Aurora Labs Advances $450K Defence Prototype for Next-Gen UAS Engines

Aurora Labs has secured a $450,000 Phase 2 contract from the Australian Department of Defence to prototype a high-thrust, fuel-efficient propulsion system for unmanned aerial systems, building on its innovative 3D metal printing technology.

  • Awarded $450,000 Phase 2 contract for propulsion prototype manufacture and testing
  • Project follows successful Phase 1 design leveraging proprietary 3D metal printing
  • New propulsion system complements existing 200N and 400N micro gas turbines
  • Engagement with domestic and international UAS developers underway
  • Aurora retains global commercialisation rights, licensing prototype to ADF
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A Strategic Step Forward in Defence Propulsion

Aurora Labs Limited (ASX, A3D) has taken a significant stride in advancing Australia's sovereign defence technology capabilities with the award of a $450,000 Phase 2 contract from the Australian Department of Defence. This contract focuses on the prototype manufacture and testing of a next-generation propulsion system designed for unmanned aerial systems (UAS), a sector experiencing rapid growth and strategic importance.

The Phase 2 award builds directly on the company’s successful completion of Phase 1, where Aurora Labs harnessed its proprietary metal 3D printing technology to deliver a detailed design and engineering program. This innovative approach enables the creation of propulsion systems that are not only fuel-efficient but also capable of high thrust and adaptable to varied mission profiles.

Expanding the Propulsion Portfolio

The new propulsion system is set to complement Aurora Labs’ existing range of micro gas turbines, specifically the 200N and 400N classes. This expansion positions Aurora Labs uniquely within the defence sector, offering a sovereign capability to design, prototype, and manufacture high-integrity propulsion systems tailored for UAS platforms.

CEO Rebekah Letheby highlighted the milestone as a validation of Aurora Labs’ engineering prowess and a pivotal moment for the company. She emphasized that progressing into prototype manufacture not only strengthens their defence partnerships but also opens doors for commercial production and international collaboration.

Collaborations and Commercial Prospects

Alongside the technical development, Aurora Labs is actively engaging with both Australian and international UAS developers to facilitate integration and evaluation of the propulsion system. These discussions aim to leverage aerial platforms, logistical support, and test ranges to ensure comprehensive testing and validation.

Importantly, under the agreement with the Department of Defence, Aurora Labs will grant the Commonwealth a license to use the prototype for evaluation purposes while retaining global commercialisation rights. This arrangement allows Aurora Labs to pursue downstream opportunities in both domestic and export markets, potentially positioning the company as a key player in the global UAS propulsion industry.

Looking Ahead

With engineering and printing of critical components already underway, bench testing is scheduled to commence in the first half of 2026. The outcomes of these tests will be closely watched by investors and industry observers alike, as they will provide crucial insights into the viability and performance of Aurora Labs’ novel propulsion technology.

As the company advances this project, it not only reinforces its role in Australia's defence innovation landscape but also signals potential growth avenues in the broader aerospace and industrial technology sectors.

Bottom Line?

Aurora Labs’ propulsion prototype progress marks a key juncture, with upcoming tests set to define its commercial and defence impact.

Questions in the middle?

  • How will the prototype perform in upcoming bench tests scheduled for early 2026?
  • What are the timelines and prospects for commercial production and export partnerships?
  • How might Aurora Labs’ technology influence Australia’s strategic autonomy in defence propulsion?