The Ministry of National Defence has announced that, after a technical and financial review, and within the terms agreed with the prospective supplier, the Government of Chile has decided not to acquire the satellite system offered by the European consortium European Aeronautic Defence and Space Company (EADS).
At the time the new Government took office, advanced conversations had taken place between the Ministry of National Defence of Chile and the company EADS Astrium regarding the acquisition of an observation satellite.
These contacts culminated in the signature on March 3, 2006 of a letter of intent between former Minister Jaime Ravinet and EADS Astrium, according to whose terms the Government agreed to finalize by the end of May the terms of purchase for the satellite system offered by the European company.
Following the change of government in March the present Minister of Defence, Vivianne Blanlot, asked EADS for an extension of the deadline, with the intention of reviewing the project to determine whether it conforms to the new government’s priorities and to its financial guidelines for the defence portfolio. It was also necessary to re-examine, in detail, the proposed contracts.
With those objectives, Minister Vivianne Blanlot appointed Undersecretary of Aviation Raul Vergara to lead the evaluation team.
After the conclusion of this re-evaluation, the Ministry has decided that, although this is a very interesting project for the country in terms of its civil benefits as much as of its potential benefits for the Armed Forces, it is advisable that the acquisition of a public equipment of this scope be decided by an international tender, in which the Government of Chile hopes to again count on the participation of the EADS company.