Lockheed Martin Corporation
) acquired orders for the production of external tanks for
powering LNG driven vessels. The company is all set to build an
LNG facility in Louisiana. Lockheed undertook this initiative to
meet the rising demand for LNG tanks used for storage and
transportation of cryogenic materials for Space Shuttle
The company intends to employ its technologies originally
designed for government programs in areas of national energy and
The external tanks or ETs are basically gas tanks that consist
of the propellants used by the Space Shuttle Main Engines. It
also provides structural support for the attachment with solid
rocket boosters and orbiter.
As per the long-term business strategy, the company will be
involved in the manufacturing of the equipment that is used for
the production of the external tanks and for a varied range of
LNG supply chain purposes. Lockheed will also lend its expertise
for developing ancillary programs like spanning propellant
handling; assembly, test and integration; composites
manufacturing, production facility and tooling design.
The company has the skill and means to produce tanks of
different sizes and capacities for multiple modes of
transportation like land, rail, water systems and land-based LNG
Lockheed has a long association with
National Aeronautics and Space Administration
("NASA") as the company is its primary supplier of external
tanks. The company in 2010 had received a contract extension for
the bulk delivery of these tanks.
Lockheed's aerospace division is expected to perform well with
these diversified contract acquisitions. It recently clinched a
$284.4 million fixed-price deal for the procurement of lead parts
for the fifth and sixth Geosynchronous Earth Orbit ("GEO")
satellites under the Space Based Infrared System ("SBIRS')
missile warning group.
Lockheed intends to capitalize heavily from the applications
of defense- and space-related technology in the private sector
and from the economic advantages of natural gas while complying
with pro-environment rules. The company stands to gain from its
$18.1 billion backlog order from the Space Systems segment. Also,
its debt control initiatives and effective share repurchase
programs will act as tailwinds. Lockheed currently retains a
Zacks Rank #2 (Buy).
Other Zacks Ranked #2 stocks currently doing well include
The Boeing Company
Alliant Techsystems Inc.
Rockwell Collins Inc.
Headquartered in Bethesda, MD, Lockheed Martin Corporation, a
security and aerospace company, engages in the research, design,
development, manufacture, integration, and sustainment of
advanced technology systems and products.
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