Air Force Awards Trio of Rocket Development Contracts to ULA, Northrop Grumman, Blue Origin but Not SpaceX

USAF awarded contracts valued at over $2 Billion to ULA, Northrop Grumman and Blue Origin to develop new prototype rockets for National Security Space launches.  Collage Credit: Ken Kremer/kenkremer.com/spaceupclose.com

Ken Kremer  --   SpaceUpClose.com  --   12 October 2018

CAPE CANAVERAL, FL –  The U.S. Air Force announced a trio of contracts to develop rocket prototypes for future National Security Space launches to United Launch Alliance, Northrop Grumman and Blue Origin worth more than $2 Billion under a Launch Service Agreements competition. 

The USAF revealed the winners of “the award of three Evolved Expendable Launch Vehicle (EELV) Launch Service Agreements (LSA) to (in alphabetical order) Blue Origin, Northrop Grumman Innovation Systems, and United Launch Alliance,” in a statement issued Oct. 10.

To most everyone’s surprise SpaceX was not awarded an LSA contract.

Under the Launch Service Agreement awards Blue Origin will develop the New Glenn Launch System, Northrop Grumman Innovation Systems will develop the OmegA Launch System and United Launch Alliance (ULA) will develop the Vulcan Centaur Launch System.

As to why SpaceX was not selected, the fact is they already have developed and received USAF launch contracts for the Falcon 9 and Falcon Heavy and may not need the additional LSA contract funding. 

The purpose of LSA is to insure competition with at two launch service providers, cut costs and end US reliance on the Russian-made RD-180 engines for national security launches – as is the case currently with the ULA Atlas V. 

The LSA awards start now in Fiscal Year 2018 and run through 2024 - under what is known in Air Force parlance as Other Transaction Authority (OTA) for prototype projects. 

ULA received the largest share of the OTA funding amounting to $967 million.  Next is $792 million for Northrop Grumman and finally $500 million for Blue Origin. 

The awards are to develop rocket prototypes for each of the three launch systems currently being actively developed by all three of the aerospace companies for several years with both government and company funding. 

The LSA agreement enables each company to continue Research & Development efforts via public-private partnership agreements.

In 2020 the Air Force will down select to two companies and thereby terminate funding to the third - leaving them to fend for themselves if they wish to continue R & D minus government help. 

“The Launch Service Agreements will facilitate the development of three domestic launch system prototypes and enable the future competitive selection of two National Security Space launch service providers for future procurements, planned for no earlier than fiscal year 2020,” said the Air Force. 

The goal of the LSA strategy is “ensuring that the U.S. maintains assured access to space, with at least two domestic launch service providers and without reliance on non-allied rocket propulsion systems” – which translates as the RD-180. 

"Our launch program is a great example of how we are fielding tomorrow's Air Force faster and smarter," said Secretary of the Air Force Heather Wilson, in the USAF statement. 

"We're making the most of the authorities Congress gave us and we will no longer be reliant on the Russian-built RD-180 rocket engine."

Northrop Grumman OmegA Launch System was one of three companies awarded USAF contracts to develop prototype rockets for National Security Space launches.  Credit: Northrop Grumman

ULA has been developing the Vulcan Centaur since 2014 and CEO Tory Bruno recently announced the selection of the Blue Origin BE-4 engine to power the first stage – as we reported here. 

First launch is expected in 2020.

ULA Vulcan Centaur was one of three companies awarded USAF contracts to develop prototype rockets for National Security Space launches. Credit: ULA

“Thank you to the @usairforce for your confidence in the @BlueOrigin team and our #NewGlenn rocket,” tweeted Blue Origin founder and owner billionaire Jeff Bezos. 

“We are proud to serve the national security space community and are committed to providing safe, reliable access to space for the nation.”

Blue Origin New Glenn was one of three companies awarded USAF contracts to develop prototype rockets for National Security Space launches.  Credit: Blue Origin

“We are pleased to receive this follow-on award from the Air Force,” said Scott Lehr, president, flight systems, Northrop Grumman. “Our new OmegA rocket leverages technologies, capabilities and flight experience gained from decades of successful rocket launches, making it an affordable and reliable choice for national security missions.” 

“Over the last three years, Northrop Grumman and the U.S. Air Force have together invested more than $300 million in developing the OmegA rocket.

OmegA is a three stage rocket slated for maiden launch in 2021.  

“The LVA for Omega covers both the intermediate and heavy lift versions including for test flight in 2021 and 2024 [respectively],” said Mike Laidley, vice president of the OmegA program at Northrop Grumman, in an interview with Space UpClose. 

Watch for my upcoming detailed OmegA story and interview with Mike Laidley, VP OmegA program at Northrop Grumman. 

Watch for Ken’s continuing onsite coverage of NASA, SpaceX, ULA, Boeing, Lockheed Martin, Orbital ATK and more space and mission reports direct from the Kennedy Space Center, Cape Canaveral Air Force Station, Florida and Wallops Flight Facility, Virginia.

Stay tuned here for Ken's continuing Earth and Planetary science and human spaceflight news: www.kenkremer.com –www.spaceupclose.com – twitter @ken_kremer – email: ken at kenkremer.com

Dr. Kremer is a research scientist and journalist based in the KSC area
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