Orbital UAV expands supply agreement with Boeing subsidiary

Orbital UAV has been confirmed as one of the suppliers of engines for Insitu's ScanEagle® aircrafts. Picture courtesy of Insitu.

Perth-based manufacturer of propulsion systems and flight components for Unmanned Aerial Vehicles (UAVs), Orbital UAV, today announced an expansion of its existing long term agreement with Insitu, a wholly owned subsidiary of the Boeing company.

The agreement increases the scope, scale and term of work on Orbital UAV’s existing partnership with Insitu – signed in December 2016 – for the manufacture and supply of Orbital UAV propulsion systems for Insitu’s defence aircrafts.

While the original agreement was valued at $120 million, covering the supply of Insitu-Orbital UAVE “N20” propulsion systems to Insitu for near term program requirements over three years, the expanded agreement has a potential value of $120-$350 million over a period of five years, according to an ASX announcement by the company today.

Following the agreement in 2016, Orbital UAV had established a purpose built U.S. facility in Hood River, Oregon in December 2017 to support its operations in the US.

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Under the terms of the expanded Long Term Agreement, Orbital UAV will deliver multiple propulsion systems and services that will be applied across Insitu’s entire range of unmanned aircraft system (UAS) platforms.

Orbital UAV has also been confirmed as one of the suppliers of two Insitu in-house designed engines, for use in its Integrator™ and ScanEagle® aircrafts.

Orbital UAV recently released its new Modular Propulsion Solution (MPS) – which addresses a growing need within the tactical UAV market for aircraft to have the flexibility and versatility to adapt to varying end customer requirements.

Orbital UAV’s solution provide tactical UAV manufacturers with a modular range of propulsion systems, capable of being integrated across multiple UAV platforms with varying payloads and capability.

“The tactical UAV market is growing at pace, with ever more aircraft being developed and deployed,” said Todd Alder, CEO and managing director of Orbital UAV.

“In order to harness the potential of this growth, Orbital UAV is developing the Modular Propulsion Solution to provide customers with increased choice and flexibility, providing them with the agility to adapt to changing end customer demands.”

Orbital UAV is currently working closely with Insitu during the development phase, with delivery of the first units due in early 2019.