BAE Systems said it has signed a $50 million deal with the U.S. Army to build new M777 howitzer structures, with a target of fulfilling initial deliveries in 2025.
The negotiations are ongoing to finalize the details of the agreement and its total value, but the current terms allow BAE to start delivering on the howitzer program.
According to the company, the M777 titanium structures, the basis of the gun, will be produced with help from its supply chain in the United States and the United Kingdom.
It sees the contract as presenting a conducive condition that could lead to a restart of M777 production in the U.K.
The agreement also creates an opportunity for new and existing users “to join a new M777 production initiative and take advantage of the benefits from a hot production line and economies of scale,” the company said in a statement.
Currently, there are more than 1,250 units deployed in the United States, Ukraine, the Americas, Australia and India, a testament to battle-proven equipment, the company said.
According to John Borton, vice president and general manager of BAE Systems Weapons Systems UK, the introduction of new technologies and the advancement of long-range precision-guided munition developments will ensure that the M777 will remain a key artillery option.