US-based asset monitoring and messaging services provider Orbcomm has announced that it has signed an agreement to use two Automatic Identification System (AIS) satellites built by German manufacturer OHB-System. The agreement appears to settle claims…
US-based asset monitoring and messaging services provider Orbcomm has announced that it has signed an agreement to use two Automatic Identification System (AIS) satellites built by German manufacturer OHB-System. The agreement appears to settle claims between the two companies dating back to 2008.
“Orbcomm will receive exclusive licences for AIS data collected by these two satellites and nonexclusive licences for a third satellite (Pathfinder 3), expected to be launched by LuxSpace,” said the US company in the statement. “These two satellites, planned to be launched in the second quarter of 2011, will provide additional coverage and AIS data in the polar and equatorial regions and will supplement Orbcomm’s constellation of 18 AIS enabled next generation satellites that are planned to be launched next year.” A spokesman for OHB confirmed that the two satellites, to be used for ship tracking and monitoring, were currently in the integration process and that they would be tested at the beginning of next year.
According to a SEC filing, Orbcomm will pay OHB US$2m for the exclusive right to use the satellites. The company will pay an additional US$546,000 over 36 months for the use of the AIS capacity to LuxSpace, once the satellites are deemed to be successfully operating.
After that, Orbcomm can continue the exclusive licences for the data with payments of up to US$6,250 per month, the SEC filing read.
According to the filing, the agreement also settles claims between Orbcomm and OHB “arising from or relating to the loss or failure of the Coast Guard demonstration satellite and quick launch satellites numbers one through five covered by an in-orbit insurance policy which has previously been settled between the Orbcomm parties and the insurers.” Following the launch of the six OHB-manufactured maritime surveillance satellites in June 2008, the satellite operator revealed in early 2009 that these were all experiencing pointing anomalies. Orbcomm subsequently filed a US$50m claim under the policy for all six satellites as either a total loss or constructive total loss.
Last December, Orbcomm said it would receive US$44.25m from the insurance claim after negotiations with its underwriters.
The total insurance available in the policy on the constellation was US$60m, of which US$10m was co-insured by Orbcomm itself.
Orbcomm’s original US$50m entitlement was lowered to US$44.25m due to the fact that two of the satellites are still operational. Orbcomm said in the December statement that it retained ownership of these two quick launch satellites, but could not be reached for comment on this latest development.
