Rocketplane Kistler and Andrews Space Inc. have entered into a strategic relationship to work on NASA’s Commercial Orbital Transportation Services (COTS) program, the companies announced Sept. 28.

Rocketplane Kistler and Orbital Sciences Corp. received contracts in August to develop a vehicle that can demonstrate the ability to loft cargo, and eventually crew members, to the International Space Station (ISS). Rocketplane Kistler would use its K-1 rocket, with a first stage that would be reusable as a cost savings: able to perform the burn at launch and then, after separation, return to the launch point.

"Andrews brings a very talented technical team with a wealth of experience and expertise on the K-1, and a very solid track record in system integration of space-based programs," Randy Brinkley, president of Rocketplane Kistler, said in a statement. "We are very pleased that Andrews Space has joined the RpK team as a key strategic partner and principal contractor in the K-1 development program.

Orbital Sciences was to have been responsible for project management, systems integration, launch operations and safety and mission assurance. Andrews will replace Orbital to provide systems engineering and integration plus safety and mission assurance. Rocketplane Kistler did not comment on the reason Orbital is no longer part of the COTS effort.

"Having studied the substantial amount of work that has been accomplished on the K-1 program and the planning that is already in place, we are convinced that it can be operational in a relatively short period of time," Jason Andrews, president of Andrews, said in a statement.

David Little, Andrews senior vice president, will lead the Andrews effort as deputy program manager for the K-1 program; Andrews also plans to make a strategic investment in Rocketplane Kistler.

The Rocketplane Kistler team, along with Space Exploration Technologies (SpaceX) will develop their vehicles for NASA, with test flights scheduled to take place in 2008. The development contract for Rocketplane Kistler is valued at $207 million, while SpaceX’s contract is valued at $270 million.

The two firms were among six finalists in the COTS competition, and the phase-one demonstration contracts call for each company to show its lift capabilities. In phase two, NASA will award actual transport-mission contracts, but there is no guarantee that Rocketplane and SpaceX will award contracts to perform actual missions, which might be worth a total $500 million over five years.

When the demonstration phase concludes and NASA moves toward contracts for actual missions, the work might be split between the two companies, if SpaceX offers a lower cost or better service for one type of mission with its proposed Falcon 9 two-stage launch vehicle, but Rocketplane offers a better price or service on another type of transport, NASA has said. If one company is superior in every area, it could wind up with all of the phase-two work.