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Ukraine and Czech producer to build ammunition factory in Ukraine



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Adds comments from Shmyhal, Fiala, companies, details; paragraphs 2-9

PRAGUE, July 16 (Reuters) -Ukraine's state company Ukroboronservice and Czech ammunition maker Sellier & Bellot plan to build an ammunition factory in Ukraine, Ukrainian Prime Minister Denys Shmyhal said on Tuesday after joint government meetings in Prague.

The Czech Republic has been a major backer of Kyiv in its fight to push back Russian invaders, spearheading an initiative that has sourced hundreds of thousands of ammunition rounds from around the world.

"Among other agreements in the defenсe industry, a new rounds factory will be built in Ukraine. The agreement was signed between Sellier & Bellot and Ukroboronservice," Shmyhal said, without providing further details.

"This is important for army supplies now."

Czech gunmaker Colt CZ Group CZG.PR, which acquired Sellier & Bellot this year, said it would provide machinery to make small-calibre ammunition as part of the project.

Another Colt CZ unit, Ceska Zbrojovka, also signed a technology transfer deal for its CZ BREN 2 rifles to be built in Ukraine, finalising earlier plans.

Shmyhal said Ukraine had received the first 50,000 ammunition shells from the Czech initiative launched earlier this year. Czech Prime Minister Petr Fiala said the ammunition drive shouldcontinue into next year.

Around half a million artillery shells are expected to be delivered to Ukraine this year from the Czech drive, which uses contributions from NATO states and allies to source ammunition outside Europe.



Reporting by Yuliia Dysa and Jason Hovet;
Editing by Alison Williams

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