Australia could sign biggest space contract in its history with Lockheed Martin worth $2.7bn

The Australian government has come close to signing the biggest space contract in the country's history. Lockheed Martin, Boeing, Northrop Grumman, Raytheon Technologies and Thales vied for it.

Here's What We Know

Lockheed Martin has been selected as the "preferred bidder" for Australia's multi-billion dollar military project to build military communications satellites and supporting infrastructure. Australia's original plan was to select two firms. The US company could sign a AU$4bn ($2.7bn) agreement.

The Australian Ministry of Defence's announcement does not mean Lockheed Martin will immediately get the multi-billion dollar contract. The company has yet to go through another round of negotiations with the country's government.

Australia is interested in buying at least two geostationary communications satellites and wants a "sovereign military satellite capability". The defence forces currently rely on commercial companies.

In addition to the spacecraft, the satellite communications system will include a command and control system and two operations centres. The satellite is expected to provide coverage from the central Indian Ocean to the Solomon Islands from 2027.

Source: Australian Ministry of Defence