Tim Furniss/LONDON

2489

Hughes Space and Communications and China Great Wall Industry have been hit by a US Government decision to delay issue of an export licence for a satellite launch on a Long March 3B booster.

The launch of the Hughes-built Asia Pacific Mobile Telecommunications satellite from China has been delayed, probably indefinitely, in the interests of US national security and technology transfer policy. Hughes may lose $450 million and up to $100 million projected operating revenue if it cannot fulfil a contract to orbit a satellite for Singapore's APMT.

APMT is a partnership of four Chinese (holding 75%) and two Singapore (25%) concerns, including China Aerospace and Singapore Telecom. Another satellite is planned, bringing to $640 million the potential value of the contract. The spacecraft are due for launch on Chinese Long March boosters.

The partnership can cancel the contract immediately, but is likely to wait a little longer for developments. Concerned that the deal could leak valuable military information to China, the Clinton Administration is reportedly unlikely to revoke the decision.

If Hughes is forced to find another buyer for the first completed satellite, its potential customer base will be limited since the APMT satellite is a specialised HS-601 High Power spacecraft - designated an HS-GEM - equipped with a 12.25m antenna, to provide only L-band mobile voice telephony services. APMT may approach Matra Marconi Space or Alcatel to build an alternative spacecraft.

The US decision could also be a major blow to the Chinese commercial launch industry should the export licence ban be expanded to cover other US-built satellites slated for Long March launches.

Hughes has an HS-376 booked on a Long March 3 and five launches of the HS-601 and other craft - including the AMPTs - with five options on Long March 3Bs. Space Systems Loral also has five bookings for satellite launches on Long March 2Es. Motorola has six contracted launches of two Iridium satellites each on Long March 2C/SD boosters.

Source: Flight International

Topics