If they can nail this down it would mean no more burning of high-impact ozone depleting fuels used in the SRBs.
We are that much closer to having a space plane that will launch like a jet and not use tremendous amounts of fuel. Lighter fuel means more payload. More payload means less flights required. Allowing for more flights. Mucho cheaper too.
This little project could mean billions in savings for the space program.

I like the last part. They believe they can achieve Mach 10. What's that, over 7,650 mph?

burns hydroxen mixed with oxygen...

I'm not sure if that's what the government has in mind or not but it is encouraging! The sheer velocity of the thing is just amazing! =)