New Delhi, July 17 -- The U.S. Navy will construct two facilities for the repair and maintenance of Philippine military boats in a province facing the South China Sea, where confrontations between the Philippine and Chinese coast guards have flared.

The U.S. Embassy said Wednesday the project will take place at Oyster Bay and Quezon town in western Palawan province. It said in a statement that it underscored the treaty allies' aim to maintain a "free, open and resilient Indo-Pacific."

Palawan faces the disputed South China Sea, which Beijing claims virtually in its entirety, and is the headquarters of the Philippine military's Western Command, which deploys navy patrol ships, surveillance vessels and aircraft to defend its territorial i...