BAE Systems has been awarded a ten-year operating contract by the US Army to manage, operate and maintain the Radford Army Ammunition Plant in south-west Virginia, US.

The $850m operating contract includes three five-year options which, if fully exercised, will extend the award to 2036.

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BAE Ordnance Systems will operate the facility, established in 1941, which manufactures propellants for military munitions.

Ordnance Systems vice-president and general manager Jerry Hammonds said the company would provide innovative ideas as well as cost-effective solutions for safe, secure and efficient facility operations.

US Army Holston Army Ammunition Plant is also being contract-operated by BAE.

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