Supersonic Unmanned Aerial Vehicle Project proceeds in Aerospace Plane Research Center at Muroran Institute Technology. The Gas Generator cycled Air Turbo Ramjet Engine is the most promising candidate for propulsion engine for this UAV. For this GG-ATR engine, its fuel and oxidizer are bio-ethanol and liquefied oxygen (LOX), respectively. The present paper describes about GG-ATR engine cycle analysis, design and manufacturing of engine components, ground test facilities. In addition, the authors describe about future study plan for ground test of GG-ATR engine.