NEWS

WIRES

OTHER

SpaceDev to Develop New Deployable Structures Technology for AFRL

Contract Award of $750,000 Enhances SpaceDev Satellite Program

SpaceDev (OTCBB: SPDV) announced today that its subsidiary, Starsys, Inc., has been awarded a $750,000 cost reimbursable design and development subcontract from the Air Force Research Laboratory (AFRL) Space Vehicles Directorate, for continued development of deployable boom structures for satellites. The award is a Phase 2 Small Business Innovation Research (SBIR) contract resulting from design and trade study work completed during a Phase I SBIR. The contract period of performance is approximately 24 months during which SpaceDev will develop a large, high stiffness, very-high expansion ratio deployable boom.

"This technology takes advantage of recent innovations in spacecraft mechanical deployment systems to form large, stable structures for deployment and positioning of instruments and sensors," said Mark N. Sirangelo, SpaceDev's Chairman and CEO. "This system enables the deployment of large aperture sensors and payloads for a variety of launch vehicles by allowing very large structures to be deployed from existing spacecraft payload envelopes. We are proud to continue the development of this innovative technology that will help transform how payloads are positioned and deployed."

About SpaceDev

SpaceDev, Inc. is a space technology/aerospace company that creates and sells affordable and innovative space products and mission solutions. For more information please visit www.spacedev.com and www.starsys.com.

Except for factual statements made herein, this news release consists of forward-looking statements that involve risks, uncertainties and assumptions that are difficult to predict. Words such as "believe," "intends," "expects," "plans," "anticipates" and variations thereof, identify forward-looking statements, although their absence does not mean that a statement is not forward looking. Forward-looking statements are based on the Company's current expectations, and are not guarantees of performance. The Company's actual results could differ materially from its current expectations. Factors that could contribute to such differences include risks and uncertainties associated with: the Company's ability to: effectively manage schedule changes or cancellation of customer orders; control costs and expenses; and, obtain additional financing, if needed. Reference is also made to other factors described in the Company's periodic reports filed with the SEC, including the Company's most current Annual Report on Form 10-KSB and subsequent Quarterly Reports on Form 10-QSB. These forward-looking statements speak only as of the date of this release. SpaceDev does not intend to update these forward-looking statements.