Astroscale Lands $81 Million JAXA Contract to Tackle Orbital Debris

Shares of Japanese space startup Astroscale surged 19% after announcing an $81 million contract with Japan's space agency JAXA to remove orbital debris. The five-year deal focuses on eliminating the upper stage of a JAXA H-IIA rocket in orbit since 2009, using a new spacecraft equipped with robotic arm technology.

Shares of Japanese space startup Astroscale saw a notable 19% increase on Monday, following the announcement of an 81 million dollar contract with Japan's space agency, the Japan Aerospace Exploration Agency (JAXA), to remove debris from Earth's orbit.

The company confirmed that its Japan unit would formalize the five-year agreement on Tuesday. This initiative aims to clear the upper stage of JAXA's H-IIA rocket, which has remained approximately 600 kilometers above the Earth's surface since its launch in 2009.

Astroscale plans to develop a new spacecraft, ADRAS-J2, equipped with robotic arm technologies to capture the target debris by March 2029. The growing accumulation of debris poses escalating risks for space missions, with the recent breakup of a Chinese rocket stage adding over 700 debris pieces to this hazardous environment.

(With inputs from agencies.)