The Hon. Dr Brendan Nelson,
Minister for Defence
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09 May 2006
Tuesday, 9 May 2006 |
066/2006 |
MAINTAINING AUSTRALIA'S CAPABILITY TO MANUFACTURE PROPELLANT AND EXPLOSIVES
I am pleased to announce that the Government will provide approximately $300 million over eight years to modernise the propellant manufacturing capability of the explosives and propellant facility at Mulwala NSW.
The Government is committed to ensuring Australia retains a capability to manufacture propellants and high explosives. To maintain this capability, the Mulwala facility requires extensive redevelopment.
The Government will contribute $130.8 million in additional funds over six years to modernise the propellant facility, with Defence providing the remaining amount.
The redevelopment project aims to modernise the core propellant production capability at Mulwala, which is essential to delivering a safer propellant manufacturing capability and meeting environmental regulations.
Maintaining this capability in Australia ensures that there is ongoing domestic access to munitions and explosives.
Bovis Lend Lease, which has teamed with US munitions technology partner ATK Thiokol Inc (USA), has been selected as the preferred contractor for the project. Subject to the successful conclusion of negotiations and parliamentary clearance, a contract will be signed in the first half of 2007.
This commitment will provide ongoing employment opportunities for the people of Mulwala NSW, Yarrawonga VIC and surrounding areas.
Options for further enhancements to the facility will be undertaken at a later stage.
Media contacts
Nigel Blunden |
(Dr Nelson) |
02 6277 7800 |
0407 632 931 |
Defence Media Liaison |
|
02 6265 3343 |
0408 498 664 |
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