Summary of the Beal rocket launch deal
After the signing A UNIT of Police ranks leaves the Wight's Lane, Kingston compound of the Office of the Prime Minister following the sealing of the Beal Aerospace contract yesterday afternoon. (Picture by Winston Oudkerk) Prepared SENIOR Police Officers in the compound of the Prime Minister's Office, Wight's Lane, Kingston during the signing ceremony of the Beal Aerospace contract, yesterday. (Picture by Winston Oudkerk) ** THE `primary site' of the facility comprises 25,000 acres located between the Waini River and the Atlantic Ocean. This area is surrounded by an additional buffer area encircling the `primary site' encompassing approximately 75,000 acres. ** The facility includes a `remote site' approximating 10 acres of land about 25 miles South East from the site where a radar and tracking station will be established. ** Beal is not permitted to engage in mining, forestry or any other commercial activity in any of the land sold or leased to it which is not directly related to the launching operation without the specific approval of Guyana. ** Beal will have the right to use timber and other natural resources on the primary and remote sites for the purpose of construction and maintenance of the facility and activities directly related to the project. ** The `primary site' and `remote site' have been sold to Beal for US$3 per acre and are to be surveyed prior to payment for the land. ** It is estimated that Beal will pay US$75,030 to Guyana. This amount will be paid within 30 days of the signing of the agreement adjusted approximately when the survey is completed. ** The additional buffer area will be released to Beal for US$1 per acre paid annually; that is estimated to be US$75,000 per annum. ** If Beal has no more than six successful launches in a calendar year it will pay the government - US$25,000. ** If it does more than six but no more than 12 successful launches in a calendar year, it will pay US$50,000 per successful launch. ** If it does more than 12, but no more than 18 successful launches in a calendar year, it will pay the government US$75,000 per successful launch. ** If 19 or more successful launches are done in a calendar year, the company will have to pay a fee of US$100,000 per successful launch. ** Despite this, Beal's obligation to pay Guyana for a successful launch shall not exceed 1 per cent of the contract amount between Beal and its customer for any such launch. ** A successful launch will have been achieved when the launch places the vehicle payload into orbits specified in Beal's contracts with its customers. ** Beal will pay Guyana US$100,000 per year for consideration of all administrative expenses and fees incurred or chargeable by the Government in connection with the project, but not limited to the cost of stationing and housing customers and administrative officers at the facility. Insurance and Indemnity ** The agreement requires Beal to maintain Insurance or to demonstrate adequate financial responsibility for its Licensed Launch Activities of the type and in the amounts and consistent with the terms of conditions required by the Associate Administrator for Commercial Space Transportation of the FAA. ** Guyana will be protected under this arrangement under the same terms and financial responsibility which protect the Government of the USA. ** Beal is also required by the agreement to indemnify, defend and hold Guyana harmless from and against any and all damages, claims, demands, suits, causes of action, judgements and costs, including attorney fees and expenses, on account of any damage caused by launch activity conducted by Beal at the space launch facility. Closure ** The agreement will only be closed after Beal receives written approval from the Department of State of the US Government to construct the facility and approval to export from the USA to Guyana equipment controlled under the US Government's International Traffic in Arms Regulations (ITAR). ** Actual closure is to occur under the agreement no later than 60 days after Beal has delivered written notice to Guyana that the necessary approvals have been received from the US State Department. ** The agreement is conditional, therefore, upon Beal obtaining all of the necessary approvals and licences from the Government of the USA and on Beal obtaining Launch Flight Licences from the Federal Aviation Authority (FAA) of the US in the Department of Transportation. Environmental protection ** Launch operations by Beal are conditional on it delivering, at its cost to the Environmental Protection Agency (EPA) of Guyana an Environmental Impact Assessment (EIA) of all of its operations involving the space launch facility and final approval by the EPA. ** Beal can begin preparatory work at the launch facility, once an interim permit has been granted by the EPA and should the EPA not approve the EIA within six months of its completion and delivery to EPA, Beal may terminate the agreement. Conditions of sale ** If Beal were to terminate the agreement at any time within three years at the date of signing, it must return both the purchased and leased land to Guyana. ** Guyana will reimburse Beal only for the amounts paid for by the firm for the purchase of the `primary' and `remote sites' and not for the amounts paid by Beal for leasing the buffer area. Resettlement ** The establishment of the launch facility will involve resettlement of a small number of families and individuals likely to be affected by the launchings, at most 54 families. ** Beal will pay Guyana a maximum of US$400,000 to cover the cost of actual resettlement expenses which will be the final responsibility and obligation of Guyana and not Beal. Spinoff benefits ** The purchase of local goods and services, the engagement of Guyanese contractors, the building of infrastructure such as roads and communications and employment of Guyanese directly and indirectly by the project. ** The agreement provides specifically for Beal to give preference to purchasing local goods and services and for the employment of suitably qualified Guyanese at what may be expected to be highly competitive wages and conditions of service. Airport and port of entry ** The spaceport will have to accommodate large commercial passenger and cargo aircraft and the agreement provides for Beal to operate an airport facility in cooperation with Guyana's Civil Aviation Authority and subject to local aviation laws. ** Beal will be allowed to operate their own aircraft within our airspace providing that these are not commercial aircraft used for passenger or cargo transportation. ** The launch facility will be a port of entry, both by air and sea and Beal will operate docks on the Waini River for access to the `primary' and `remote sites' and will be licensed under the Agreement to do so and may, with the Government's approval, establish docks outside of these sites. Customs and Immigration ** As a port of entry, the launch facility will be subject to Guyana's Customs and Immigration laws and Guyana will place Customs and Immigration officers there for the clearance of personnel and goods into Guyana. ** Goods entering Guyana shall be cleared at the facility within a period not exceeding 12 hours and that in the event that goods have not been cleared within that time for reasons beyond the reasonable control of Beal of any Force Majeure, these goods shall be deemed cleared. ** It is essential that the air water and ground space in the vicinity of the facility are cleared and are free from interference in order to conduct a safe launch and to comply with federal Aviation Requirements. ** Guyana has undertaken this responsibility once Beal gives the appropriate minister 72 hours notice of a launch and publishes a notice to mariners and airmen.
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