Contrct for Modernization at Ammunition Plant

BAE Systems has been awarded a U.S. Army contract modification valued at $146.5 million to construct and commission a new facility that will increase the capacity for producing insensitive munitions at the Holston Army Ammunition Plant in Kingsport, Tennessee.

The project to build the Insensitive Munitions Weak Nitric Acid Recovery Facility is a major part of a multi-year effort to increase the production capacity of Insensitive Munition eXplosives (IMX), which are designed to be robust but more stable and safer to handle than conventional munitions. The plant, operated by BAE Systems, produces a wide range of explosive formulations for multiple applications to support the military, as well as commercial mining and oil operations. The new facility, designed with state-of-the-art safety and environmental controls, will recycle spent nitric acid that is generated at the plant and provide strong nitric acid to produce a range of IMX fills.

“The construction of this facility is strategic in eliminating current IMX capacity constraints,” said Reed McPeak, vice president and general manager of BAE Systems Ordnance Systems, Inc. “Once operational, it will position BAE Systems and the Holston plant to meet current and future IMX demands, both domestically and abroad.”

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Work on the new facility will begin this month, with an estimated completion date of July 2019.

Source: BAE Systems PLC (LSE: BAES.L)
Date: Oct 27, 2016