NASA Cancels Maxar-led OSAM-1 Satellite Refueling Project

NASA has decided to shut down the OSAM-1 (On-orbit Servicing, Assembly, and Manufacturing 1) project, a $2 billion initiative to test satellite refueling in space. The decision comes after the agency’s auditor criticized Maxar, the program’s lead contractor, for its “poor performance.”

According to NASA, the project faced ongoing technical, cost, and schedule challenges, as well as a lack of committed partners due to the evolving trend away from refueling unprepared spacecraft. Despite the cancellation, NASA is committed to supporting the project workforce through fiscal year 2024.

Maxar Space Systems, the prime contractor for OSAM-1, expressed disappointment with the decision but pledged to assist NASA in identifying new partnerships or alternative uses for the project’s hardware.

The OSAM-1 project, led by NASA’s Goddard Space Flight Center in Maryland, aimed to dock with the U.S.-owned Landsat 7 imagery satellite in orbit and extend its life through repair and refueling. However, the project suffered significant delays and cost overruns, with NASA’s Inspector General attributing them primarily to Maxar’s poor performance. The report also acknowledged difficulties faced by the Goddard center in certain development aspects.

Notably, the cancellation of OSAM-1 follows the delivery of major spacecraft segments by Maxar to the Goddard center. Nevertheless, several critical parts remained unfinished.

Satellite servicing, a nascent sub-sector of the space industry, has only recently begun to be proven out. Companies like Northrop Grumman have conducted extension missions, showcasing early efforts in this area.

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