SpaceX will invest $100 billion to build its largest launch facility on the Louisiana coast, the company and state officials confirmed Tuesday. 

Louisiana Economic Development said the Vermilion Parish campus is designed to support thousands of launches each year. Construction starts in 2027, with the first flight targeted for as soon as 2029. 

Louisiana Ties SpaceX Deal to Jobs and Local Payments

The state projects the campus to create 3,000 direct jobs over the next 10 years. Average pay is expected to be $92,600, which is 192% above the Vermilion Parish average wage.

Louisiana Economic Development also estimates more than 8,100 indirect jobs across the Acadiana region. Meanwhile, SpaceX has also entered a Payment in Lieu of Taxes (PILOT) agreement with local taxing bodies.

The company will pay the parish $25 million each year for 25 years, plus $20 million upfront. State officials expect the arrangement to generate more than $820 million in local payments.

“Today is a pivotal moment for Louisiana. This announcement pushes our state beyond $250 billion in new investment and puts us at the center of the next great frontier,” Governor Jeff Landry said.

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The announcement adds to an active start to the week for Elon Musk, who confirmed a partnership between SpaceX and NVIDIA on Monday.

Starship Buildout Raises the Stakes for SpaceX

Vermilion Parish will become SpaceX’s fourth and largest launch site. At full buildout, the campus will hold five launch complexes, each with two pads and a propellant farm.

Musk said the company is preparing to build a spaceport that was previously confined to science fiction.

“SpaceX was founded to bring about a future where humans are out exploring amongst the stars, which will only be possible when we make going to space as routine as flying on an airplane,” he added.

Investors reacted positively to the news. SpaceX shares rose about 2.9% Tuesday to close at $137.95. JPMorgan has kept a $240 price target on the stock, citing its artificial intelligence (AI) business rather than rockets.

Notably, SpaceX was cited in 2024 for Clean Water Act violations at its Texas launch site. Landry has signed bills that exempt certain aerospace projects from public review and make unauthorized entry into a spaceport a felony.

The company says it has already engaged the Louisiana Department of Wildlife and Fisheries and the Coastal Protection and Restoration Authority. 

SpaceX also plans to hold town halls in the surrounding area in the coming months. Those sessions will be the first public test of local sentiment on the project.

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Source: BeInCrypto