Exclusive-Ukraine missile maker targets ‘game changer’ air defense system by 2027

By Max Hunder and Daniel Flynn

April 6 (Reuters) – Fire Point, the maker of Ukraine’s Flamingo cruise missiles, is in talks with European companies to launch a new air defense system by next year, a senior executive told Reuters, creating a low-cost alternative to the increasingly difficult-to-learn Patriot system.

As governments seek to protect their skies as wars in Ukraine and Iran drive global instability, Fire Point co-founder and lead designer Dennis Schillierman said the goal is to reduce the cost of intercepting ballistic missiles to less than $1 million.

Shtilierman also said that Fire Point was awaiting government approval for an investment by a Middle Eastern group that valued the company at $2.5 billion and would open the door to new business opportunities, including low-orbit satellite launches.

Years of battlefield knowledge gained from fighting the Russian military have made Ukraine a leading innovator in low-cost defense technology. With the outbreak of war in the Gulf, Kiev has used that expertise to sign security deals with governments in the region.

Many Ukrainian defense firms are now looking to export their excess capacity and cash in on the global boom in military spending. While the government recently eased wartime export restrictions, each proposed deal is still subject to strict scrutiny and state approval.

Developing an alternative to the Patriot system

Ukraine and many other Western-aligned nations rely heavily on the American-made Patriot system to intercept ballistic missiles.

But supplies of Patriot missiles are on the rise amid widespread deployment to the Gulf against Iranian aggression. And Europe’s only anti-ballistic system, the Italo-French SAMP/T, is produced in relatively small numbers.

To bring down a ballistic missile, the Patriot system, made by Raytheon and Lockheed Martin, often requires two or three air defense missiles, each costing several million dollars, Shitillierman said.

“If we can get it down to less than $1 million, it will be a game changer in … air defense solutions,” he said in an interview. “We plan to intercept the first ballistic missile by the end of 2027.”

Shitillierman declined to name the European companies involved in discussions to develop the new system, but said Firepoint is “deeply interested” in collaborating on radar, missile targeting and communications systems – areas where it lacks expertise.

European companies including Weibel, Hensoldt, SAAB and Thales have good radar solutions, he said.

Founded after the 2022 invasion of Moscow, Firepoint is Ukraine’s largest manufacturer of long-range drones used in the majority of deep strikes inside Russia.

In recent months, its FP5 long-range cruise missile – commonly known as the Flamingo – has also been used to strike Russian military facilities and weapons factories, including a ballistic missile plant about 1,400 km (870 miles) inside Russian territory.

Firepoint is now in the final stages of developing two supersonic ballistic missiles, Shitillierman said.

The smaller FP-7 missile, which has a range of about 300 kilometers, will have its first military deployment “in the near future,” he said, describing it as similar to Lockheed Martin’s ATACMS short-range ballistic system.

The larger FP-9, which can carry an 800 kg warhead up to 850 km, is about to enter testing and will put Moscow within range of Ukraine’s ballistic arsenal, he added.

He said the attack on Moscow, which is surrounded by the world’s most powerful air defenses, would “change the Russian mind and the minds of Russia’s top brass”.

Russia’s Defense Ministry did not respond to a request for comment.

Fabian Hoffmann, a missile expert and senior researcher at the Norwegian Defense University College, said that while Russia has experience successfully downing ATACMS, more widespread use of ballistic missiles could augment Russian air defenses already damaged by Ukrainian strikes.

And while Fire Point’s 2027 goal of launching a low-cost air defense system was “ambitious,” he said that beyond Ukraine’s own military needs, there would be strong demand from governments even though its kill rate per missile is less effective than the Patriot.

UAE investment can launch satellite ventures

Ukraine’s anti-monopoly authority has until October to rule on a proposed $760-million acquisition of a 30% stake in FirePoint by a Middle Eastern investor, Shitillierman said.

Ukrainian media identified the suspect as Emirati defense firm Edge Group. Edge Group and Ukraine’s antimonopoly authorities did not respond to requests for comment.

The investment will be the first phase of a project to build a space launch terminal in the UAE, with the aim of eventually establishing a constellation of low-orbiting European satellites. Shitillierman said that the location of the country near the Indian Ocean and the geographical conditions are favorable for space launch.

“We built a carbon winding machine, which allows us to wind a large solid rocket booster for satellite delivery,” he said, noting that the project is still in the conceptual stage, although contracts have already been signed “with some Western companies.”

Even if the UAE deal goes ahead, Shitillierman said FirePoint won’t take on more investors until it demonstrates success with its missile defense system, which uses the company’s FP7 missile. .

Fire Point, meanwhile, has received interest from Gulf states for the purchase of its existing drone products and is awaiting approval from the government of Ukraine to begin exports. Shitillierman said the company has the capacity to export 2,500 long-range drones a month.

However, due to regulatory hurdles, it is very difficult to export the Flamingo missile, he said.

Firepoint said it makes hundreds of long-range strike drones a day, each costing about 50,000 euros ($57,775) to produce, and three Flamingo missiles, costing about 600,000 euros. He acknowledged some “boggling” issues with the Flamingo, including engine production.

Firepoint will increase production of the Flamingo when the new, in-house engine goes into mass production in October and a rocket fuel plant in Denmark comes online later this year, he said. The plant is awaiting two final approvals from the Danish authorities.

($1 = 0.8654 euros)

(Editing by Joe Bevier)