Northrop Grumman has been awarded a $40.5 million contract modification to continue producing precision guidance kits (PGKs) for the U.S. Army, the Department of Defense announced.
The contract modification (P00104) to agreement W15QKN-13-C-0074 will support ongoing efforts to enhance the accuracy of U.S. military artillery systems.
The Pentagon said the work will be carried out in Plymouth, Minnesota, with an estimated completion date of May 21, 2028. The funding comes from the Army’s Fiscal Year 2025 ammunition procurement budget, with the Army Contracting Command in Newark, New Jersey, overseeing the agreement.
The PGK system is designed to improve the accuracy of conventional 155mm artillery rounds, converting standard shells into precision-guided munitions. By integrating GPS-based guidance, the kits reduce circular error probability, allowing for more precise strikes on designated targets while minimizing collateral damage.
Northrop Grumman has played a central role in modernizing the U.S. Army’s artillery capabilities, and PGKs have seen operational use in recent conflicts, demonstrating their effectiveness on the battlefield. The ongoing investment in precision artillery aligns with the Pentagon’s broader strategy to enhance long-range fires and improve targeting accuracy in complex combat environments.
Northrop Grumman has not released additional comments on the contract modification, but the company has consistently highlighted the importance of PGK technology in providing military forces with increased lethality and precision while reducing logistical strain.
With completion expected by 2028, the program will ensure the availability of advanced guidance kits for years to come, reinforcing the Army’s artillery effectiveness in future conflicts.