Strategic Defence Review - Energetics Information Notice

Descriptions

UK government is acting on the Strategic Defence Review's recommendations by investing in an 'always on' pipeline for munitions including building at least six new energetics and munitions factories in the UK.

The User requires the manufacture of the following Energetic Materials:

· RDX (Bachman or Woolwich)

· HMX

· Trinitrotoluene (TNT)

· Nitrocellulose (NC)

· Nitroglycerine (NG)

· Nitroguanidine (NQ)

· Hexanitrostilbene (HNS)

· Ammonium Perchlorate (AP)

· Boron Potassium Nitrate (BKNO3)

Other materials in the following classes: High explosives, Propellants, Ignitors, Detonators, Pyrotechnics, may be considered on an exceptional basis. Proposals will be sought which demonstrate economic and technical viability with capital available for investment.

Additionally, the Authority welcomes expressions of interest from consumers who wish to establish a supply of these materials for current facilities (domestic or exports) or aim to establish a capability in the UK which will rely on them.

Overview:

The Strategic Defence Review sets out the ambition of moving to warfighting readiness through a whole-of-society approach ensuring an engine for growth through a new partnership with industry, radical procurement reforms, and backing businesses to establish and grow in the UK.

The MoD aims to achieve this through a coherent set of significant multi-year investments in onshore energetic materials synthesis through UK-based or overseas-based suppliers. These investments will typically form part, but not all, of the funding required for the establishment of a facility.

During the formal tender documentation process, suppliers should consider how they will generate UK growth. Companies with established order books/markets will be prioritised. Proposals must demonstrate that they are economically and technically viable to progress.

Consideration should also be given to:

1. The scale of the proposed facility and the market demand required to support it:

1.1 Proposals should assume a range of scenarios such as surge demand and reduced or minimal UK MoD demand.

1.2 Other offtakes, such as exports and civilian markets, should be considered and are expected to form the majority of the demand signal. UK government, via the MoD's Defence Exports team, will actively support export campaigns.

2 Economic viability including fluctuating demand and market prices.

2.1 Proposals should be economically viable as further support funding for facilities is not envisioned.

3 The level of investment required (VROM) and how this will be raised:

3.1 Including internal company investment and external venture capital

3.2 It is expected that MoD funding will not form the majority of funding for proposals.

4 Wider requirements to establish a facility including:

4.1 Regulatory

4.2 Skills

4.3 Export support (including UKEF)

4.4 Technology

4.5 Sites