Iraq to spend $94m on Korean Helicopters

By John Lee.

Korea Aerospace Industries (KAI) has signed a significant export contract to supply military helicopters to Iraq.

The company describes the Korean Utility Helicopter (KUH-1), also known as Surion, is a multi-role utility helicopter, "complete with excellent maneuverability and a world-class hovering capability features cutting-edge avionics system."

It continues:

"They have been deployed in the Republic of Korea Army(RoKA) for operation since the end of 2012 and carry out missions including troop transport, airfreight, contributing to strengthening military power.

"KAI continues to expand the scope of operation by development and modification of the military variants such as Amphibious for Marine Corps and MEDEVAC but also para-public uses for National Police Agency, Coast Guard, Firefighting and forest service and so on."

Contract Details:

• Contract Value: KRW 135.8 billion (approx. USD 93.8 million at KRW 1,447.6/USD exchange rate)
• Counterparty: Government of Iraq
• Sales Contribution: The contract represents 3.6% of the company's KRW 3.82 trillion sales in the latest fiscal year (2023).
• Contract Period: March 31, 2025 - March 31, 2029

Payment Terms:

1. Advance Payment: 20% within 30 days of contract effectiveness.
2. Progress Payment: 70% upon inspection completion and before shipment.
3. Final Payment: Remaining 10% within 60 days of aircraft delivery.

Additional Information:

• The contract was finalised on December 22, 2024, with implementation expected after the opening of a Letter of Credit (LC) in March 2025.
• The company notes that timelines, amounts, and conditions may evolve and will be disclosed if adjustments arise.

Representatives of the company met with Prime Minister Mohammed S. Al-Sudani on Monday.

(Sources: KAI, PMO)