KYIV. March 21 (Interfax) - Ukrainian state-owned enterprise the Dnipro-based Makarov Yuzhny Machine-Building Plant (Yuzhmash) does not have official information regarding the possible severance of a contract which was concluded with S7 Sea Launch in 2017 for the production of Zenit launch vehicles (LVs) to resume launches from the Sea Launch maritime launch platform, the Yuzhmash press service reported.
Works under the contract are underway, in line with the working schedule previously agreed with the contractor, a statement published on the Yuzhmash website on Thursday reads.
"The enterprise has a contract, concluded in the spring of 2017, to manufacture 12 Zenit LVs. The contractor is S7 Sea Launch Limited, registered in the United States. The order to produce first three Zenit LVs was placed with Yuzhmash and the contractor has partially funded it. Works are underway in line with the working schedule agreed on by the contracting parties," the press service said.
"Yuzhmash does not have official reports from the contractor regarding the contract's possible severance. For its part, Yuzhmash does not want to take the first steps in this matter," the press service said.
On Thursday, several media outlets, including Russian ones, citing unnamed sources, reported that the top management of Russia's S7 Space had allegedly informed Yuzhmash of suspension and planned severance of the contract to manufacture Zenit LVs to resume launches from the Sea Launch maritime launch platform.
The Sea Launch consortium for commercial launches of satellites from a launch site in the Pacific Ocean was established in 1995. The consortium is comprised of U.S.' Boeing (40%), Energia (25%), the British-Norwegian Kvaerner Group (20%), the Yuzhnoye design bureau and Yuzhmash (both, 15%). Following reorganization in 2010, Energia Overseas Limited (EOL), a subsidiary of Energia Corporation, acquired a 95% stake in the company, while U.S. Boeing received 3% and Norway's Aker Solutions got 2%. Since 1995, 36 launches of Zenit-3SL LVs, including 33 successful lift-offs, have been performed under the Sea Launch program.
The Zenit-3SL LV was developed on the basis of the two-stage Zenit-2 LV designed by the Yuzhnoye design bureau. The Energia corporation built the DM-SL booster. Yuzhmash suspended the manufacture of Zenit LVs in 2014 due to financial problems being experienced by operators of the Sea Launch and Land Launch projects.