Australian satellite operator NewSat is still hoping to be part of the government’s National Broadband Network (NBN) project.
Despite having previously been shunned by the state when it sought support for its Jabiru satellite project, leading the company…
Australian satellite operator NewSat is still hoping to be part of the government’s National Broadband Network (NBN) project.
Despite having previously been shunned by the state when it sought support for its Jabiru satellite project, leading the company to go down the export credit route, NewSat has reiterated its belief that its new satellite could be a vital cog in the NBN project.
In an update to the Australian Stock Exchange (ASX), NewSat stated: “Despite what NewSat can currently offer, both in capability and in significant cost savings, and with those services set to be enhanced even further by the Jabiru project, it is disappointing the Government’s NBN Co. has not consulted with NewSat. Nevertheless NewSat will continue to push forward with our plans regardless.
“NewSat/Jabiru offers the Australian Government and NBN that it can provide the solution to the connection of remote Australians to high speed Ku band satellite in the interim prior to the launch of the NBN satellites. To date no open tender for this service, believed to be valued in excess of A$150m over three years, has been declared.”
NewSat has estimated that Jabiru-1, which would be its debut satellite, will cost in the region of A$400m and has hired Lazard and Argosat to advise it on securing credit export backed financing. It has also formed a wholly-owned subsidiary, Jabiru Limited, to oversee the project with the aim of launching Jabiru-1in 2012. NewSat said that it is currently in the final stage of technical specification and spectrum co-ordination for the spacecraft.
Meanwhile, Newsat stated that it expects to report its maiden EBITDA profit for the year 2009-2010 when it reports in August on the back of its ninth consecutive record quarter of growth. The company pointed to its continued accumulation of business in the Australian oil, gas and mining sectors as a key driver to this growth. It also estimates that Jaribu will generate more than US$1bn during its 15 year lifespan.
