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Defence awards $95m munitions contract

nioa munitions contract
Pictured: Robert Nioa - Managing Director NIOA and Commodore Simon Ottaviano - Director General Explosive Materiel, Explosive Materiel Branch, Joint Systems Division.

A Brisbane-based SME has landed a major Defence contract to supply munitions to the Australian military over the next five years.

The $95 million contract, awarded to NIOA, will see the business supply more than 30 different munitions, including small arms and 120mm M1A1 Abrams tank ammunition.

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Minister for Defence Industry Christopher Pyne said the contract will see more jobs created in Brisbane.

"NIOA’s global supply arrangement means the Australian Defence Force will use the latest technology, while creating jobs in Brisbane," the minister said.

"NIOA has been a supplier of munitions for many years, and this contract represents their growing success as an Australian business and an important part of our defence industry."

NIOA will source the munitions from their internal partners; Rheinmetall Waffe Munitions, Orbital ATK and Vista Outdoors.

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The $95 million, five-year contract includes an option to extend to 15 years.

NIOA has developed a purpose-built facility adjacent to Brisbane Airport that includes a state-of-the-art indoor firing range enabling weapon and ammunition testing in controlled conditions.

The company was recently selected as the prime vendor to supply recoil operated semi-automatic Barrett M107A1's and MRAD weapon systems to the New Zealand Defence Force (NZDF).

In recent weeks, NIOA has also established a new expanded team to support the growth of its defence and government business sector.

Defence awards $95m munitions contract
NIOA-munitions-contract.jpg
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