Defense technology company Castelion is building Project Ranger, a 1,000-acre hypersonic manufacturing campus in Sandoval County (near Rio Rancho), New Mexico, slated to be the nation’s largest dedicated facility for mass-producing hypersonic strike weapons
Castelion’s Blackbeard hypersonic weapon is moving closer to early operational capability as the U.S. Navy continues to expand its investment in the program.
The latest reported milestone came August 25, 2026, when the Navy awarded Castelion an $89.9 million contract to support engineering, logistics and manufacturing for 50 Blackbeard weapons. The reported award would further advance the system toward Early Operational Capability (EOC) and build on a series of Navy contracts issued throughout 2026.
The award follows a rapid expansion of Castelion’s Blackbeard program and its manufacturing infrastructure in New Mexico.
Project Ranger Builds Production Capacity
Castelion broke ground on Project Ranger in Sandoval County, New Mexico, on January 21, launching a 1,000-acre manufacturing campus designed for high-cadence hypersonic production. The company said the project represents more than $220 million in private investment and will create more than 300 high-paying jobs.
The campus will support solid rocket motor manufacturing, static testing and final assembly of hypersonic weapons. Castelion plans 21 buildings at the site, with the company targeting completion of the full campus by the end of 2026.
The company later increased its planned investment in Project Ranger to more than $250 million. Castelion said the campus will become its primary platform for scaling Blackbeard production.
Navy Expands Blackbeard Procurement
The Navy awarded Castelion nearly $50 million in February to advance Blackbeard from prototype development toward integrated Early Operational Capability. The work is scheduled to continue through November 2027.
In April, the Navy followed with a $105 million award covering further integration of Blackbeard with the F/A-18E/F Super Hornet. The contract supports system safety, certification, flight testing and other integration work required to move the weapon toward EOC in 2027.
The Navy then placed a $23.4 million delivery order in June for 50 Blackbeard EOC pre-production prototypes and 50 storage and shipping containers. Castelion said the work will take place primarily in Rio Rancho, New Mexico, with supporting work in California, and is expected to continue through 2027.
The reported August 25 contract would add another major funding step as the Navy moves the program from development and testing toward production and operational deployment.
$1 Billion Funding Round Supports Manufacturing Expansion
The Navy activity comes as Castelion is also accelerating its private investment in production.
On August 19, Castelion announced a $1 billion Series C funding round consisting of $800 million in equity financing and $250 million in committed revolving-credit financing. The round valued the company at $13 billion.
Castelion said the funding will allow it to expand Blackbeard manufacturing capacity at and beyond Project Ranger. The company has targeted production of several thousand Blackbeard missiles annually as manufacturing capacity expands.
Castelion also said Blackbeard fielding remains targeted for 2027, giving Project Ranger an increasingly important role in the transition from flight testing to scaled production.
What Comes Next
Project Ranger is expected to reach a major construction milestone by the end of 2026, when Castelion plans to have all 21 planned buildings complete and ready for production.
The company is simultaneously building the workforce and manufacturing systems needed to support production in Rio Rancho. Current openings include manufacturing engineering, logistics and materials operations positions at the New Mexico facility.
With the Navy expanding its Blackbeard commitments and Castelion adding $1 billion in new capital, the New Mexico campus is moving from a construction project toward becoming a large-scale hypersonic manufacturing operation.
Economic and Job Impact of Project Ranger
When project was announced last year, local officials hailed it as a major economic win. The effort is expected to create approximately 300 high-quality permanent jobs and generate an estimated $650 million in economic output during the next ten years. Sandoval County and the City of Rio Rancho have each signed off on an economic-development package backing the project, including funding tied to improvements to the roads and infrastructure around the site.
The executives at Castelion said New Mexico was chosen because of its pool of engineering talent, proximity to regional research institutions and the state’s long history in aerospace and defense innovation. The firm underlined that Project Ranger will help build up U.S. manufacturing capacity for hypersonic propulsion systems-a capability the Pentagon has flagged as key to national security.
Safety and Environmental Concerns Surround Project Ranger in New Mexico
While the announcement was welcomed by leaders, the project has also prompted concerns from some local residents and environmental groups. Solid rocket-motor production uses materials such as ammonium perchlorate and powdered metals, raising questions about emissions, groundwater contamination, and the long-term safety of static-fire testing. Community organizations have called for additional environmental reviews and more transparent monitoring requirements.
City and county officials say they have included safety conditions in early agreements, including required memoranda outlining emergency-response roles, inspection authority, and DoD-aligned safety-distancing standards for structures on site. Hazard and plume-dispersion modeling, however, is still under review, according to local planning documents.
Construction will start after officials complete final permitting and safety planning. Once operational, Project Ranger could become one of the region’s largest defense manufacturing employers and a cornerstone of New Mexico’s growing aerospace sector.
Castelion’s Project Ranger is not the only major manufacturing investment taking shape in New Mexico. In Albuquerque, Pacific Fusion has broken ground on a $1 billion research and manufacturing campus at Mesa del Sol. The approximately 225,000-square-foot facility will combine fusion research with manufacturing, adding another major advanced-technology project to the state’s growing industrial bas
Additionaly, the Project Ranger is part of a broader U.S. push to strengthen and reshore domestic manufacturing across multiple sectors, including pharmaceuticals, rare-earth materials, and advanced defense technologies.
Project Ranger (New Mexico) — Quick Facts
Project: Castelion “Project Ranger” Hypersonic Manufacturing Campus
Location: Sandoval County / Rio Rancho area, New Mexico
Announcement Date: November 17, 2025
Sector: Defense manufacturing — solid rocket motors, hypersonic components
Scale & Investment
Initial investment: More than $100 million
Campus size: 1,000 acres
Economic output: estimated $650+ million over 10 years
Facilities & Capabilities
Solid rocket-motor production lines
Static-fire test stands
Assembly for all-up rocket and hypersonic components
Infrastructure for advanced propulsion manufacturing
Workforce
300 high-quality permanent jobs projected
Why New Mexico
Strong regional technical workforce
Well-established aerospace and defense ecosystem
Available land and industrial infrastructure
Supportive state and local economic-development programs
Local Incentives & Infrastructure
County and city economic-development package approved
Road and infrastructure upgrades planned to support the site
Safety & Environmental Considerations
Hazard and plume modeling under review
DoD-standard safety-distance requirements
MOUs for Emergency Response and Inspections
Emissions and protection of groundwater-an issue of community concern
- Navy EOC target: 2027
Project completion target: End of 2026
Latest reported Navy award: $89.9 million, August 25, 2026
Series C funding: $1 billion, announced August 19, 2026
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