Construction of a new ammunition plant begins in Norway

Nammo has launched construction of a new plant in Norway as part of its efforts to increase ammunition production.

The Norwegian government announced this.

The company will be located in Raufoss in the north of the country. Construction started on Monday, December 2.

The Norwegian government has signed an agreement with Nammo worth NOK 1.083 billion (about €93 million) to maintain increased production readiness over the next 15 years.

The agreement, among other things, stipulates that Nammo will build a new production facility to increase ammunition production. This investment was announced in early 2024.

The Norwegian Ministry of Defense emphasized that the commissioning of the new plant will be an important milestone for the Norwegian defense industry. It will increase the production of artillery ammunition and rocket engines to meet the needs of Norway, NATO allies, and Ukraine.

“Russia’s war against Ukraine has created a great need for artillery ammunition. Today’s production capacity is not enough to meet the needs, and the government has taken measures to help double it,” Hans Christian Kjølseth, State Secretary to the Minister of Defence, reported.

The Norwegian government also contributed to increasing ammunition production by signing large long-term contracts with Kongsberg Defense and Nammo.

Also, thanks to co-financing under the EU’s ASAP program, the government has secured NOK 3 billion to be used to increase the production capacity of the Norwegian defense industry.

According to the plan, the production of shells can be increased tenfold, and other shells and rocket engines can be doubled. The production of 120mm tank ammunition will also increase.

Assistance to Ukraine

Nammo is one of the largest ammunition manufacturers in Europe, and it is also expected to help Ukraine with artillery shells.

In August, the Norwegian government announced that Ukraine would launch the production of 155mm artillery shells using Nammo’s technology. The transfer of technology and experience to the Ukrainian side will be funded under the Nansen program.