Michael Bay, blasting off from the $54 million opening weekend of “Armageddon,” has reupped and greatly expanded his production deal at Walt Disney Studios.

Under his Bay Films banner, Bay will produce and direct his next two feature pics for Disney. Sources said that the flashy former commercials helmer will receive a fee of $5 million and $6 million for each respective pic, in addition to first-dollar-gross participation.

Bay and his reps would not comment on the financial aspects of the arrangement other than to say it was “lucrative.” Bay was not a first dollar-gross participant on either “Armageddon” or “The Rock,” but received a tiny share of the gross revenue on both pics.

In addition, the deal includes a provision for Bay to produce pics for Disney that he may direct.

Bay said he was eager to develop projects solely as a producer. “I’m interested in (producing) smaller budgeted films, costing $5 (million) to $10 million, and introducing new directors to the business,” he told Daily Variety.

As with his previous pact, Bay’s current deal enables him to work for all Disney labels, including Touchstone, Hollywood and Walt Disney.

TV component

Under its Disney deal, Bay Films also will explore TV development, beginning with action series “Quantico,” about the FBI Academy at Quantico in Virginia.

Bay is set to exec produce the series, which is scripted by Dario Scardapane. He also may helm the pilot. Bay Films VP Jennifer Klein will produce the skein for the company.

The pact essentially is a continuation of Bay’s previous one, inked with Disney in June 1996 after the $23.5 million opening of “The Rock.” That deal committed him to direct two of his next three pics for the studio over a five-year period.

“Armageddon” has grossed about $60 million since it opened in the United States on July 1. Bay’s two other action pics, “The Rock” and “Bad Boys,” have grossed more than $480 million worldwide.

Bay said that he expects to widen his filmmaking horizons under the pact. “I have many different looks and styles,” he said. “I’m interested in small, quirky movies, thrillers and dramas.”

The helmer was keen to emphasize the importance of his relationship with Walt Disney Studios chief Joe Roth to his remaining at the Mouse House. “He has put me under his wing, but he doesn’t keep the shackles on me if I want to do something else.”

Producer Jerry Bruckheimer and his late partner Don Simpson first introduced Bay to feature helming with the Will Smith/Martin Lawrence-starrer “Bad Boys” in 1995. Bruckheimer produced Bay’s two subsequent pics, “Rock,” which starred Sean Connery and Nicolas Cage, and “Armageddon,” which toplines Bruce Willis.

Bay received his first producing credit on “Armageddon,” which he produced with Bruckheimer and Gale Ann Hurd.

Prior to “Boys,” Bay helmed a series of commercials and musicvids. A partner in Polygram-owned feature, commercials and musicvid production house Propaganda Films, he has directed spots for Nike, Budweiser, Coca-Cola, Reebok and Isuzu, among others, and musicvids for the likes of Tina Turner and Lionel Richie.

CAA and attorneys Robert Offer and Jake Bloom negotiated for Bay.