Australia invests $50M in domestic 155mm artillery shell production
The Australian government signed a A$72 million ($50 million) contract with Rheinmetall NIOA Munitions to build a forging line in Maryborough, Queensland, for 155mm M795 artillery projectiles. Operational by late 2028, the facility will initially produce 15,000 rounds annually, with surge capacity up to 100,000. A separate $9.2 million investment upgrades naval ammunition production in Benalla, Victoria. These moves are part of a A$26-36 billion decade-long plan to reduce foreign dependence and strengthen sovereign munitions manufacturing.
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Australia Awards A$72 Million Contract for M795 155mm Ammunition Production
The Australian government has awarded a A$72 million (US$51 million) contract to Rheinmetall Nioa Munitions (RNM) to establish a production line for M795 155mm artillery projectiles at its Maryborough facility in Queensland. This marks the first time M795 shells will be forged outside North America. Production is expected to begin by late 2028 at a rate of 15,000 rounds annually, with a surge capacity of 100,000 rounds per year. The decision reverses a 2024 plan to award a similar contract to Thales Australia, which will instead receive A$9.2 million to modernize a naval projectile line. The ammunition is in high demand due to Ukraine's daily consumption of 5,500-6,000 rounds. Australia still lacks the ability to load, assemble, and pack explosives into 155mm projectiles, a sovereignty gap it aims to close.
Defense NewsAustralia awards A$72 million contract for 155mm M795 artillery shell production
Australia has awarded a A$72 million ($51 million) contract to Rheinmetall Nioa Munitions (RNM) to establish a production line for M795 155mm artillery projectiles at its Maryborough facility in Queensland. This marks the first time M795 shells will be forged outside North America. Production is scheduled to begin by late 2028 at a rate of 15,000 rounds annually, with a surge capacity of 100,000 rounds per year. The ammunition is in high demand due to Ukraine's consumption of 5,500-6,000 rounds daily. The contract reverses an earlier 2024 decision to have Thales Australia establish a similar capability at Benalla, which was canceled in June 2025. Australia still lacks the ability to load, assemble, and pack explosives into 155mm projectiles, highlighting a remaining sovereignty gap. The RNM facility is already producing DM-family casings for Germany.
Defense NewsAustralia Awards A$72 Million Contract for 155mm Artillery Shell Production
Australia has awarded a A$72 million (US$51 million) contract to Rheinmetall Nioa Munitions (RNM) to establish an M795 155mm artillery projectile production line at its Maryborough facility in Queensland. This marks the first time M795 shells will be forged outside North America. Production is expected to commence by late 2028 at a rate of 15,000 rounds annually, with a surge capacity of 100,000 rounds per year. The ammunition is in high demand due to Ukraine's consumption of 5,500-6,000 rounds daily. The contract reverses a 2024 decision to award a similar capability to Thales Australia, which will instead receive A$9.2 million to modernize a naval projectile line. Australia still lacks domestic capability to load, assemble, and pack explosives into 155mm projectiles, highlighting a sovereignty gap. The RNM facility currently operates three shifts per day, producing 3,500 projectile bodies monthly.
Defense NewsAustralia signs $72M deal to stop relying on foreign artillery ammo
Australia's Albanese Government has signed a $72 million contract with Rheinmetall NIOA Munitions, a joint venture between German defense firm Rheinmetall and Australian distributor NIOA, to establish domestic production of 155 mm M795 artillery projectiles at the Maryborough facility in Queensland. The M795 is a critical munition used by the Australian Defence Force on platforms including the M777A2 Lightweight Towed Howitzer and the AS9 Huntsman self-propelled howitzer, and is standard across U.S. and NATO forces. Air Marshal Leon Phillips, Chief of Guided Weapons and Explosive Ordnance, formalized the commitment, signaling the program's strategic priority. The investment aims to reduce Australia's dependence on foreign ammunition supply chains that could be disrupted during crises. The Maryborough facility will provide sovereign manufacturing capability, supporting regional economic development and ensuring self-sufficiency in core indirect fire capabilities.
The Defence Blog – Military and Defense NewsAustralia signs $50m deal for new artillery forging line in Queensland
The Australian Government has signed a A$72m ($50m) contract with Rheinmetall NIOA Munitions to establish a new large-calibre ammunition forging facility in Maryborough, Queensland. Expected to be operational by the end of 2028, the plant will initially produce 15,000 rounds of 155mm M795 projectiles annually for the Australian Defence Force, supporting platforms like the M777A2 howitzer and AS9 Huntsman self-propelled howitzer. The project will create up to 50 skilled jobs and upskill the local workforce. Concurrently, the government announced a $9.2m investment in Thales Australia to upgrade naval 5-inch ammunition production in Benalla, Victoria. These initiatives are part of a broader A$26-36bn decade-long investment in guided weapons and explosive ordnance to strengthen sovereign capabilities, control supply chains, and reduce lead times, consistent with the 2026 National Defence Strategy.
Army TechnologyAustralia signs $50m deal for new artillery forging line in Queensland
The Australian Government has signed a A$72m ($50m) contract with Rheinmetall NIOA Munitions to establish a new forging capability in Maryborough, Queensland, for manufacturing large calibre ammunition for the Australian Defence Force. The facility, expected to be operational by the end of 2028, will initially produce 15,000 rounds of 155mm M795 projectiles annually, with potential for increased output. The project supports Australia's policy of locally producing guided weapons and explosive ordnance (GWEO) and will create up to 50 skilled jobs. Additionally, the government announced a $9.2m investment in Thales Australia to upgrade the naval 5-inch ammunition production line in Benalla, Victoria. These initiatives are part of a broader plan to invest between A$26bn and A$36bn in guided weapons over the next decade to strengthen domestic manufacturing and supply chain security.
Army TechnologyAustralia signs $50m deal for new artillery forging line in Queensland
The Australian Government has signed a A$72m ($50m) contract with Rheinmetall NIOA Munitions to establish a new forging capability in Maryborough, Queensland, for manufacturing large calibre ammunition for the Australian Defence Force. The facility, expected to be operational by the end of 2028, will initially produce 15,000 rounds of 155mm M795 projectiles annually, with potential for increased output. The project supports Australia's policy of locally producing guided weapons and explosive ordnance (GWEO) and will create up to 50 skilled jobs. Additionally, the government announced a $9.2m investment in Thales Australia to upgrade the naval 5-inch ammunition production line in Benalla, Victoria. These initiatives are part of a broader plan to invest between A$26bn and A$36bn in guided weapons over the next decade to strengthen domestic manufacturing, supply chains, and stockpiles.
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