Defence Minister Sutin Klungsang on Monday insisted buying a Chinese-built submarine is still an option, but a final decision must be made by the cabinet.
Mr Sutin was speaking to the media after the Office of Attorney-General (OAG) backed the use of a Chinese engine on the submarine and extending the contract, saying he plans to meet navy chief Adm Adung Phan-iam soon for talks before seeking a final decision from the cabinet.
Mr Sutin said the navy chief was away on a foreign trip and would return to Thailand today.
"I will meet him after he returns, so this issue can end as soon as possible," said Mr Sutin.
He added that he will approach the cabinet for a definitive decision soon.
The submarine project hit a significant stumbling block when Germany refused to supply a diesel engine for the vessel.
German law prohibits the use of a German-made engine in weaponry made by foreign nations, thus stopping one from being used on Chinese submarines. In response to the problem, China proposed a locally manufactured engine as an alternative, a proposition that was rejected by the Royal Thai Navy (RTN).
In a move to end the impasse, the RTN proposed acquiring a frigate from China, but the plan was put on hold due to the additional 1 billion baht cost associated with the vessel.
Mr Sutin said the cabinet's decision would be based on three critical factors: the navy's operational needs, protection of national interests and avoiding any adverse impact on Sino-Thai diplomatic relations. Since the OAG's deliberation, the navy has asked for the opinions of the Council of State, the National Economic and Social Development Board, Budget Bureau, Volunteer Defence Corps, State Audit Office, and the Foreign Affairs and Finance ministries.
The RTN has also considered extending the contract duration by another 1,217 days to take possession of the sub after the original ended on Dec 30 last year.
The navy chief or representative would sign the contract, which extends the debt obligation from 2017 to 2027.
