Burt Rutan's Scaled Composites suffered an explosion during testing at Mojave Airport in New Mexico. The team from Scaled Composites was working with Nitrous Oxide as an oxidizer for the engines that power SpaceShipOne and SpaceShipTwo when the explosion occurred. According to an interview with Burt Rutan, the Nitrous Oxide Oxidizer had been tested before and is known to be safe. The cause of the explosion is currently unknown.

Two people were immediately killed in the accident. One died later of injuries sustained. Three others were also injured during the blast.

Northrup Grumman has agreed to increase their stake in Scaled Composites from 40% to 100%. Effectively buying out Scaled Composites. Scaled Composites is the aerospace company run by Burt Rutan, the engineer who helped develop SpaceShipOne -- the winner of Ansari X-prize to build the first private craft to travel into space. SpaceShipOne became the for Virgin Galactic's space ship design. In fact, Scaled Composites has the contract to deliver Virgin Galactic's space tourism craft and launch vehicle. There is no word on if the buyout will effect this contract.

Despite the ticket cost of $200,000, no shuttle in existence, no guarantee that the shuttle will ever take off, and a tentative launch date in 2009, Virgin Galactic has 200 people waiting to take off with money deposited. 82,000 people have expressed an interest in the flight, but many are waiting until the shuttle is actually built.

This story talks about Burt Rutan's Scaled Composites and their attempts to build Space Ship Two, the planned sub orbital shuttle of Virgin Galactic.