WASHINGTON — SpaceX will have spent $5 billion or more on its Starship vehicle and launch infrastructure by the end of this year, according to court filings and comments by the company’s chief executive.
In the company’s filing, known as a motion to intervene, SpaceX argued that it was affected by the suit, which seeks to revoke the existing launch license the FAA issued for Starship/Super Heavy orbital launches from Boca Chica by claiming the FAA violated environmental law and regulations in the licensing process.
If the plaintiffs win the case, SpaceX stated, “the FAA’s decision could be set aside, and further licensing of the Starship/Super Heavy Program could be significantly delayed, causing severe injury to SpaceX’s business.”
To make that argument, the company included a statement from Bret Johnsen, chief financial officer at SpaceX. He said that, if the plaintiffs win, the company’s ability to generate revenue from Starship launches for both NASA and commercial customers “would be substantially delayed and jeopardized.”
He specifically noted that since a 2014 “record of decision” by the FAA, allowing SpaceX to develop launch facilities at Boca Chica (originally for the Falcon family of launch vehicles), “SpaceX has invested more than $3 billion into developing the Boca Chica launch facility and Starship/Super Heavy launch system.”
The statement did not break out the investment between the launch vehicle itself and infrastructure. SpaceX Chief Executive Elon Musk, in an April 29 online discussion on Twitter, the social media network he also owns, estimated that the company would spend about $2 billion on Starship this year.
“It’ll probably be a couple billion dollars this year, two billion dollars-ish, all in on Starship,” he said, adding that he did not expect to have to raise funding to finance that work. He also said in that conversation that he expected Starship to launch four to five more times this year and “would be surprised” if the company didn’t achieve orbit by the end of the year.
That schedule, though, depends on both the technical progress SpaceX makes in repairing the damaged launch pad and getting the next vehicle ready for flight — Musk is known for making aspirational schedules — as well as the outcome of the suit.
Johnsen, in his statement, outlined details of the consequences of any delay in launches caused by the suit. That includes nearly $1 billion in milestone payments on its NASA Human Landing System award linked to the first orbital launch and subsequent steps, which include demonstration of in-space propellant transfer, an uncrewed lunar landing and crewed landing. Neither the company nor SpaceX have previously outlined the schedule of milestone payments on its $2.9 billion award for Starship lander development for the Artemis 3 mission.
He also stated that SpaceX has invested billions into its Starlink satellite broadband constellation, and would be harmed if it cannot launch its larger “V2” satellites that require Starship. He said “hundreds of thousands of people” have placed deposits for service but are waiting until those larger satellites can be launched to have sufficient capacity to serve them.
On a smaller scale, he said that SpaceX offered Starship/Super Heavy to NASA’s Venture-Class Acquisition of Dedicated and Rideshare (VADR) contract for smallsat launches. The company estimated VADR to generate at least $10 million in annual revenue for the company, a small fraction of a single commercial Falcon 9 launch.
The SpaceX motion to intervene is one of the few updates since the suit was filed. The court set a July 1 deadline for a “responsive pleading” from the FAA.
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
