Rheinmetall Nioa’s Maryborough factory celebrates first shells

While Prime Minister Anthony Albanese announced a review into Australia’s defence capability on Wednesday, a munitions factory in regional Queensland demonstrated it was ready to go, and to expand if and when necessary.

On the day Prime Minister Anthony Albanese announced a strategic review of the Australian Defence Force amid concerns of a “capability gap” in the nation’s armed forces, Maryborough’s Rheinmetall Nioa munitions factory celebrated the completion of its first projectiles.

RNM director Jackson Nioa said the celebration of the milestone was made all the more timely by the Prime Minister’s comments regarding defence capability, with a demonstration of the capability that was “here, ready to use” in Maryborough.

Mr Albanese said the review was aimed at ensuring the ADF was well positioned to meet Australia’s security challenges over the next decade and beyond.

“This review will prepare Australia to effectively respond to the changing regional and global strategic environment and ensure that defence‘s capability and force structure is fit for purpose, affordable and delivers the greatest return on investment,” Mr Albanese said.

(From left) Rheinmetall NIOA Munitions project manager Jeff Crabtree, RNM director Jackson Nioa and Maryborough MP Bruce Saunders with the first projectiles to come out of the $60m shell forging plant at Maryborough.

The completion of the first batch of shells comes as the factory prepares to ramp up production of the world’s most advanced artillery projectiles.

When full rate production commences later in 2022, the $60m plant will have a workforce of up to 100 skilled staff including engineers, line supervisors, skilled operators, maintenance staff and apprentices.

It will produce about 100,000 shells every year

The factory uses a 1250-tonne hot forging press and computerised machinery to produce 155mm artillery projectiles and metal parts for other munitions used by the Australian Defence Force as well as export markets.

The project has had multi-level government backing, with a $28.5m injection from the Federal Government’s Regional Growth Fund on top of $7.5m from the Queensland Government’s Jobs and Regional Growth Fund and support from the Fraser Coast Regional Council.

Maryborough MP Bruce Saunders was on hand for the historic event, describing it as “another cog” for the region’s manufacturing portfolio.

The completion of the first batch of shells comes as the factory prepares to ramp up production of the world’s most advanced artillery projectiles.

“Maryborough will become the number one regional manufacturing hub,” Mr Saunders said.

“This is what you get when you get all levels of government working together.

“It is fantastic to see Rheinmetall Nioa Munitions investing in Maryborough.”

Mr Saunders said he was impressed by what he had seen develop within the factory in the two years since the first sod was turned.

Rheinmetall NIOA Munitions deputy chairman and NIOA CEO Robert Nioa said the successful completion of the first projectile was a significant milestone for the factory and Australian defence industry.

“This is a huge step as we scale up production in Maryborough,” he said.

“It is also a huge step in providing a sovereign munitions capability never seen before in Australia. We’ve never been able to make a 155mm projectile in Australia.

‘‘As the ongoing conflict in Ukraine demonstrates, the ability to produce your own munitions is critical for any nation. Artillery projectiles are among the highest used munitions in the Ukrainian conflict.

‘‘The world’s best blueprint is right here in Maryborough and it’s a facility that can be readily expanded to respond to Australian and global demand.

‘‘This would not have been possible without the support from all levels of government.”

Rheinmetall NIOA Munitions chairman and Rheinmetall Waffe Munition CEO Roman Koehne said the joint venture operation with Australian-owned NIOA would secure national defence supply and support the international Rheinmetall supply chain.

“This is an important moment where regional Queensland can become an important player in the global supply network of munitions,” he said.

“RNM is proud to call Maryborough home and we look forward to combining Rheinmetall’s global expertise combined with a highly-qualified local workforce to elevate Maryborough as a centre of military manufacturing excellence.”