Foreign Military Sale Opportunities in the Middle East

The Defense Security Cooperation Agency (DSCA) notified the US Congress of a number of possible foreign military sales (FMS) to countries from the Middle East amounting to some $2.224 billion (€1.56 billion). Egypt has dangled the most contract opportunities requesting the sale of air-to-surface missiles, anti-ship missiles, aircraft engines, and Fast Missile Crafts (FMC) worth a total or some $1.186 billion (€830.94 million). In addition, Saudi Arabia, Kuwait as well as the United Arab Emirates may be potential export customers for US-built military equipment.

As the DSCA reports, Egypt requested the sale of 450 AGM-114K3A HELLFIRE II air-to-surface anti-armour missiles and associated parts, equipment, training and logistical support for a complete package worth approximately $51 million. Egypt already has AGM-114K HELLFIRE missiles in its inventory. The prime contractor will be HELLFIRE Limited LLC. Furthermore, the country wants to procure 20 RGM-84L/3 HARPOON Block II anti-ship cruise missiles, four AN/SWG-1A HARPOON shipboard command launch control systems including all consoles, software, and shipboard canister launcher units (four missile battery), spare and repair parts for some $145 million from the Boeing Company.

Another significant export opportunity is the possible sale for the Fast Missile Craft (FMC) programme and associated parts, equipment, training and logistical support for a total of approximately $240 million. The deal would include one an additional OTO-Malera 76mm/62 calibre super rapid fire dual purpose gun, an additional MK 31 Mod 3 Rolling Airframe Missile (RAM) guided missile weapon system, installation of hull, mechanical, and electrical equipment, communications, operations equipment, as well as further services. The sale of Fast Missile Craft to Egypt was originally notified on 7 August 2004 for three FMCs at a value of $565 million. On 7 September 2008, the Administration notified an inflationary cost increase to that programme for an additional $485 million. This notification of $240 million brings the total notified value of the FMC program to $1.290 billion.

Finally, the Government of Egypt has requested a possible sale of modification and installation of part kits to upgrade 156 F-110-GE-100 engines through the Service Life Extension Programme (SLEP) for its F-16 fighter aircraft fleet of the Egyptian Air Force. The upgrades will be spread out over a six to seven year period in increments of approximately 24 engines being upgraded each year. This contract would amount to a value of approximately $750 million and would be carried out by General Electric Aviation.

In addition to these extensive contract opportunities in Egypt, the DSCA informed on 18 December that Kuwait in interested in construction support services to provide administrative, operational, storage, support facilities and utility infrastructure for the 26th Al Soor Brigade facilities. In the framework of this contract, the U.S. Army Corps of Engineers (USACE) will provide engineering, planning, design, acquisition, contract administration, construction management, and other technical services for an estimated cost of $360 million. As the DSCA explains, this proposed sale would enhance the establishment of an all encompassing modern military facility that will serve, both, as a training base and a base of operations for a premier unit of the Kuwaiti Defence Force. The facility scope of work is similar to other facilities built in the past by the US Army Corps of Engineers in other Middle Eastern countries, and the effort promotes the modernisation and development of a major non-NATO ally, according to the DSCA.

Saudi Arabia requested the procurement of 2,742 BGM-71E-4B-RF Tube-launched, Optically-tracked, Wire-guided (TOW-2A) radio frequency missiles and associated parts, equipment, training and logistical support for a complete package worth approximately $177 million. The procurement of the Raytheon-built missiles is aimed at supporting Saudi Arabia’s efforts to modernise the Saudi Arabian National Guard (SANG). The SANG Modernisation Programme is an evolution of the SANG as an effective defensive force with the advice, assistance, and training of the US Army.

Finally, the DSCA announced that the United Arab Emirates (UAE) require logistics support, training and related systems for four C-17 Globemaster III aircraft being procured through a direct commercial sale. This includes 5 AN/AAR-47 missile warning systems, ten AN/ARC-210 (RT-1794C) HAVE QUICK II single channel ground and airborne radio systems, five AN/ALE-47 countermeasure dispensing sets, as well as further related services. The total value of this contract, which would be awarded to the Boeing Company as a prime contractor, is estimated at $501 million As the DSCA stressed, the proposed sale will provide the UAE the capability to transport equipment and troops in the region, as well as, to support US and NATO airlift requirements in Afghanistan.

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