These will be supplied by a team consisting of NIOA, Rheinmetall Waffe Munition, Rheinmetall Denel Munition, Nitrochemie and Junghans Defence, according to a statement from the Rheinmetall Group.

The statement explained that the first qualification lots will be shipped this year, while a second partial delivery will be made in 2019.

“Encompassing supply of the qualification lot and war reserve stocks, the order – awarded at the end of last year – is worth around $100 million, roughly €65 million. The contract also includes several options for further five-year periods, with a total value in the triple-digit million Australian dollar range,” the Rheinmetall Group said.

“The order represents a significant success for Rheinmetall in several respects. It will enable the group to establish itself in coming years as Australia’s sole supplier of artillery ammunition. In addition, it is the first time a M777A2 field howitzer user nation has opted for the Assegai family. The armed forces of Canada and the United States, among other nations, also deploy the M777A2.”

The group noted that the ammunition will be supplied by its partner, Brisbane-headquartered NIOA.

NIOA is described as “the largest supplier of ammunition and weapons systems to Australia’s military and law enforcement agencies”.

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The company has a long-standing history Rheinmetall, having cooperated with the Group on other projects for decades, and officially joined the Rheinmetall LAND 400 team in May 2017.