iSpace and Komatsu to develop lunar construction equipment

Under Japan’s Stardust programme

iSpace, a leading player in lunar exploration, and Komatsu, a prominent global construction and mining equipment manufacturer, have announced a groundbreaking consulting agreement to design specialised equipment for use on the Moon’s surface.

The consulting agreement between the two Japanese companies signifies a pivotal step toward realising the ambitious goals of lunar construction and exploration, potentially paving the way for future missions and developments on the Moon.

Under the new agreement, iSpace will leverage its expertise in space technology to support Komatsu’s mission of developing cutting-edge construction equipment tailored to the unique challenges of the lunar environment.

Since 2021, Komatsu has been involved in the ‘Project for Promoting the Development of Innovative Technology for Unmanned Outer Space Construction,’ a key initiative under Japan’s Stardust Programme.

This initiative, managed by Japan’s Ministry of Land, Infrastructure, Transport and Tourism in collaboration with the country’s Ministry of Education, Culture, Sports, Science and Technology, aims to push the boundaries of unmanned construction technology in outer space.

Takeshi Hakamada, Founder and CEO of iSpace, noted: “We are thrilled to sign this strategic consulting agreement with Komatsu. This collaboration will drive our joint efforts in lunar construction technology forward.

By combining our extensive experience in space mission technology with Komatsu’s expertise in construction equipment, we are poised to make significant strides in developing autonomous machinery for lunar construction.”

Komatsu, a renowned name in the construction and mining equipment industry, has a rich history of innovation spanning over a century. The company is known for its advanced solutions across various sectors, including utility equipment, forestry machinery, and industrial machinery.

iSpace’s vision is to ‘Expand our planet. Expand our future’. The company specialises in designing and building lunar landers and rovers, focusing on providing cost-effective and frequent transportation services to the Moon.

$62 million financing

In July 2024, iSpace secured approximately $62 million in new financing through a loan agreement with Sumitomo Mitsui Banking Corporation and Mizuho Bank.

This marks the most significant debt financing in iSpace’s history and is the second-largest financing deal overall, following a Series A round in December 2017.

With this latest capital injection, iSpace’s cumulative investment has reached approximately $489.8 million. The funds from this new loan will be used to develop and operate lunar landers and micro rovers, which are crucial for the company’s forthcoming missions.

The recent financing follows a bridge loan arrangement with Sumitomo Mitsui Banking Corporation in April 2024. Ongoing discussions with various banking institutions culminated in this permanent syndicated loan, which includes contributions from seven banks, two of which are first-time lenders to iSpace. Sumitomo Mitsui Banking Corporation orchestrated the agreement, with Mizuho Bank as co-arranger.

Jumpei Nozaki, Director and CFO of iSpace, expressed his satisfaction with the latest financing deal, stating: “We are extremely pleased to have secured this syndicated loan agreement with Japan’s leading financial institutions.

“Their confidence in iSpace’s progress towards our vision has made this achievement possible. We will continue to leverage our global presence and diverse workforce to advance our mission of providing high-frequency, low-cost lunar transportation services.”

iSpace operates through three main business units: Japan, the United States, and Luxembourg. It focuses on the simultaneous development of upcoming lunar missions.

The company’s Mission 2, utilising the Resilience lunar lander, is scheduled for 2024 under the leadership of the iSpace Japan team. Mission 3 will debut the Apex 1.0 lunar lander, led by the iSpace US team, with a planned launch in 2026.

Additionally, Mission 6, featuring the Series 3 lander currently developing in Japan, is slated for launch by 2027.

Featured image: A CGI of iSpace-Komatsu construction equipment on the lunar surface. Credit: Komatsu