BAE in supply talks with government of Oman

published 23 January 2012

Defence contracting giant BAE Systems has confirmed it is in discussions with the government of Oman to supply multiple Typhoon fighter aircraft.

If a contract is signed, the aircraft will be completed within three years.

In September, the firm announced 3,000 job losses in the UK because of a slowdown in production of the Typhoon aircraft.

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On Monday a spokesman from the company said: "This announcement will not affect the job losses announced last year; however in the long term it could well create jobs in the future as such a contract would positively impact the supply chain.

"BAE Systems welcomes the release of a Request for Proposals (RFP) for the supply and support of Typhoon fighter aircraft for the Royal Air Force of Oman. This news underpins the long-standing defence and security relationship between Oman and the United Kingdom and between the armed forces in Oman and BAE Systems, a major supplier of equipment and services to the Sultanate," the firm added.

In 2010 the Government of Oman stated it's intention to purchase Eurofighter Typhoon aircraft for its Air Force. Speaking at the time, the UK government said: "The UK government welcomes the government of Oman's request for a proposal from BAE Systems for the supply and support of Typhoon aircraft. This represents an important step towards the contract.

"Not only is this a further sign of the strong and enduring relationship between the two countries, but it also presents a further opportunity for both governments and respective industries to work together to bring wider economic, training and education benefits to Oman."

BAE Systems will now work to respond to the RFP.

The share price rose 2.68% to 322.1p by 14:40.