Contract: SpaceX, $33.6M

Space Exploration Technologies, Corp. (SpaceX), Hawthorne, Calif., has been awarded a $33,660,254 other transaction agreement for the development of the Raptor rocket propulsion system prototype for the Evolved Expendable Launch Vehicle (EELV) program. This agreement implements Section 1604 of the Fiscal Year 2015 National Defense Authorization Act, which requires the development of a next-generation rocket propulsion system that will transition away from the use of the Russian-supplied RD-180 engine to a domestic alternative for National Security Space launches. Another transaction agreement was used in lieu of a standard procurement contract in order to leverage on-going investment by industry in rocket propulsion systems. This other transaction agreement requires shared cost investment with SpaceX for the development of a prototype of the Raptor engine for the upper stage of the Falcon 9 and Falcon Heavy launch vehicles. The locations of performance are NASA Stennis Space Center, Miss., Hawthorne, and Los Angeles Air Force Base, Calif. The work is expected to be completed no later than Dec. 31, 2018. Air Force fiscal 2015 research, development, test and evaluation funds in the amount of $33,660,254 are being obligated at the time of award. SpaceX is contributing $67,320,506 at the time of award. The total potential government investment, including all options, is $61,392,710. The total potential investment by SpaceX, including all options, is $122,785,419. This award is the result of a competitive acquisition with multiple offers received. The Launch Systems Enterprise Directorate, Space and Missile Systems Center, Los Angeles Air Force Base, is the contracting activity (FA8811-16-9-0001). (Source: DoD, 01/13/16)