Northrop Grumman and Chemring Nobel of Norway Collaborate to Form a Long-Term Supply

Northrop Grumman Corporation (NYSE: NOC) and Chemring Nobel AS (CHN), a Norwegian-based specialty chemicals company, recently signed a long-term sourcing agreement for high-energy, explosive powder known as HMX to support warhead production at Northrop Grumman’s Missile Products manufacturing location at Rocket Center, West Virgina. The agreement builds on the companies’ long-standing relationship and complements Northrop Grumman’s efforts to expand its munitions manufacturing in response to growing customer demand. Signed last month, the 15-year agreement effectively secures supply amid demand for the critical chemical used in the production of warheads for smart tactical missiles.

This long-term sourcing agreement provides for a reliable long-term supply, guaranteed lead times and annual quantities, and predictable pricing, which is important due to the strict performance, safety and reliability requirements associated with HMX. The agreement with Chemring Nobel, Europe’s largest producer of HMX, is the latest example of Northrop Grumman’s commitment to supporting Norway, NATO and the security of the High North through the shared development of advanced technologies and industrial investments.

Helge Husby, managing director, Chemring Nobel: “As a supplier to Northrop Grumman for many years, we are delighted to have signed this long-term agreement. Chemring Nobel values this relationship and acknowledges the trust that this 15 years agreement places in us. We look forward to further developing our relationship and to providing a reliable security of supply.”

Stephen O’Bryan, corporate vice president and global business development officer, Northrop Grumman: “Northrop Grumman is committed to supporting Norway and its NATO partners in ensuring the security of the High North. The company is forging enduring partnerships with Norwegian industry, having awarded more than $500M in contracts in the last ten years.”

Earlier this year, Northrop Grumman Chair, CEO and President Kathy Warden highlighted the importance of trusted industry collaborations to regional security and NATO’s technological edge during a visit to Oslo when she met with Norwegian government and industry leaders to discuss security in the High North. Additionally, this agreement follows last month’s signing of a Memorandum of Understanding on planned collaboration between Northrop Grumman and Andøya Space to support Norway’s Long-Term Defense Plan. Northrop Grumman is a leading provider of advanced weapons systems including hypersonic propulsion, armaments, components, missiles, electronics and interceptors. The company has been producing tactical rocket motors, medium and large caliber ammunition, composite structures, mechanical and electronic fuzes and advanced weapons for the U.S. and its allies since the 1940s.

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