The Commercialization of Space Transportation

April 2007

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K-1 Reusable Space Transportation Vehicle

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NASA Near Term ISS Dilemma

International Space Station (“ISS”)

– Approximately $100 billion investment to date by NASA alone

– U.S. Government obligation to 16-partner countries to operate and provide cargo and crew transportation to and from ISS through 2015

– NASA currently uses the Space Shuttle to meet this obligation at a cost of approximately $1 billion per flight

– Space Shuttle to be retired in 2010 – irrevocable decision

– No other NASA capability to meet its commitment through 2015

Only near-term alternatives are Russian launch vehicles and foreign ATVs (European vehicle) and HTVs (Japanese vehicle)

– U.S. law prohibits use of Russian vehicles after 2011

– ATV and HTV extremely expensive

– None of these alternatives have the ability to return cargo to earth

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The Opportunity

1978 2004

2010

ISS OPPORTUNITY

1st Space Shuttle Flight

Decision to Retire Space

Shuttle in 2010

Space Shuttle Retires

Civil and Military Payload Launch

Commercial Satellite Delivery

Science and Technology

Research

COTS Program

RpK Key Advantages

Lower recurring costs and greater reliability than any other current ELV competitor

Rapid launch and re-launch capability due to reusable design

Positioned to be first-to-market with ISS re-supply capability

Return downmass transportation capabilities unlike competitors

NASA support

Led by an experienced management team and supported by its original world-class team of strategic partners

2022

Extend life of the ISS

2015Alternative NASA

Solution

Additional Revenue Opportunities

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NASA COTS Program OverviewNASA COTS Program

Two grant recipients, RpK and SpaceX, out of 20 competitors

RpK strengths identified by NASA include:

– Strong management team

– Design and technical maturity of the K-1

– Multiple market approach of the Company’s business plan

Space Act Agreement signed August 18, 2006 provides $207 million to RpK through 2009

– RpK retains nearly all intellectual property and commercial rights to technology (commercial program in which NASA does not end up owning the launch vehicle)

– NASA provides important resources and technical expertise to the K-1 Program

– NASA will be the Company’s largest customer

– COTS Program is critically important to NASA and its goals

RpK has successfully completed all NASA milestones to date and has received $32.1 million in milestone payments Latest Milestone: System Requirements Review

Met ahead of schedule and under budget

Successful completion of the NASA COTS Program will position RpK to win a commercial contract for ISS re-supply – a $1 billion annual opportunity

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K-1 Reusable Space Transportation Vehicle

Designed by Dr. George Mueller, designer of the Apollo and the Space Shuttle, to leverage existing technologies

Upmass capability: launch cargo and satellite payloads into space

Downmass capability: return cargo from both inside and outside Space Station to earth

Fully reusable: designed for 100 flight life – 9-day turnaround

Low-cost provider: starting at $30 million per launch, the K-1 costs significantly less expensive than any existing launch vehicle

To date, more than $650 million has been invested in design and development of the K-1 vehicle, which is 75% complete

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RpK Market Opportunities

Unique Fully Reusable Design Will Enable RpK to Successfully Penetrate Multiple Markets

First affordable, reusable rocket addressing these markets

ISS Re-Supply(NASA COTS)

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Science & Technology

Research

Commercial Satellite Delivery

Civil and Military Payload Launch

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K-1 Reusable Space Transportation Vehicle

Proven technologies adapted from other successful aerospace programs and applications reduce both development cost and technology risk

Use existing flight qualified components (e.g., main engines)

Designed with high factors of safety, including:

– Triple-string, fault tolerant avionics system ensure reliable performance flight after flight

– Integrated Vehicle Health Management (“IVHM”) systems automate and expedite checkout of the vehicle before and after each flight

Designed for reliability, each K-1 has an expected life of 100 flights – nine day turnaround

High launch rate and rapid turnaround significantly reduce the price of access to space

Key Design CharacteristicsCargo / Payload Module Length: 5.9 m

2nd Stage – Orbital Vehicle (“OV”) Length: 18.6 m Diameter: 4.3 m Weight: 131,800 kg

1st Stage – Launch Assist Platform (“LAP”)

Length: 18.3 m Diameter: 6.7 m Weight: 250,500 kg Approx. 5,700 kg delivered to LEO

Approx. 1,570 kg delivered to GTO Approx. 2,775 kg of cargo upmass and downmass

for ISS missions

Key Performance Metrics

The K-1 design is based on mature, proven technologies

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K-1: Systems Engineering

Overview

Systems engineering for reusable launch vehicles is dramatically greater than that of ELVs

Both design and verification for the K-1 completed

– Aerodynamics

– Load, dynamics, vibroacoustics

– Thermal

– Mass properties

– Timeline

Trajectory design reference missions completed

Vehicle schematics wiring and plumbing completed

Interface requirements specification completed

Cargo module currently undergoing Preliminary Design Review

RpK’s K-1 Essential Systems Engineering Tasks Are Complete

K-1 systems engineering is substantially complete

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K-1: Development Responsibilities and Status

Vehicle Exterior Structure• 21 of 23 Major Panels Complete

Parachutes• Engineering 90% Complete• Mains – Complete• Drogue – Complete• Stabilization – 95% Complete• Mortar – Complete• Drop Tests - Complete

OV RP Tank• 100% Design Complete• 35% Fabrication

OV LOX Tank• 100% Complete

Thermal Protection System• Overall Design Complete• Detailed Design – 30%• Arc Jet Testing Planned• Production at Restart

LAP LOX Tank• 100% Complete

LAP RP Tank• 100% RP Design Completed• 30% Fabrication Complete

LOX Retention Tank• 100% Design Complete• 75% Fabrication Complete

AJ-26 Engines• 37 Engines at Aerojet• Verification Engine in Test

Airbags• OV Fabrication 50% Complete• LAP Fabrication 50% Complete• ¼ Scale Drop Tests Complete• Airbag Inflation Tests Complete

Avionics Hardware• Vehicle Computer – Delivered• GPS /INS units – Delivered• TDRSS Receiver – Off the Shelf• FAA Transponder Delivered• SMU – In Manufacturing• PDU, MEC – In TestAvionics Software• GN&C Complete• Hardware in the Loop (HWIL) With Flight

Hardware / Software Testing

Final Assembly• Commenced 5/98• 1st Stage LOX Tank

Delivered 6/98

AJ-26 Engines• 9 Engines at Aerojet

OMS Engine• 40 Igniter Tests Complete• 29 Injector Tests Complete

Payload Module• 100% Structural Design

Complete• 25% Fabrication Complete

Launch Site• First Site in Australia• Contract Executed for Site Design and

Construction• Launch Site Design 100% complete• Environmental Approval Received• Launch Operation Contract Signed• Native Title Agreement Signed• Site Ground Breaking• Export License Approved• Second Site Planned in U.S.

The K-1 vehicle hardware is 75% complete

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K-1: Launch Operations

Launch Sites Overview

RpK plans to have two operational launch sites

First site in Spaceport Woomera, Australia

– Located in Woomera Test Range (“WTR”) in the South Australian outback

– Launch azimuth covers all addressable market / customer requirements from one site

– Contract executed for site design and construction

– Launch site design nearly 100% complete

– Environmental approval received

– Operations agreement signed

– Native title agreement signed

– Technical assistance agreement signed

45º(55º)

60º(33º)

99º(-14º)

84º(5º)

SpaceportWoomera

Latitude: 31º SouthLongitude: 137º EastElevation: 541 ft

Inclination(Azimuth)

45º(55º)

60º(33º)

99º(-14º)

84º(5º)

SpaceportWoomera

Latitude: 31º SouthLongitude: 137º EastElevation: 541 ft

Inclination(Azimuth)

K-1 launch site provides launch direction that meets customer requirements from one site

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K-1: ISS Mission Profile Overview

SPACEPORT WOOMERA: Woomera, S. Aust. 31o S Lat

Stage Separation

OV MECO

Coast Phase

OV Re-Entry

LAP & OV Deploy Parachutes and

Land at Launch Site using Airbags

OV MECO Altitude

OV De-Orbit Burn

LAP Flyback

OV Return Phasing Burn

Parachute Deployment Altitude

ISS Altitude

Phasing Altitude to ISS

K-1 Vehicle Liftoff

Mated with ISS/Separation Phasing Altitude to Ldg.

Event Time LAP Ignition 0:00:00 Stage Separation 0:02:20 OV Ignition 0:02:27 OV MECO 0:06:19 OV Mated with ISS 13:40:00

Event Time Crew Unloads Cargo Days 1-3 Crew Loads Completed Experiments

Days 4-5

Event Time OV Separation from ISS 0:00:00 OV Phases to Landing 0:45:00 OV De-Orbit Burn 1:30:00 OV Re-entry 2:15:00 OV Landing 2:30:00

Typical Event Sequence

Time in Hrs:Min:SecAssumes 5 day stay at ISS

Day 1 Days 1-5 @ ISS Day 6

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Looking To The Future

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K-1 Path to the Moon