A year after the official search for the plane in the southern Indian Ocean was called off by Malaysia, Australia and China, the government of Malaysia on Wednesday said that it would pay USA firm Ocean Infinity up to $70 million for finding the wreckage or black boxes of the MH370 flight within 3 months.
"No point in paying for services that would produce zero results, thus paying after gaining results is an optimum approach to reduce or avoid capital losses", he told Bernama.
At least three pieces of debris collected from sites on Indian Ocean islands and along Africa's east coast have been confirmed as being from the missing plane.
Lai said the company has been given a deadline of 90 days to complete the search and will not charge any fee if it is unable to locate the remains of the flight that is believed to have crashed in the Indian Ocean.
The Transport Minister of Malaysia, Liow Tiong Lai said that experts had identified a new 25,000 square kilometre (9,650 square mile) area where there was an 85 percent chance of finding remnants of the missing flight.
The ship's primary mission is to identify the location of the wreckage and/or both flight recorders - the cockpit voice recorder and flight data recorder.
Mohd Harridon believes that this is a great initiative by the government and private sector to continue the search and solve one of aviation's greatest mysteries.
Researcher at a local airline Ahmad Maulan Bardai said the deal was related to the legality aspect.
The government signed a contract with Ocean Infinity on Wednesday, but said the company would only be paid if it locates the aircraft or flight recorders. The government has in numerous instances reached out to them giving them some funds as some sort of compensation, but that hasn't helped pretty much either. "This (type of) search and recovery funding has been the practice in the shipping industry", he said. It was for that particular reason that it has finally chose to award a "no-find, no-fee" contract to one of the biggest private US-based tech companies and it exudes confidence that this time around it won't miss.
"Not to mention the need to resolve the concern of the relatives of the passengers and crew affected", he said. But the initial deep-sea search - jointly conducted by, and Malaysia - in January 2017.
Australia, China and Malaysia ended a fruitless A$200 million ($157 million) search of a 120,000 sq km area in January a year ago, despite investigators urging the search be extended to a 25,000 sq km area further to the north.
The government signed a "no cure, no fee" deal with the Houston, Texas-based company to resume the hunt for the plane, a year after the official search by Malaysia, Australia and China in the southern Indian Ocean was called off.