Contract Award

FOR IMMEDIATE RELEASE 17 AUGUST 2005

                              CHEMRING GROUP PLC                               

            COUNTERMEASURES DIVISION SECURES £10.6 MILLION CONTRACT            

            FOR UK MINISTRY OF DEFENCE COUNTERMEASURE REQUIREMENTS             

Chemring Group PLC ('Chemring') is pleased to announce that its UK
countermeasures business, Chemring Countermeasures, based in Salisbury, UK, has
secured a £10.6 million order from the UK Ministry of Defence ('UK MoD') for
the supply of the majority of its countermeasure requirements. The contract
also includes post-design services for all of the supplied products. Initial
deliveries under the contract will be made over the period to April 2007.

Dr David Price, Chief Executive of Chemring, commented: '2005 continues to be
an excellent year for our countermeasures businesses. The order from the UK MoD
is most welcome and takes the Chemring Countermeasures' order book to £33
million, an increase of 40% since the end of April. The work will substantially
underpin their activities throughout 2006.'

Chemring is an international leader in defensive countermeasures, signalling
and training pyrotechnics and marine safety products. The countermeasures
division comprises Chemring Countermeasures in the UK, and Alloy Surfaces
Company, Inc. and Kilgore Flares Company LLC in the US.

For further information:

Dr David Price Chief Executive, Chemring Group PLC 01489 881880

Jonathan Rooper Cardew Group 0207 930 0777