NIOA, Diehl unveil naval ammunition partnership

Australian manufacturer has revealed it will team up with one of the world’s leading military manufacturers in what the company described a major step towards the local production and supply of naval munitions

At the Land Forces 2022 International Defence Exposition in Brisbane, Queensland’s NIOA announced a strategic partnership with German defence equipment manufacturer Diehl Defence.

Under the agreement, Diehl will transfer technology to NIOA to enable Australian production of the Diehl 5inch naval munition family including high explosives, practice projectiles and propelling charges.

Besides the conventional ammunition portfolio of Diehl, NIOA and Diehl are also evaluating possible cooperation in the areas of the guided long range ammunition capabilities and products of Diehl Defence.

Diehl is a supplier of high-tech guided missiles and innovative ammunition solutions, and an experienced manufacturer of naval ammunition, having previously supplied 76mm rounds to the Royal Australian Navy.

NIOA hopes to utilise its newly commissioned joint venture Rheinmetall NIOA Munitions [RNM] plant in Maryborough, Queensland for shell case production while the filling and finishing would occur at Benalla in regional Victoria at the Commonwealth Government-owned munitions facility.

The $90 million RNM factory in Maryborough is the most advanced artillery shell forging plant of its type on the world, using a 1250-tonne hot forging press and computerised machinery to produce 155mm projectiles and metal parts for other munition variants.

NIOA Group CEO Robert Nioa said: “NIOA and Diehl share the same strategic ambitions – to build defence capability.

“Diehl is known worldwide for its ammunition technology. This partnership means we are well positioned to accelerate the Australian manufacture of superior naval munitions, ensuring supply surety for the ADF.”

NIOA has invested more than $15 million in upgrades at Benalla over the past two years, including $2m to provide a permanent base for the company and another $13m to reinvigorate manufacturing capabilities.

Diehl Defence CEO Helmut Rauch said the collaboration was a significant step forward for the two companies.

Rauch said: “This agreement paves the way for Diehl to bring its world-leading expertise to Australia to support NIOA in the development of sovereign capability.

“Our highly advanced naval ammunition is used by navies worldwide and ensures the highest level of effectiveness and safety for a warship and its crew.”

Picture: NIOA