Notice of Intent to Award a Sole Source Contract for the Procurement of INSENSITIVE MUNITIONS (IM) TECHNOLOGY FOR THE Mk281 PRACTICE GRENADES, BA12 AND BA21

The Marine Corps Systems Command in Quantico, VA, plans to award a sole source contract to Rheinmetall Waffe Munition GmbH, Branch Nico in Germany, for the development, testing, and incorporation of engineering changes to improve the propulsion Insensitive Munitions (IM) in the Mk281 Practice Grenades, Mod 0 (DODIC BA12) and Mod 1 (DODIC BA21). Rheinmetall Nico is currently the sole producer of these grenades for the Marine Corps and holds the patent rights, as well as the specialized knowledge, tooling, and production capabilities necessary to conduct tests, manufacture test samples, and carry out First Article Testing before transitioning the updated technology into production. This contract is valued at approximately $4 million and is expected to commence within 30 days of the award date, with a total duration of 13 months. This acquisition falls under the North American Industry Classification System (NAICS) code 332993, covering ammunition manufacturing except for small arms. The contract is not open for competitive bidding, reflecting Rheinmetall Nico’s unique position as the sole source capable of fulfilling these requirements due to their proprietary rights and existing production role. The official award date is anticipated around mid-June 2010, and the Marine Corps Systems Command will oversee the contract execution with no solicitation documents available, emphasizing the exclusivity of this procurement.