Australian drone manufacturer Orbital UAV said it secured a $2 million contract with a major Singapore customer to continue and complete a multi-fuel unmanned aerial vehicle (UAV) engine program.
Todd Alder, chief executive officer and managing director of Orbital UAV, said in an ASX announcement that engineering work for the Singapore customer continues progressing as planned and is set to move towards initial production in late 2023.
“The multi-fuel UAV engine incorporates Orbital UAV’s patented heavy fuel technology and will provide best-in-class performance to our customer,” Alder said.
Production of the new engine model is slated to begin in the first half of financial year 2024.
Manufacturing work will be performed at Orbital UAV’s operations in Australia, where the ASX-listed company already has two engine models in production.
“Our dedicated UAV engine production facility in Perth, Western Australia is unique in its offering. With leading-edge testing facilities and advanced aerospace manufacturing systems and processes, Orbital UAV has the capability and capacity to supply the world’s largest UAV manufacturers,” Adler said.
The engine model being developed for the Singapore customer will continue to build the company’s global reputation and demonstrate cutting-edge advantages in the industry, Alder said.
The continuation contract scope of work commences with immediate effect and will continue into fiscal year 2024. The contract is expected to contribute $0.5 million in fiscal year 2023, with the balance expected to be realised in fiscal year 2024.
Orbital UAV has established itself as a global leader in the design and manufacture of UAV engine systems.
The company’s proprietary heavy fuel injection technology has achieved hundreds of thousands of flight hours for multiple global customers, the company said.
“Heavy fuel engine capability remains critical to the successful deployment of systems operating within the UAS space. We continue to see that requirement grow and our engine development program with our Singapore customer is a perfect example of this global demand,” Alder said.
