Rheinmetall has taken a step toward building a satellite processing and test facility in northern Norway through a new agreement with the municipality of Andøy.
Rheinmetall Nordic AS and the local government signed a letter of intent to establish the Rheinmetall Integrated Process Facility at Prærien Business Park in Andenes.
The planned site is intended to function as a satellite test center and support the wider space and defense cluster developing around Andøya.
The agreement outlines early cooperation on land leasing, zoning, and construction planning. Rheinmetall will provide technical specifications needed for permitting and design work, while the municipality will support infrastructure access and administrative processing.
However, the project still requires a final investment decision from Rheinmetall before moving to full development. Rheinmetall retains exclusive rights to the designated site area as planning continues.
“The municipality’s commitment and proactive support are essential to realizing this strategically important facility, and we are encouraged by the progress to date,” Rheinmetall Nordic CEO Morten Kjørum said.
Norway’s Defense Industry Expands
Rheinmetall’s planned facility adds to efforts by Norway to steadily expand its defense and aerospace ecosystem, including the government’s proposed increase in defense funding through 2036.
This increases defense spending toward the NATO target of 3.5 percent of GDP by 2035.
Beyond funding commitments, Norway has also been strengthening its domestic defense infrastructure through new industrial and maintenance facilities.
In 2025, Kongsberg opened a new maintenance depot in Rygge to support the country’s F-35 fighter fleet. The facility will handle heavy maintenance, upgrades, and modifications for F-35 aircraft.
This followed the creation of a missile manufacturing plant by Kongsberg in 2023.
