Orbital scores $1.1m contract to supply UAV engines
Orbital has much to cheer about after signing a new $1.1m contract to manufacture and supply its proprietary unmanned aerial vehicle heavy fuel engine systems to a new customer.
Under the contract, the company will deliver the engines in the second half of the 2024 financial year to a defence agency organisation, Finance International PL, for integration into the latter’s tactical UAV.
Orbital Corporation (ASX:OEC) notes that these engines will include its proprietary FlexDI® direct injection fuel system and FlexECU™engine control unit, which deliver benchmark performance when run on the military’s preferred kerosene-based fuels, JP-5 and JP-8.
“This latest order for our heavy fuel UAV engines demonstrates the growing reputation of our established product range and continues to expand our global customer footprint,” managing director Todd Alder said.
“We continue to witness the increasing strategic significance and growing demand for tactical UAV capability around the globe, and particularly the Asia Pacific region.
“Within APAC, several nations are exploring or developing their own sovereign capability in the tactical UAV domain.
“The military requirement for equipment to run on JP-5 or JP-8 fuels ensures that Orbital UAV’s unique patented technology continues to offer a significant advantage in the supply of superior propulsion solutions for this type of application.”
All manufacturing work will be conducted at the company’s facility in Perth, Western Australia, while payments for the successful delivery of this contract are expected to be recognised in FY24, as and when technical and delivery milestones are met.
This article was developed in collaboration with Orbital Corporation, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.