Paper Session III-C - Innovative Financing of a Large Space Project

This paper addresses the changes to the Space Frontier Operations, Inc. (SFO) Space Exploration Plan, (SEP) that was initially presented at the 37th. Space Congress in 1999. Progress since last year will be presented briefly and the progress made in finding the correct financing vehicles will be presented in detail. The SFO Space Exploration Project starts off as an international project that will present unique and difficult challenges to both the space and financial communities. The effects of these challenges will be discussed along with their impact to the process of raising capital for a project of this nature. The rationale behind establishing a separate but complimentary corporation will be discussed. The relationship between the commercial corporation and SFO will be delineated. It will be shown that complimentary roles are not only possible but also highly desirable. The way in which the SEP fits into the standard protocols used by the finance industry will be discussed. As the project proceeds to completion the issue of traditional financing with an Initial Public Offering will be addressed along with the possibility of bringing in one or more partners – either commercial or governmental. Finally, the work of the supporting commercial corporation will be presented and the current status of the two corporations will be discussed