Under the agreement, Diehl will transfer technology to NIOA to enable Australian production of the Diehl 5” naval munition family including high explosives, practice projectiles and propelling charges.
Besides the conventional ammunition portfolio of Diehl, NIOA and Diehl are also evaluating possible cooperation in the areas of guided long range ammunition capabilities and products of Diehl Defence.
Diehl is a global defence company and leading supplier of high-tech guided missiles and innovative ammunition solutions, and an experienced manufacturer of naval ammunition, having previously supplied 76mm rounds to the Royal Australian Navy.
NIOA hopes to utilise its newly commissioned joint venture Rheinmetall NIOA Munitions [RNM] plant in Maryborough, Queensland for shell case production while the filling and finishing would occur at Benalla in regional Victoria where NIOA has a long-term lease at the Commonwealth Government-owned munitions facility.
Diehl Defence CEO Helmut Rauch said the collaboration with NIOA was a significant step forward for the two companies and comes 15 months after they signed a memorandum of understanding to support sovereign munitions manufacture.
“This agreement paves the way for Diehl to bring its world-leading expertise to Australia to support NIOA in the development of sovereign capability,” he said.
NIOA Group CEO Robert Nioa said: “NIOA and Diehl share the same strategic ambitions – to build defence capability.
“Diehl is known worldwide for its ammunition technology. This partnership means we are well positioned to accelerate the Australian manufacture of superior naval munitions, ensuring supply surety for the ADF.”