Aerospace and defence technologies company Orbital ATK has secured a $115m production order to supply small-calibre ammunition for the US Army.
Under the deal, the company will produce a variety of 5.56mm, 7.62mm and .50-calibre ammunition.
The new ammunition will be manufactured at Lake City Army Ammunition Plant in Independence, Missouri, which is owned by the US Government and operated by Orbital ATK.
Orbital ATK Defense Systems Group small caliber systems division vice-president and general manager Jim Nichols said: “This latest order continues a long history of supplying only the highest quality, most reliable ammunition to our warfighters.
“Working with the US Army, we will continue to focus on readiness, reducing risk, accelerating new capabilities while meeting operational demands and continuing key cost-effectiveness measures.”
Since 2000, the company has manufactured more than 18 billion rounds of small-calibre ammunition at the Lake City site in support of the US and allied troops worldwide.
The company has invested more than $100m in the manufacturing unit since 2012, including research and development in addition to capital.
Orbital ATK’s Defense Systems Group focuses on providing its customers with new and affordable precision and strike weapons, advanced propulsion and hypersonics, ammunition, energetic products, as well as missile components across air, sea and land-based systems.
In May 2016, the company received a $210m US Army order to produce 5.56mm, 7.62mm and .50-calibre ammunition.