The U.S. medium to large caliber ammunition maker, American Ordnance LLC  has received an $89,4 million contract modification for M918E1 40mm training rounds.

The US Army has signed an agreement with American Ordnance LLC to acquire the M918E1 training rounds for 40mm grenade launcher.

“American Ordnance LLC, Middletown, Iowa, was awarded an $89,418,245 modification (P00022) to contract W15QKN-15-C-0044 for the acquisition of M918E1 40mm High Velocity Target Practice – Day/Night/Thermal (HV TP-DNT) – cartridge,” said in put out by U.S. Department of Defense on Monday.

Also noted that work will be performed in Middletown, Iowa; Coachella, California; Radford, Virginia; Santa Margarita, California; O’Fallon, Missouri; Lynchburg, Virginia; Mountainside, New Jersey; and St. Bonaparte, Iowa, with an estimated completion date of Nov. 30, 2021.

The new M918E1 training rounds by American Ordnance LLC are designed specifically for the Mk19 automatic grenade launcher and will allow Soldiers to get a better training capability than they have right now.

Training rounds, such as  M918E1, use paint charges to mark where the rounds fall, allowing soldiers to observe and adjust fire.

The new high-velocity training rounds will maintain the capability of the former rounds, including the ability to see effects at night, and through the use of night vision goggles and thermal sights.