Fifty-year sub-lease agreed for Sutherland launch site as space industry represents 'huge opportunity'
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A 50-year sub-lease for the Sutherland rocket launch site underlines the "huge economic opportunity" presented by the space industry, according to those behind the project.
Development agency Highlands and Islands Enterprise (HIE) agreed the deal with Moray-based Orbex for the spaceport location on community-owned land on the A’ Mhoine peninsula.
HIE has been developing launch plans for several years and leases the site from Melness Crofters’ Estate. The sub-lease with Orbex will run for half a century, with an option to extend it for a further 25 years.
The venture could create 250 jobs and local MP Jamie Stone welcomed the announcement, saying "every job counts" in the far north.
Orbex will oversee the construction and assume full operational management of the facility. The 10-acre launch site will become the long-term "home" spaceport of Orbex and will see the launch of up to 12 rockets a year, carrying satellites into low Earth orbit.
David Oxley, HIE’s director of strategic projects, 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 its 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.”
Orbex’s role in the spaceport will stimulate significant private investment that will benefit the local community through job creation, supply chain opportunities and other economic benefits. Total private investment over the initial three-year period is expected to reach £20 million.
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 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 roles. Employment opportunities will be advertised locally when recruitment starts.
Chris Larmour, CEO of Orbex, 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.”
Jamie Stone, the Liberal Democrat MP for Caithness, Sutherland and Easter Ross, said: "I welcome this news. I am keenly aware that every job counts in remote parts like the far north.
"This is an important step towards realising a project that could make a real difference for this area during the years to come."
HIE identified the potential for the Highlands and Islands to play a significant role in the UK’s growing space sector several years ago, recognising that rural locations that are close to coasts and have a northern latitude can make ideal satellite launch sites.
With the backing of the UK Space Agency, HIE began developing plans for the Sutherland spaceport in 2018, with specialist input from architects NORR and construction consultants Gardiner and Theobald.
At the same time, HIE commissioned detailed environmental studies to inform a broad range of protection measures around the site.
Planning permission was granted by the Highland Council in August 2020. A separate development application to the Scottish Land Court – which was required as the launch site is on crofting land – was also successful.
Global technology company Jacobs will take on the role of prime construction contractor on behalf of Orbex, drawing on its experience of managing and operating sites such as Cape Canaveral in the United States. Jacobs is NASA's largest services provider.
The Sutherland development is intended to be the world’s greenest spaceport, both in terms of its construction and its operation. Peat lifted during the construction will be re-used to repair large areas of peatland that have degraded over centuries.
The new Orbex Prime rocket is powered by a renewable biofuel, Futuria Liquid Gas, supplied by Calor. This fuel allows the rocket to reduce carbon emissions "significantly" compared with similarly sized rockets being developed elsewhere in the world.
A study by the University of Exeter showed that a single launch of the Orbex Prime rocket will produce 96 per cent lower carbon emissions than comparable space launch systems using fossil fuels.
