Ball Aerospace & Technologies Corp. was awarded a U.S. Navy contract that could be worth as much as $500 million if the service opts to proceed with construction of a new ocean-altimetry satellite, according to an April 14 Defense Department announcement.

Boulder, Colo.-based Ball Aerospace received a $5.5 million contract from the Naval Space and Naval Warfare Systems Command to design a satellite dubbed Geosat Follow-On (GFO)-2 that will measure ocean height and thermal properties. Ball built and launched the first GFO satellite at a cost of $85 million. The satellite operated from 1998 to 2008.

The firmโ€™s design work is expected to be completed in November, the press release said. If all options are exercised, the contract to build GFO-2 would be worth $499.6 million through 2019. The satellite would launch in January 2014 either on a commercially procured or government-provided launch vehicle, and have a six-year design life, Ball spokeswoman Roz Brown said. The radio altimeter instrument would be provided by Thales Alenia Space of France; the water vapor radiometer would be supplied by ITT Electronic Systems of Clifton, N.J.; and the GPS precision receiver would be provided by Broad Reach Engineering of Golden, Colo., Brown said.

Meanwhile, the Navy said last year it has worked out a deal with NASA and the French space agency, CNES, to use data from their two jointly operated oceanography satellites, Jason 1 and Jason 2, until GFO-2 is operational. The stopgap capability is a downgrade from what the first GFO satellite provided, but is good enough for now, the Navy said.