Satellite space port deal almost finalised -negotiations concluded By Gitanjali Singh Stabroek News November 10, 1999 The government has concluded negotiations with Beal Aerospace Technologies to have a satellite space port in Guyana's interior and the deal is likely to be signed anytime now. The Texas firm, which wants to launch commercial satellites from a point in the Waini and over the sea, has forwarded the commitments given by the government to its lawyers to ascertain whether such commitments are permissible within Guyanese law. "It is more a matter of paperwork before we arrive at a deal," Co-ordinator on investment and Chairman of the Guyana Office for Investment (Go-Invest), Kellawan Lall, said yesterday. Three major issues which had been holding up a deal were the ownership of land, compensation for relocation of farmers within the buffer range of the space port and government pre-approvals. The Texas firm wanted to buy ten acres for its remote site, 26,000 acres for its primary site and needed a hold on 75,000 acres as its buffer. The government, which had only been willing to sell the ten acres for the remote site and give a long-term lease on the other acreage, relented and agreed to sell the land. However, it has attached conditions to the use of the land by the firm. The compensation issue has also been settled and the government has given the necessary pre-approvals in its firm offer to Beal Aerospace Technologies. The company has reportedly found favour with the government's offer. "This investment will be a flagship for Guyana," Lall said yesterday, noting that this investment will do what a million brochures could not achieve--send a clear signal to investors that Guyana is a potential investment site. The Go-Invest chairman also noted that Guyana has to give up a bit more than other countries to secure this investment because of its long-term worth to economy. "We are competing with other countries for investment dollars and we have had to give up a bit more," Lall stated, pointing out that the investment accrues for Guyana more on the collateral side. The satellite industry is a US$50 billion market which is now demanding vehicles which can carry larger payloads. Following agreements with the government, Beal Aerospace will continue to pursue with the US State Department, approvals to transfer satellite technology to Guyana. It will do the necessary geotechnical investigation for the investment and will be required to conduct an environmental impact assessment which has to be approved by the Environmental Protection Agency (EPA). Beal Aerospace Technologies, backed by Texan millionaire, Andrew Beal, is working to cash in on the demand for satellite vessels with larger payloads. It plans to manufacture and assemble these vessels in St Croix and ship them to Guyana for launching. The vehicles will use 85% hydrogen peroxide which is environmentally friendly and 15% regular aviation fuel. The company had had December 2000 as the date for its first launch, but because of difficulties in securing a site, will be renting space at Cape Canaveral for its initial launching until it secures a permanent space port. The infrastructure investment, valued conservatively at around US$50 million, will comprise a vehicle assembly building, a payload processing building, a launch pad, a launch control centre, a 10,000-foot runway and ancillary facilities (offices, VIP viewing centre, living quarters). In the short term, it is expected that 500 Guyanese will be employed for construction jobs but 200 long-term positions will be created. There will also be more jobs created via linkages. A © page from: Guyana: Land of Six Peoples