SCOTTISH aerospace firm Orbex has been granted a 50-year lease to build and operate the first-ever vertical launch site for satellites in the UK, in a move it is estimated to create around 250 new jobs for the area.

Orbex, based in Moray, has signed a lease with development agency Highland and Islands Enterprise (HIE) – which in turn leased the land from Melness Crofters’ Estate – on community-owned land on the A’ Mhoine peninsula in north-west Sutherland.

The space company, which is funded by the Scottish Investment Bank and has staff members associated with Nasa, has said the 10-acre site is set to become their new spaceport base. It is estimated that it will see the launch of up to 12 orbital rockets per year, carrying satellites into low Earth orbit.

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The sub-lease will run for 50 years, but there are options to extend it for a further 25.

Orbex CEO Chris Larmour said: “We are very grateful for the work that HIE and the Melness Crofters’ Estate have done, in getting us to the point where we can take the baton and start construction.

“We have collaborated closely with them over the past few years, and we are completely aligned in our vision of delivering a sustainable spaceport that will bring jobs and prosperity to the region.

“Orbex is the first European launcher company to also manage a dedicated spaceport. It is an important competitive advantage to the company, which will make it really easy for us to work with customers as we scale up our operations.”

Orbex’s role in the spaceport will stimulate significant private investment, benefitting the local community and the wider area of the Highlands and islands through creating jobs, supply-chain opportunities and other associated economic benefits. Private investment in the port over the first three years is expected to reach £20 million.

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David Oxley, director of strategic projects at Highlands and Islands Enterprise said: “The space industry represents a huge economic opportunity for the Highlands and Islands and for Scotland.

“The steps we’ve taken to establish launch capability in Sutherland have already delivered a significant economic impact as a key factor in attracting Orbex to establish their manufacturing facility and test site in Moray, creating dozens of skilled jobs, with many more in the pipeline.

“We believe the spaceport has the capacity to generate around 250 jobs in our region, including 40 on-site, plus opportunities in manufacturing, supply chain, research and service provision.

“With Orbex now set to build and operate the spaceport, we’ve reached a key stage in our partnership that will not only see launches happening from Sutherland but a whole range of wider economic benefits delivered for the Highlands and Islands.”

In addition to increased opportunities for local businesses and contractors as part of the spaceport’s construction, Orbex expects to create up to 40 technical and non-technical FTE (full-time equivalent) jobs to support the operation and maintenance of the site.

The roles will span a number of areas including facilities and operational management, security, general administration and finance, marketing, stakeholder engagement and launch campaign-related roles.

And the Sutherland spaceport is intended to become the world’s greenest spaceport both in construction and operation. Peat lifted during construction will be used to repair large areas of degraded peatland and the Prime Rocket is powered by renewable biofuel Futuria Liquid Gas.

A University of Exeter study showed a single launch of the Orbex Prime rocket will produce 96% lower carbon emissions than comparable systems using fossil fuels.

Scottish Business Minister Ivan McKee said: “This announcement brings us another step closer to becoming Europe’s leading space nation through the provision of sustainable launch.

“Innovative companies like Orbex are vital to achieving the aims of our National Strategy for Economic Transformation, that strives for Scotland to be a nation of entrepreneurs and innovators with resilient supply chains.”

With the backing of the UK Space Agency, HIE set to work developing plans for the Sutherland spaceport in 2018, with planning permission granted back in 2020.

Global technology-forward solutions company, Jacobs, will assume the role of prime construction contractor on behalf of Orbex. As NASA’s largest services provider, Jacobs will collaborate with Orbex to provide spaceport operations support, operations consultancy, and engineering services, drawing on its experience of managing and operating complex, highly regulated sites such as Cape Canaveral in the USA.

Jacobs senior vice-president Karen Wiemelt said: “The Orbex Prime rocket promises to be a game changer for small satellite developers and operators, enabling them to launch light satellites much more efficiently and cost-effectively.

“Sutherland Spaceport is an important development for the European space industry and will bring major economic and social benefits to north highland and Moray, where our business has been active for decades in supporting operations, decommissioning and remediation at the Dounreay nuclear site.”