Castelion has secured a production delivery order from the US Navy worth up to $200m to produce, assemble, test, and deliver an initial batch of Blackbeard Hypersonic Weapons for carrier-based naval aviation.
The award, issued by Portfolio Acquisition Executive Aviation (PAE(A)) via its Future Capability Development and Integration Aviation Rapid Capabilities Cell, authorises Castelion to deliver 444 All-Up Rounds (AURs) of the Blackbeard system.
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These AURs, described as fully functional tactical missiles within specialised shipping and storage containers, are scheduled for completion by September 2028.
This latest delivery order follows a June request for 50 Early Operational Capability (EOC) units and a separate $89.99m contract in August aimed at advancing the Blackbeard weapon system toward initial operational capability.
According to Castelion, the transition to large-scale production results from what it described as the Navy’s “embrace of commercial innovation and private investment” to speed up acquisition for carrier-based, long-range hypersonic strike capability.
Castelion co-founder and CEO Bryon Hargis said: “The Navy’s decision to move into production reflects its confidence in the Blackbeard programme, and the progress we’ve made together.
“Blackbeard was engineered from day one for the production line and we look forward to delivering this capability to the fleet.”
The contract has its roots in the US Navy’s Small Business Innovation Research Phase III programme, building on previous work that included prototype deliveries, system integration, and certification support.
Work under the new award will primarily take place at Castelion’s 1,000-acre manufacturing site in Rio Rancho, New Mexico, accounting for 80% of the effort, with an additional 20% carried out in Torrance, California.
As specified by the US Department of War, an initial sum of $43.65m from the Navy’s 2025 weapons procurement funds will be obligated at the time of award.
The Blackbeard weapon is an air-launched hypersonic strike system designed to extend the range and strike options of US naval aviation against both sea and land targets.
Castelion has stated that its development has involved significant private investment and ongoing collaboration with the US Navy, Army, and Air Force.
The company’s production approach utilises vertical integration and commercial manufacturing methodologies to manage cost, quality, and timelines.
The most recent contract was issued without competition, according to the US Navy. Deliveries for the new production lot are expected to continue through September 2028.
Last month, Castelion disclosed it had secured $1bn in Series C funding to support large-scale production of Blackbeard, the company’s first hypersonic strike missile designed for cost-effective mass manufacture.
