The Army is awarding contracts for design and demonstration of a prototype kinetic-kill missile interceptor that would take down enemy rockets, artillery and mortars.

Northrop Grumman [NOC] received one of the contracts, worth $6 million in the first phase and up to $40 million if all options are utilized, the company said last week.

This new system would be developed as rogue nations and terrorists are gaining rockets and missiles in increasing numbers, a rising threat to U.S. forces.

The contract calls for design, fabrication, integration and test hardware and software for the system, a new battle element (BE) that is part of the Extended Area Protection and Survivability Integrated Demonstration (EAPS ID) program.

The purpose of the EAPS ID is to create a mobile missile system (or BE) that can engage multiple, in-flight RAM threats accurately, and protect forward-deployed forces over a larger defended area at a much lower system cost, and cost-per-hit, than is currently possible, according to Northrop Grumman.

The Army Aviation and Missile Command/Research, Development, and Engineering Center at Redstone Arsenal in Huntsville, Ala., manages the contract.

During the next five years, Northrop Grumman and its subcontractors will demonstrate technology for a complete kinetic energy weapon system battle element. The BE includes a low-cost missile, a launcher, fire control radar, and fire control computer to defeat a wide-range of RAM threats.

By the end of the contract, Northrop Grumman will have demonstrated this new capability to the Army during interceptor system testing at the Yuma Proving Ground, Yuma, Ariz.

Companies working with Northrop Grumman on the program include Miltecand Torch Systems, both of Huntsville. The initial award, option one, is for $6 million and extends through November. Options two through five will be executed annually for a total contract value of up to $40 million.