The first contract was awarded by a new customer and requires the company to deliver 400,000 40mm low-velocity grenades.
The ammunition is scheduled to be delivered by December.
Under the second contract, an existing customer has placed an order for 100,000 rounds of medium-velocity grenades.
Rheinmetall Denel Munition is expected to deliver these between December and next February.
Negotiations are also in progress to increase the quantities of the contract.
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However, specifics regarding the customers were not disclosed.
Rheinmetall Denel Munition CEO Jan-Patrick Helmsen said: “With these two contracts, we are expanding our customer base in Asia.”
As the South African subsidiary of Germany-based Rheinmetall, Rheinmetall Denel Munition supplies a wide range of 40mm ammunition, including 40 x 46mm low-velocity (LV), 40 x 53mm high-velocity (HV) and 40 x 51mm medium-velocity (MV) ammunition.
The high-precision ammunition meets global standards and is suitable for use with advanced grenade launchers.
While the 40mm LV ammunition has a range of more than 400m, the 40mm MV ammunition offers a range of more than 800m, which is an additional 200m compared to other similar products in the market.
Both these variants use a High Explosive Dual Purpose projectile.
With fragmentation and shaped charge, the ammunition also offers high penetrating power.
It can penetrate a 50mm rolled homogenous armour (RHA) and also be used against bunkers or armoured targets.
In November 2020, Rheinmetall announced the delivery of 40mm medium-velocity ammunition to the South African Army as part of Project Kamogelo.
Rheinmetall Denel Munition completed the handover on behalf of the South African Army, South Africa’s arms procurement agency Armscor and the South African Department of Defence.