On Wednesday, 28 January 2026, the Naval Surface Warfare Center Crane Division, a division of Naval Sea Systems Command (NAVSEA), acting on behalf of the United States Department of Defense, awarded an indefinite-delivery contract valued at 28,000,000 USD to Black Hills Ammunition for the supply of intermediate-caliber ammunition with the MK 255 MOD 1 anti-ricochet projectile for users in the United States Navy.
Photo: EMac’s Tactical ARMORY
Four offers were received from small businesses under the Small Business Selection program. The IDIQ (indefinite-delivery/indefinite-quantity) contract does not include any options. Work will be performed in Rapid City, South Dakota, and is scheduled for completion by January 2031.
Initial funding in the amount of 455,664 USD will be provided from Fiscal Year 2026 defense procurement funds under the National Defense Authorization Act (NDAA) and will not expire at the end of the current fiscal year (i.e., 30 September 2026).
The contract covers the supply of 5.56×45 mm MK 255 MOD 1 RRLP (Reduced Ricochet Limited Penetration) cartridges, with Department of Defense Identification Code (DODIC): AA17. It features a so-called frangible projectile with a copper–polymer core that disintegrates upon impact with hard surfaces, eliminating the risk of ricochet and excessive penetration while still ensuring effective target engagement.
This is a specialized cartridge designed for United States Special Operations Command (US SOCOM), optimized for short-barreled AR-15–family carbines, such as the M4A1 with a 10.5-inch barrel (per the specification). It is used both for range training and combat operations in confined environments, including Close Quarters Battle (CQB), urban areas, boarding operations, and counter-narcotics missions.
It is also worth noting that on 12 September 2025, Black Hills Ammunition received a contract worth up to 7.5 million USD for the supply of 5.56×45 mm MK 262 MOD 1 (DODIC: AA53) intermediate-caliber ammunition for the United States Navy and the United States Marine Corps. Earlier, on 20 August 2025, the company was awarded a 40 million USD contract to deliver 6.5 mm Creedmoor (6.5×49 mm) ammunition for the same users.