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Kongsberg secures major Naval Strike Missile contract with US valued at NOK 12 billion
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Kongsberg secures major Naval Strike Missile contract with US valued at NOK 12 billion
by Robert Schreiber
Berlin, Germany (SPX) Nov 13, 2024

Kongsberg Defence and Aerospace (KONGSBERG) has been awarded a significant multi-year contract by the US Navy to supply Naval Strike Missiles (NSM) over a five-year period. The fixed-price contract is initially valued at NOK 10 billion, with options that could increase the total to NOK 12 billion.

"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 defence capabilities and create value for important stakeholders in Norway and the US," stated Geir Haoy, President and CEO of KONGSBERG.

The NSM is central to the US Navy's Over-the-Horizon Weapons System (OTH-WS) Program, being deployed on Littoral Combat Ships and CONSTELLATION-class Frigates. Additionally, KONGSBERG is supplying the NSM to the US Marine Corps for its Navy Marine Expeditionary Ship Interdiction System (NMESIS) Program.

"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," said Eirik Lie, President of Kongsberg Defence and Aerospace.

In response to growing global demand for the NSM and JSM (Joint Strike Missile), KONGSBERG recently revealed plans to establish a new missile production facility in James City County, Virginia.

Originally developed by KONGSBERG and deployed by the Norwegian Navy in 2012, the NSM is renowned for its effective operational performance and resilience against advanced enemy defense systems. This missile system is integral to the Norwegian Navy's fleet and has been adopted by numerous international defense forces, including the US Navy, US Marine Corps, Poland, Romania, Canada, Germany, Australia, Malaysia, Spain, the UK, The Netherlands, Belgium, and Latvia.

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