UPDATE 1-Chemring to buy mine detection company for $30 mln

LONDON, Oct 7 (Reuters) - British military consumables maker Chemring Group Plc (CHG.L: Quote, Profile, Research) is buying a U.S. mine-detection systems company for an initial $30 million, to boost its explosive ordnance disposal (EOD) business.

Chemring said on Tuesday it will pay up to an extra $10 million for Non-Intrusive Inspection Technology Inc (NIITEK), dependent on its winning orders and current management remaining for 2 years.

NIITEK has used U.S. Army funding to develop robot and vehicle-mounted mine detection systems incorporating its ground penetrating radar (GPR) and metal detection technologies.

Chemring chief executive David Price said NIITEK's first product was ready and it expected to receive significant orders, given "countermine and route clearance operations (are) becoming increasingly important to enable modern peace-keeping".

Price said NIITEK would also provide "a strong U.S. platform for Chemring's other EOD equipment, including disrupters, robot-mounted EOD weapon carriers, detectors, initiators and demolition stores".

Chemring makes countermeasures for use on land, at sea and in the air, and ammunition and explosives. Its M212 flares protect U.S. military helicopters from guided missiles. (Reporting by Dan Lalor)