Spain awards contract for military radar satellite

The Council of Ministers (Cabinet) has authorized the Spanish Ministry of Defense to subscribe to a framework collaboration agreement with the firm HISDESAT Servicios Estrategicos S.A., covering the definition and implementation of an Earth observation system based on a radar satellite.

Presently, the Ministry of Defense counts on optical Earth observation systems that only partially satisfy operational requirements for space imagery. These systems must be complemented with those that will be provided by a future satellite fitted with Synthetic Aperture Radar (SAR).

The fundamental characteristic of this system is the use of active sensors that allow it to take images by day and night, and in any meteorological environment.

HISDESAT will develop and implement an Earth observation system fitted with SAR technology, and will make available to the Ministry of Defense the required data as provided by the satellite, while guaranteeing that the satellite and its sensors will be designed, developed and built according to the ministry’s operational requirements and needs.

The value of this agreement is 127.6 million euros, to be paid between 2012 and 2016.

In addition, the Cabinet has authorized the Centro para el Desarrollo Tecnolo'gico Industrial (CDTI) to award a loan of 110 million euros to the firm HISDESAT Servicios Estrategicos, S.A. for the development of this satellite.

HISDESAT is principally controlled by Hispasat and INSA, and has as its corporate goal the acquisition, operation and commercialization of space systems for governmental applications, and the establishment of agreements with other organizations in that same scope. HISDESAT presently operates two satellites on behalf of governmental agencies: Spainsat and Xtar.

The loan is to be repaid in the period 2013-2018. However, if the project developed by HISDESAT failed for technical reasons, for example at launch or in the course of its nominal life span (five years from the launching), the company will be required to pay back to CDTI only 25 percent of the value of the assets that were in their control at the time the failure occurs.

The development of this equipment based on radar technology is necessary for the protection of the essential interests of national security. Added to the anticipated construction of another satellite based on optical technology the following advantages are foreseen to develop from this agreement:

• Independence and sovereignty in the obtaining of data for the development of national territory; monitoring of desertification and natural catastrophes; security and control of national borders.
• International leadership and generation of important opportunities for cooperation, especially in Europe and in Latin America.
• Support the technological qualification Spanish industry by giving it responsibility for developing a complete space mission, from the manufacture of the satellite to its operation and the development of applications.
• Support of highly qualified jobs. It is estimated that just the optical satellite will create in Spain 600 direct jobs, and another 200 jobs for the development of applications. Over the long term, it is expected that up to ten times that number of jobs could be generated in-country.

Source: Defense Aerospace

To find out how your company can successfully compete for European defence and aerospace procurement opportunities, contact Jeffrey Strategic.