Kongsberg Defense & Aerospace has signed a multi-year procurement contract with the US Navy for the delivery of Naval Strike Missile (NSM) missiles to the Navy and Fleet Marine Force over a five-year period.
The fixed price contract awarded today is valued at NOK 10 billion (approximately $905 million).
This contract includes options which, if exercised, would bring the cumulative value of this contract to about NOK 12 billion (over $1 billion).
Geir Håøy, President and CEO of KONGSBERG: “This contract is the largest missile contract in KONGSBERG’s history and an important milestone for us. We are pleased the United States has selected KONGSBERG as an industry partner and look forward to continued cooperation to support US defense capabilities and create value for important stakeholders in Norway and the US.”
NSM is the centerpiece of the Navy’s Over-the-Horizon Weapons System (OTH-WS) Program and is being installed on Littoral Combat Ships and CONSTELLATION-class Frigates. KONGSBERG is also delivering NSM to the US Marine Corps as a key component of its NMESIS (Navy Marine Expeditionary Ship Interdiction System) Program.
Eirik Lie, President of Kongsberg Defense & Aerospace: “This contract is an example of the strong demand we see for our strike missiles across NATO and allied nations, which is why we this year have opened a new missile factory in Norway and announced two facilities in Australia and the US. The multi-year procurement contract vehicle provides KONGSBERG and all our sub-suppliers stability into the entire supply chain and workforce.”
KONGSBERG recently announced the building of a new missile factory in James City County, Virgina, in response to increasing demand for JSM and NSM.
