The Pentagon announced Thursday that Boeing (NYSE: BA) won a contract worth $805 million to build the Navy's first four carrier-based unmanned aerial refueling tankers.
Boeing's drone tanker, the MQ-25 Stingray, will launch from a ship at sea and aerial refuel Navy fighter jets such as the F/A-18 Super Hornet, the EA-18G Growler, and the F-35C.
Per the contract, the defense giant will "provide the design, development, fabrication, test, verification, certification, delivery, and support of four MQ-25A unmanned air vehicles, including integration into the carrier air wing to provide an initial operational capability to the Navy."
The first four Stingrays are slated for delivery by August 2024.
The Navy's drone tanker competition was pursued by Lockheed Martin (NYSE: LMT), the Pentagon's top weapons supplier, as well as General Atomics.
Earlier this week, Boeing and the Virgin Australia Group announced the airline is adding the largest and most efficient member of the 737 MAX family to its growing single-aisle fleet. The carrier has converted 10 orders for the 737 MAX 8 for the larger MAX 10 variant.
The airline, which has a number of 737 MAX 8s on order, said it saw the value of adding the MAX 10 to the mix as the aircraft will provide additional capacity and flexibility.
The MAX 10 is the largest member of the 737 MAX aircraft family. The airplane will offer operators the lowest cost per seat mile of any commercial aircraft and fly 200 nautical miles (370.4 km) farther than today's Next-Generation 737s.
This extended range means that the 737 MAX 10 will be able to cover 99% of single-aisle routes around the world.
Shares in Boeing faded $2.09 to $344.81
