered six of the seven vessels built for the Norwegian Armed Forces, building up specialised expertise in military shipbuilding.

This includes capabilities in security, integrated logistics support, signature management, and the integration of weapons and sensor systems, as well as compliance with military regulations.

Stavik emphasised that Vard maintains control across the full value chain, from design to maintenance and life extension.

- This reduces friction between phases of shipbuilding, lowering risk for the customer in terms of both time and budget, he said.

Delayed

The programme has been delayed by around two years. 

Stavik said the company respects the Armed Forces’ and political processes, and remains focused on enabling progress.

- We are committed to close cooperation with stakeholders who share the ambition of delivering the best solutions for the Armed Forces and Norway. Our experience with defence contracts can help support a more efficient process he said.

Looking ahead, Stavik indicated that demand may extend beyond a single procurement cycle.

- Given the geopolitical situation, there appears to be increasing demand within Nato for standardised vessels, as well as growing interest in other naval platforms aligned with Vard’s capabilities, he said:

- While the security environment is challenging, these vessels are becoming a necessity.