The proposed funding amount to complete this project is US$730,000 (approximately AU$950,000).

The US Army Research Office has listed Metal Storm on its web site as a company selected for award of a Phase II SBIR in 2005.

Awards are made subject to successful completion of contract negotiations with selected companies and the availability of funds. Based on current information Metal Storm expects this negotiation process to be completed by the end of September 2005.

This SBIR Phase II project will provide for the design, prototyping and feasibility demonstration of Metal Storm less than lethal munitions that will provide a scalable effect for crowd control.

These munitions will be compatible with the Metal Storm launcher technology and incorporated into the munitions will be smart-round capability, providing an improved level of safety and flexibility in the less than lethal spectrum of operations. The project effort, once started, is expected to occur over a 2 year period.

David Smith, Metal Storm's Chief Executive Officer said, "this proposal selection is significant for two reasons. Firstly, it the first Phase II SBIR selection that the company has achieved and we aim to take it through to a successful conclusion as a Phase III project, which is the commercialisation phase. "Secondly, it will facilitate the development of a family of less-than-lethal munitions to be added to the Metal Storm line of High Explosive (HE) munitions currently under development, and will provide the US Army with a range of munitions to use with Metal Storm 40mm weapon systems."

"We are extremely pleased to have our technology proposal selected by the US Army in support of their efforts to provide a broad warfighting versatility. I believe this has the potential to add enormous capability to operations requiring crowd control and for the urban warfare environment.

"As advised to the market in March, Metal Storm has initiated discussions with several munitions contractors regarding continued munitions development and the establishment of production capabilities. This will ensure we can provide a family of munitions, including less than lethal, to go with our weapons systems. We will continue to keep the market informed of developments in this area", said Mr. Smith.

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