The first agreement sets up a joint venture focused on producing 155 mm artillery propellants and Bi Modular Charge Systems (BMCS). This new company will merge both firms’ technologies, expertise, and industrial capabilities to better serve their defence customers and markets.
The joint venture includes plans to build a state-of-the-art production facility in Pionki, with operations expected to begin in 2028. Once operational, the plant will offer a secure and high-performance European source of modular artillery charges.
A second agreement, a Letter of Intent, was also signed to deepen collaboration on sourcing energetic raw materials used in propellants, explosives, and BMCS. This project aims to reinforce Poland’s sovereignty by securing sustainable access to key materials and strengthening an independent supply chain.
The new agreements build on an existing strategic relationship between EURENCO and PGZ, which includes successful artillery programmes and a long-term energetic nitrocellulose supply contract with MESKO, a PGZ subsidiary. Together, EURENCO and MESKO aim to bolster the Polish, European, and NATO defence industrial bases and enhance the resilience of 155 mm munitions capabilities.
“The creation of these joint ventures in Poland is a cornerstone of EURENCO current growth. During the last years, we have demonstrated our ability to act swiftly in setting up new production capacities, thereby contributing to the resilience of the industrial supply chain and ensuring the security of supply for our customers. By producing Artillery Modular Charges in Poland, with the highest standards of safety and performance, EURENCO contributes to the Poland Autonomy Strategy and fully connected with its mission as a key player in Defense in the service of the sovereignty,” said Thierry FRANCOU, Chief Executive Officer of EURENCO.
„The cooperation between PGZ, MESKO, and EURENCO is an example of industrial partnership that truly strengthens the defense capabilities of Poland and Europe. Establishing the joint venture aligns with our concept of building three 155mm ammunition factories, allowing for production diversification and maximizing the expertise of individual plants. It is the first step towards building one of these factories for the production of multi-base powder,” said Adam LESZKIEWICZ, President of the Management Board of PGZ Group.
