The U.S. Army has set up a massive new contract vehicle that puts 11 companies in competition to design, build and modernize government-owned ammunition plants across the country, with a shared ceiling value running into the billions of dollars. The Department of Defense notice behind the selections was published on Nov. 5, and it marks a major step in the military's long-running push to update its aging weapons-manufacturing infrastructure.
A contract listing puts the figure at $4,171,491,000 for a firm-fixed-price award covering government-owned, contractor-operated Army ammunition plant design, build and commissioning work, according to Aerotech News & Review. CSG, the parent company of one of the winning firms, describes the figure differently, saying in a release carried by GlobeNewswire that “the program's total ceiling of approximately $4.2 billion applies collectively to all selected contractors.” As AL.com reported, the Army set aside the money for ammunition plant projects and selected the 11 companies to compete for individual work orders.
The Army received 11 bids for the opportunity and placed every single bidder onto the contract, according to Defence Blog. That outlet is careful to note what the number does not mean: “The $4.17 billion figure is a ceiling shared by all 11 companies over five years, and the Army is not obligated to order that much.” In other words, landing a spot on the contract is an invitation to bid, not a guaranteed paycheck.
How the Competition Will Actually Work
Rather than handing out a lump sum, the Army will dole out individual orders over time, with the companies competing against one another for each one. Aerotech reports that work locations and funding will be determined with each order, meaning no single firm knows yet where or how much it might ultimately build. AL.com's reporting describes the competition period as running through Nov. 3, 2031, while the Aerotech contract listing gives an estimated completion date of Nov. 4, 2031 — a one-day discrepancy between the two accounts.
CSG said the program will modernize seven U.S. Army ammunition facilities, a scope that lines up with the broader modernization effort the Army has been describing for years. A USAASC description posted on the Army's acquisition support site said that, as of January 2025, six government-owned, contractor-operated ammunition plants were already undergoing modernization while a seventh sat inactive. The stated goals, per that same page, are to increase manufacturing safety and readiness and to modernize production processes using industry best practices.
The Companies Now in the Running
The roster includes a mix of construction giants and specialized contractors headquartered from coast to coast. Hensel Phelps Construction Co. is based in Greeley, Colorado, while Burns & McDonnell Engineering Co. Inc. calls Kansas City, Missouri, home. Clark Construction Group LLC is headquartered in Bethesda, Maryland, and Alberici Constructors Inc. is based in St. Louis, Missouri.
Other selected firms include BAE Systems Ordnance Systems Inc., based in Kingsport, Tennessee; J Kokolakis Contracting Inc., of Tarpon Springs, Florida; and M.C. Dean Inc., headquartered in Tysons, Virginia. Rounding out the list are Parsons Government Services Inc. of Centreville, Virginia; Bering-Weston JV LLC of Anchorage, Alaska; and Applied Research Associates Inc. of Albuquerque, New Mexico. Companies on the contract will design, build and modernize the government-owned, contractor-operated plants named in the program.
A Florida Subsidiary With a Recent Track Record
Among the 11 is MSM Group North America Inc., based in St. Petersburg, Florida, which CSG identified as its subsidiary in the GlobeNewswire release. CSG said MSM has been selected as one of the Army's qualified contractors eligible to compete for ammunition-plant modernization projects, and that the program includes new production capabilities and advanced manufacturing technologies.
Jan Marinov, CEO of CSG's Defence Systems Division, said the company's manufacturing experience, technological expertise and industrial investment execution are a competitive advantage. Marinov also said MSM North America's selection demonstrates its capabilities in the U.S. defense market. MSM already has recent history with the Army: the company secured a contract worth up to $635 million in August 2025 for the Future Artillery Complex at the Iowa Army Ammunition Plant, per the CSG release. Separately, Pulse2 reported that MSM received a $105.77 million modification tied to the Iowa 155mm ammunition facility project, describing that funding as distinct from the larger competitive contract vehicle now in place.
What Remains Unsettled
Despite the headline-grabbing dollar figures, several key details remain undetermined. The Army has not specified which facilities will receive which orders or how funding will be split, and per the defense notice, those decisions will come with each individual order as it's issued. Being named to the contract does not guarantee any of the 11 companies a specific share of the work — the five-year window simply opens the door for them to bid against each other as the Army works through its backlog of aging ammunition infrastructure.
