WASHINGTON, Sept 17 (Reuters) - U.S. rocket propulsion
startup Ursa Major said on Tuesday it was awarded a $12.5
million contract to build out production and testing for new
solid fuel rocket engines.
The award, though small, is part of a bigger effort by the
Pentagon to increase the number of rocket makers as stockpiles
dwindle from supplying Ukraine and Israel in their ongoing wars.
CONTEXT
The agreement contains some of the first funds distributed
from the Pentagon's Office of Strategic Capital which are meant
to seed investment in the defense industrial base's supply
chain. The Navy is also contributing to the $12.5 million award
that is being matched by Ursa Major, culminating in a $25
million expansion of the company's solid rocket motor
capabilities.
The investment will support Ursa Major's efforts to enhance
its solid rocket motor manufacturing process under the Office of
Strategic Capital's Transition Acceleration Program, which aims
to fund development of future defense products.
Separately, the Navy awarded a contract earlier this year
to address surging demand for the M104 engine which is used in
RTX Corp's ( RTX ) Standard Missile family of missiles.
WHAT'S NEXT
Ursa Major's contribution to the investment will be directed
toward completing an Advanced Manufacturing Pathfinder program,
which includes the design, manufacture, and testing of a solid
rocket motor prototype.
Tuesday's award is significant because it is one of the first
from the Office of Strategic Capital, a fund which was
established to boost public-private investments in critical
technology areas for national security.