The United Kingdom’s export credit agency, UK Export Finance (UKEF), has secured £128 million in loan guarantee financing to support the export of British-made submarine rescue vehicle systems (SRVS) to the Indonesian Navy (TNI AL).
The financing support was awarded to two companies: Bristol-based Submarine Manufacturing and Products Limited Ltd (SMP) and York-headquartered Forum Energy Technologies Ltd (FET).
Under the agreement, SMP’s contract is supported by a £76 million UKEF-backed loan guarantee, with financing provided by JP Morgan Chase, Singapore Branch. Working with its Indonesian partner PT BTI Indo Tekno (BTI Defence), the company will supply the Indonesian Navy with a 50-person SRV that can be deployed by air and by sea, along with its mothership. This project also marks the first time UKEF has worked with both SMP and BTI.
Meanwhile, FET’s deal is backed by a £52 million UKEF loan guarantee, with financing arranged through Banco Santander. Working with Indonesian partner PT Agrapana Nugraha Katara (ANK), FET will provide the Indonesian Navy with a 610-metre-rated submarine rescue system.
UKEF stated that the SMP’s contract will contribute over £39 million to the UK supply chain, and that FET’s deal is valued at around £30 million, bringing the total direct benefit to the UK economy to more than £67 million.
Naval News comments
Although UKEF has just announced the £128 million loan guarantee-backed financing, the underlying contracts are not entirely new.
In September 2023, SMP announced a contract to supply the Indonesian Navy with its SRV-F Mk 3 SRV alongside a 92.5-metre mothership that will be fitted with an advanced Transfer Under Pressure (TUP) system and a dedicated Decompression Chamber. At that time, the company stated that the project would run under a three-year build contract that included design and production.
In June 2025, Naval News reported that FET had secured a contract from Indonesia for its LR600 SRV, including a launch-and-recovery system and a decompression system. The SRV will be able to carry 20 people and will be integrated with a hyperbaric rescue facility.
These contracts form part of Indonesia’s efforts to strengthen submarine operations, especially after the tragic loss of KRI Nanggala (402) in April 2021, which exposed a serious gap in the country’s underwater capabilities as it lacks its own submarine rescue system. This effort has become more important as Indonesia plans to expand its submarine force, including through the domestic construction of two Scorpène Evolved submarines and reported interest in compact submarines from Italy’s DRASS.