Malaysia has achieved a “no find-no fee” deal with a u.s. company to locate the remains of the downed flight MH370.
The government accepted an offer of the Infinite Ocean, according to the Australian Minister for Transport, Darren Chester.
The Texas-based company is going to pay the bill in case of not finding the remains of the aircraft.
The disappearance of MH370 remains shrouded in mystery. The Malaysia Airlines flight that fell off radar on March 8, 2014, between Kuala Lumpur and Beijing with 239 people on board.
A massive sea search operation of the aircraft cleared 120,000 square kilometers, at an estimated cost of around$200 million (Â£120 m; â‚¬133m), before it was suspended in January.
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Infinite ocean has not revealed the estimated cost of the new search. According to Mr. Chester, the company will focus on a 25,000 sq km area identified by the Australian Transport Safety Bureau as having a “high probability” that contains the aircraft.
The company is using a centuries-old model is known in the salvage industry as “no cure no pay” – a type of agreement are usually applied in the recovery of valuable sunken cargo.
Under the agreement, a salvage company will have the financial risk of a recovery, and recover from the owner of a percentage of the load of the value if it is found, often, 80 or 90%.
In this case, the Infinite Ocean is likely to be working in place of a fixed fee from the government of Malaysia, and the advertising in the offer, you should find the remains of the aircraft, an industry expert told the BBC.
MH370 was carrying passengers and crew from 14 different countries when it disappeared. The majority were from China and Malaysia.
Australia led the initial search, after aviation officials identified the ocean floor off its coast as the probable location of the remains of the aircraft. The country has committed to provide technical assistance for the new search, Mr Chester said.
Earlier this month, the Malaysian Transport Minister, Liow Tiong Lai said that the government had received proposals from three search firms of the Infinite Ocean, the Dutch firm Fugro and an unknown Malaysian company.
The delivery of his report on the disappearance earlier this month, the australian Transport Safety Bureau said it was “almost inconceivable” that the plane had not been found.