Australia's remote Christmas Island in the Indian Ocean is set to be turned into a space launch centre with Australia announcing it would fund AUS$100 million towards the satellite spaceport.
The AUS$800 million project by Australian consortium Asia Pacific Space Centre (APSC) will target the growing Asian satellite market, with the first launch expected from late 2003.
Australian Science Minister Mr Nick Minchin said demand for satellite launches in the next 10 years is estimated to be worth up to AUS$40 billion and Australia can expect between 10 and 20 percent of the market.
He said the spaceport would target the geostationary launch market, offering capabilities for low Earth orbits, and for use in test flights of satellites and space communications.
Christmas Island, a speck of land of about 135 square km that lies off Australia's northwest coast, only makes news headlines when illegal immigrants arrive in rickety boats from Asia.
But its proximity to the equator - it lies between 10 degrees 30 minutes South and 105 degrees 35 minutes East - makes it an ideal satellite launch site, with heavier payloads being sent into orbit using less fuel.