Saudi Chemical Company Holding announced that its subsidiary, Saudi Chemical Company Limited, has signed a five-year contractual agreement with National Company for Mechanical Systems (NCMS) to supply military-grade trinitrotoluene (TNT) under a deal valued at up to $198 million.

The agreement has a maximum ceiling of $198 million (SAR742 million), inclusive of value-added tax, with the final value dependent on purchase orders issued by NCMS in line with agreed annual quantities, said a Saudi Stock Market filing by the company.

Under the contract, Saudi Chemical Company Limited will supply trinitrotoluene in accordance with approved technical specifications, pricing schedules and purchase orders issued by NCMS.

The contract was signed on May 14, 2026, and will run for five years.

Saudi Chemical Company Holding said the deal is expected to have a positive impact on its financial results beginning in the fourth quarter of 2026.

The company added that actual supply operations will commence after the project reaches commercial operation, the date of which will be announced at a later stage. -TradeArabia News Service