The Army awarded $435 million to Repkon USA, which plans to build the facility in Graham, an unincorporated community in Muhlenburg County, roughly 135 miles southwest of Louisville. TNT is the key ingredient in bombs, grenades and ammunition.

A production facility to manufacture TNT for the Army will be built in Western Kentucky. Repkon USA has been awarded a $435 million contract to build the plant in the Graham community in Muhlenberg County, Sen. Mitch McConnell announced on Friday. It’s the first time since the 1980s that the Army has produced TNT in the United States.

The U.S. Army awarded a $435 million contract on Friday to build a TNT production plant in western Kentucky that will become the first domestic source for the explosive material in decades, officials said.