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Orbital ATK Secures $69M Precision Guidance Kits Contract Option; Dan Olson Comments

Orbital ATKOrbital ATK (NYSE: OA) has been awarded a $69 million contract to produce artillery precision guidance kits for the U.S. military.

Orbital ATK is scheduled to complete production work for PGK fuzes by 2019 under a second option of a previously awarded full-rate production contract, the company said Thursday.

The projectiles are designed to help military commanders launch artillery with a 98-foot precision of the target and minimal collateral damage.

“Extensive, rigorous testing continues to prove maturity of PGK technology in terms of producibility, reliability, performance and safety, ” said Dan Olson, vice president and general manager for Orbital ATK’s armament systems division.

The kits incorporate guidance and fuze function for 155mm artillery projectiles.

Orbital ATK’s recent initial PGK production run completed nine lot acceptance tests aimed to demonstrate how the kits could guide the round in flight and leverage fuze functions in extreme environmental conditions.

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