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$80 million export deal for South Australian defence manufacturer

South Australian-made guided weapons systems will soon be exported to countries across Europe including Poland, Spain, and Denmark following a major Federal Government announcement.

The announcement of two major export deals by Kongsberg Defence Australia, worth a combined $80 million, was made on Thursday at the company’s production facility at Mawson Lakes’ Technology Park.

Under the landmark export deal, a $30 million contract will see Kongsberg Defence Australia deliver Naval Strike Missile Coastal Defence System Command and Control Consoles to Poland, the first such export contract since the company was added to the Commonwealth’s Global Supply Chain Program last year.

Also announced was a $50 million order for Australian-made Naval Strike Missile Launcher Systems to be exported to Spain and Denmark.

The exports are part of the Australian Government’s investment in the Guided Weapons and Explosive Ordnance (GWEO) Enterprise and are underpinned by a commitment in Defence’s Integrated Investment Program of $16 to $21 billion over the next decade.

Managing Director of Kongsberg Defence Australia John Fry, said the contracts are a huge milestone for the company.

“Together with our Australian suppliers, we have demonstrated our determination and competitiveness to be able deliver to our parent company, Kongsberg Defence & Aerospace for international customers, highlighting the capability, quality and reliability of our Australian team and supply chain,” Mr Fy said.

“The export contracts under the Commonwealth’s Global Supply Chain Program are creating opportunities in the international market for our local suppliers, which is a fantastic outcome for Australian Defence industry.”

Both the launcher systems and command and control consoles will be assembled by Kongsberg Defence Australia and tested at the Mawson Lakes production and maintenance facility.

The multi-million-dollar facility, opened in September last year, was celebrated as a first in the Asia-Pacific for the Norwegian-based company.

The launcher canisters will be supplied by advanced composite manufacturing company, Aerobond Defence and complex precision machined components for the launcher will be manufactured by QPE Advanced Machining, both based in Adelaide. The launcher frame and rail and other machined components will be manufactured by Australian companies in Victoria.

The two projects are set to create 60 highly skilled jobs at Kongsberg Defence Australia and across its local supply chain.

The Naval Strike Missile is a modern anti-ship cruise missile designed to defeat highly capable enemy warships as well as land-based targets – it is being installed on Navy’s Hobart class destroyers and Anzac class frigates with a successful first of class firing in July 2024 and Initial Operational Capability declaration in 2024.

Read the media release.

Photo: Industry representatives and government officials joined Kongsberg Defence Australia at its Mawson Lakes facility to mark the announcement of the two major export deals.

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