SRT Marine Systems starts its €167m Indonesian contract - shares 59p - SQC TP 100p - don't miss this one!

27.05.2025

Commencement of Indonesian Coastal Surveillance Project   

Awareness in operation

SRT Marine Systems (LON:SRT), a global provider of maritime domain awareness systems and technologies for security, safety and environmental protection, has advised that the inter-government project finance loan agreement and other contract condition precedents have been finalised and therefore the €167m National Maritime Security System project with the Indonesian Coast Guard (Bakamla) has now commenced.

The first shipments will commence immediately.

The project will be implemented in multiple phases over a period of approximately 2 years followed by 8 years of ongoing support, maintenance and data services. 

The NMSS project is the delivery of an initial SRT-MDA System, to establish an advanced integrated national maritime surveillance, command, control and communication capability for the customer.

It will enable continuous and persistent real-time and near real-time surveillance of the entire EEZ and all territorial waters and provide SRT proprietary AI-driven intelligence and insight on maritime activities such as illegal fishing, smuggling, and maritime safety.

The SRT system also provides a national marine data integration platform which will interconnect all national marine agencies.

The project entails the establishment of multiple command centres, strategic multi-sensor coastal surveillance towers, long-range drones and patrol vessel surveillance integration, all of which are fully integrated as an SRT-MDA system as a single maritime C5iSR system.

The system provides a future-proof foundation for further continuous expansion of their national marine surveillance, intelligence and management capability in the years to come.

CEO Simon Tucker stated that:

"I am delighted that the €167m NMSS project has now started.

Indonesia is a fast-moving, ambitious, high-growth economy with a massive and complex marine domain, and our customer has the considerable challenge of effectively and efficiently managing it.

This project delivers a sovereign national capability owned and operated by the government of Indonesia that enables them to build up a massive national dataset within a system they own, control and operate that has highly configurable functionalities to provide deep insight.

Furthermore, the flexible AI-powered architecture of the SRT-MDA System enables them to continue to grow and evolve the system in the future alongside their ever-changing operational needs and scale.

We look forward to a long and mutually beneficial sovereign partnership with Indonesia."

My View

After jumping through so many hoops to get the paperwork sorted, it is a real pleasure to see SRT kicking off with its Indonesian contract.

I remain a long-term follower of this £147m-capitalised group, which is now on a swift route to profits, after years of development.

This piece of good news is expected to follow within the next few weeks, coinciding with the commencement of its Nexus project.

Now at only 59p, SRT shares are primed for a swift lift-off, with 100p being my Target Price, hopefully to be achieved before the end of 2025.