Saudi Arabia may partially finance €1 billion deal

France signed a contract with Egypt for the sale of two Mistral-class helicopter carriers, which were ordered by the Russian Navy, but were never delivered for political reasons. According to preliminary information, a firm contract will cost Cairo €1 billion, and the ships will be handed over to the customer in 2016. According to media reports, the purchase of ships could be partially financed by Saudi Arabia, which is interested in strengthening its defense in the waters of the Red Sea and the Persian Gulf to combat terrorism.

The main event during the official visit of French Prime Minister Manuel Valls to Cairo, which began today, was the signing of a contract for the sale of two Mistral-class helicopter carriers to Egypt. According to preliminary data, the contract amount was €1 billion, approximately the same amount (about €950 million for the refusal to supply a couple of ships and €67.5 million for the stern parts for them, created on special order by the Baltic Plant in St. Petersburg) Russia received from France for termination of the contract, which was concluded in the summer of 2011.

According to one of the conditions for terminating the contract, Paris can sell the ships if this does not raise objections from Moscow.

As reported by the media, Saudi Arabia, which wants to use helicopter carriers in the waters of the Red Sea and the Persian Gulf to fight terrorist organizations, can cover a large amount for Egypt.

In addition to the Mistral deal, the Egyptian and French Ministries of Defense today signed an agreement on cooperation in the fields of security and defense.

François Hollande stated that “France will easily find a buyer” for Mistral on August 6, the day after the official termination of the contract with Russia. Subsequently, French media, with links to official and unofficial sources, reported that at least a dozen countries were showing interest in the ships.

French helicopter carriers get rid of everything Russian

At the end of September, French specialists began dismantling equipment from two Mistral-class helicopter carriers, which were built by order of the Russian Navy, but were never transferred to it for political reasons. They will be assisted in this by Russian specialists who specially arrived at the STX shipyard in Saint-Nazaire for this purpose. Previously, in Paris, all work was given up to six months, but on September 21, French shipbuilders assured Kommersant that dismantling would take several more weeks. Read more

France demands an investigation into the Mistral deal with Russia

The parties of former French President Nicolas Sarkozy and Marine Le Pen - the Republicans and the National Front - each for their part in August demanded an investigation into all the circumstances of the deal to terminate the contract with Russia, which was awaiting the supply of helicopter carriers. For Nicolas Sarkozy, the Mistral case is almost personal. The agreement on Russia's purchase of two helicopter carriers was signed during the years when he was President of France, and was presented as a breakthrough in Russian-French relations, and at the same time an order beneficial for the country. Read more

Dmitry Kozlov

Egypt signed a contract to purchase Mistral from France – Picture of the Day – Kommersant