Brazil may purchase Pantsir-S1 air defense missile-gun systems. The contract, which may be signed in 2016, is valued at $500 million, Lenta.ru reports with reference to Ambassador of Brazil to Russia, Antonio José Vallim Guerreiro.

According to him, funds for purchasing Russian weapons will be allocated from the country’s budget this year. However, the exact number of the systems to be purchased was not unveiled. The contract for delivery of Pantsir-S1 systems was announced several years ago, but its signing was postponed several times.

Initially Brazil was going to purchase these systems in order to ensure safety during FIFA World Cup 2014. Now Pantsir systems should be used to ensure safety during 2016 Summer Olympics in Rio de Janeiro and some other cities of Brazil.

Earlier Rosoboronexport Deputy CEO Sergey Goreslavski talked about possible deliveries of Pantsir systems in 2016 at RAE-2015 held in Nizhny Tagil. The Ambassador of Brazil named the same dates, but didn’t unveil the value of this deal.

Besides anti-terrorist effort, these systems are designed to protect important military and industrial facilities. In Latin America the equipment may also be used to fight illegal air transportation of drugs from airfields located in selva.

A source close to the industry told Lenta.ru that most probably three divisions of Pantsir-S1 systems will be purchased; each one includes two squadrons comprising six vehicles. A total of 36 vehicles may be purchased.

Pantsir-S1 air defense missile-gun system was developed by Tula-based KBP Instrument Design Bureau named after A.G. Shipunov (part of NPO Vysokotochniye Kompleksi (stands for High Precision Systems)). The development was started in early 1990s. Later the system was upgraded in the network of a contract with United Arab Emirates.

The current version of the system was officially put into service by Russian air defense forces in 2012.

The system is fitted with 30-mm automatic cannons and guided missiles; it is able to destroy low-altitude and low-signature missiles (including cruise missiles) within a relatively short range. In Russian armed forces these systems are used by military units also operating long-range S-400 systems.

Pantsir-S1 air defense systems are manufactured for Russian Aerospace Defense Forces and foreign customers. Today Algeria, Iran, Iraq, Syria, Oman and UAE are operating different versions of the system.