A Malaysian Navy ship participates in the 5th Multilateral Naval Exercise KOMODO (MNEK) in Bali, Indonesia. Photo by MADE NAGI / EPA

May 20 (Asia Today) -- Malaysia is considering South Korean missile systems as a replacement for canceled Norwegian naval missile deliveries after Oslo revoked an export license tied to Malaysia's next-generation littoral combat ship program.

Local media outlets including Malaysiakini reported Tuesday that Malaysia is seeking more than 1 billion ringgit ($235 million) in damages from Norwegian defense company Kongsberg Defence & Aerospace after the cancellation of a planned supply of Naval Strike Missiles, or NSM.

Defense Minister Mohamad Khaled Nordin said Monday that Malaysia had sent a formal damages claim notice to Kongsberg. He said the government had already paid 583 million ringgit ($137 million), equivalent to 95% of the missile contract's advance payment.

Malaysia's navy is now searching for an alternative anti-ship missile system to replace the NSM. Industry observers say LIG Nex1 and its Haeseong, or SSM-700K, ship-to-ship missile system are among the leading replacement candidates.