Minister: Choice of site for Rheinmetall ammunition plant will require decisions on compensation | Business

She also said the factory could employ several hundred people.

“The government must make decisions about the plot, about compensations, for those who now own the land. (…) We will look at the infrastructure in parallel with the specialists,” A. Armonaitė said on the LRT program “Lietuva Kalba” on Wednesday.

“Since the land itself belongs to the university, institute, ownership issues, they will have to be properly compensated, remunerated. These are the mechanisms that the Government has yet to work out. Since those decisions have not been adopted, they are not official, that’s why we did not approve and checked some other parcels,” said the minister.

According to her, after all formalities have been agreed, an investment agreement with Rheinmetall will be signed.

According to the minister, several hundred jobs will be created in the company.

“I am not authorized to clarify, but it is more or less clear in what scope.” It usually starts with fewer employees and then expands. (…) We are talking about similar numbers, but it has not been officially confirmed yet”, said A. Armonaitė.

An ammunition factory is being considered to be built on state land managed by LSMU near Baisogalas, Radviliškis district.

A. Armonaitė repeated that the Rheinmetall factory needs a specific plot.

“We are talking about hundreds of hectares, (…) due to the fact that there are special protection zones to keep that factory away from urbanized and urbanized areas. In other words, such factories cannot and will not be located anywhere in the settlements,” she said.

Minister of National Defense Laurynas Kasčiūnas said that after the signing of the investment agreement, representatives of authorities, institutions and experts will come to Baisogala and present to the community specific changes that would await the construction of a factory in this place.

The potential site for the plant is well protected, he said.

“I’ve heard that ‘we’re going to be a target’ narrative, it’s prevalent. (…) It means that it was clearly stated that the factory itself would be well protected, that is, the Šiauliai region, where our air defense capabilities are located the most, we will further expand those capabilities,” said L. Kasčiūnas.

“It’s one of the safest places from an air defense perspective,” he added.

About 50 kilometers from Baisogalas, in Zokniai, there is an air base of the Lithuanian Air Force, where soldiers of NATO allies are stationed and carry out the Alliance’s air police mission.

The Ministry of Economy and Innovation, which has started negotiations with Rheinmetall, announces that the construction of the factory is intended to start already this fall. According to her, the plot for the construction of the future 155 mm artillery ammunition can be approved soon.

“Rheinmetall”, A. Armonaitė and L. Kasčiūnas signed a letter of intent a week ago regarding the construction of an ammunition factory. The plot may soon be approved for her, according to the Ministry of Economy and Innovation.

On Tuesday, the Seimas adopted amendments creating more favorable conditions for large Western arms and ammunition manufacturers, including Rheinmetall, to build factories in Lithuania as soon as possible.