New Zealand is set to be the first launch site for commercial space launches later this year with U.S. company Rocket Lab set to build and run the launch sit.

The site will be used to send commercial satellites into low orbit, with a goal of increasing pace ad affordability for companies wanting to send imaging and communication gear to space for things like weather monitoring and crop surveillance.

"Creating and operating our own launch site is a necessity to meet the demands of our growing customer manifest," said Rocket Lab CEO Peter Beck in a statement. "At present, the lead times for satellite launches are years, and small satellite companies cannot reach orbit in time frames that keep their businesses competitive. With the launch frequency possible from this site, Rocket Lab is one major step closer to its goal of making space commercially accessible."

Of course Rocket Lab isn't the only company looking toward commercial space launches, and is joining a number of competitors, including such companies as Boeing and Lockheed Martin Corp.

Rocket Labs will offer a number of things that its competitors will not, however. While price tags for commercial launches could range up to around $200 million, Rocket Lab will offer its Electron booster, which will be able to launch satellites for less than $5 million. According to Beck, the company already has 30 potential clients, and is targeting clients such as universities and startups.

While there are other commercial programs for satellite launches, the site will be the first commercial-only site because of the fact that other commercial launches usually take place from government sites.

It's not a random choice to have the site in New Zealand. The country is considered a great location for space launches because of the fact that spacecraft launched from low in the Southern Hemisphere are able to easily reach a high range of Earth orbits.

"New Zealand's access to high inclination and sun-synchronous orbits are ideal for small satellites," continued Beck. "Operational logistics are made easier due to New Zealand's minimal air and sea traffic, which enables a significantly more frequent launch rate and economies of scale."

The site is due to be finished in the fourth quarter of this year, after which testing of the new Electron rocket will commence. The company is targeting a main launch site at Kaitorete Spit on New Zealand's Southern island, and it is also targeting more launch sites around the country.

Via: Bloomberg