It appears Elon will be flying a new toy. One that does vertical takeoff and landing.
From Draft Environmental Assessment for Issuing an Experimental Permit to SpaceX for Operation of the Grasshopper Vehicle at the McGregor Test Site,Texas, issued by FAA:
The Grasshopper RLV consists of a Falcon 9 Stage 1 tank, a Merlin-1D engine, four steel landing legs, and a steel support structure. Carbon overwrapped pressure vessels (COPVs), which are filled with either nitrogen or helium, are attached to the support structure. The Merlin- 1D engine has a maximum thrust of 122,000 pounds. The overall height of the Grasshopper RLV is 106 feet, and the tank height is 85 feet.
The propellants used in the Grasshopper RLV include a highly refined kerosene fuel, called RP- 1, and liquid oxygen (LOX) as the oxidizer. The Grasshopper RLV has a maximum operational propellant load of approximately 6,900 gallons; however, the propellant loads for any one test would often be lower than the maximum propellant load. Even when the maximum propellant load is used, the majority of the propellant would remain unburned and would serve as ballast to keep the thrust-to-weight ratio low.SpaceX anticipates that the Grasshopper RLV program would require up to 3 years to complete.More:Launch Phases 1 and 2: Below-controlled-airspace VTVL
The goal of Phase 1 is to verify the Grasshopper RLV's overall ability to perform a VTVL mission. During a Phase 1 test, the Grasshopper RLV would be launched and ascend to 240 feet AGL and then throttle down in order to descend, landing back on the pad approximately 45 seconds after liftoff. The Grasshopper RLV would stay below Class E Airspace (700 feet AGL). In Phase 2, there would be slightly less propellant loaded, a different thrust profile, and the maximum altitude would be increased to 670 feet, still below Class E Airspace. The mission duration during Phase 2 is again approximately 45 seconds.
Launch Phase 3: Controlled-airspace VTVL (maximum altitude)
The goal of Phase 3 is to verify the Grasshopper RLV's ability to perform a VTVL mission at higher altitudes and higher ascent speeds and descent speeds. To achieve this, the maximum mission altitude would be increased from 670 feet incrementally up to 11,500 feet. The altitude test sequence likely would be 1,200 feet; 2,500 feet; 5,000 feet; 7,500 feet; and 11,500 feet. The maximum test duration would be approximately 160 seconds. The Grasshopper RLV would land back on the launch pad.