A satellite operations facilities will soon be built in Bermuda.

Yesterday, TerreStar Global Ltd., an emerging mobile communications provider, announced that it had signed a letter of intent with the Government.

The deal is the first step towards constructing satellite operations facilities on the Island. TMCNet reported that since Bermuda became part of the UK Outer Space Act in November 2006 TerreStar has been interested in “playing a key role in re-invigorating the area as a centre for excellence in space”.

The news network reported that the company would be working with the Government to “re-develop existing, but currently unutilised, building sites in Bermuda” for the operations facilities.

A spokesman for the Ministry of Telecommunications was not available for comment yesterday on where the sites would be.

But Minister Neletha Butterfield did tell the TMCNet: “The Government of Bermuda is pleased to be working with TerreStar as a part of strengthening and expanding Bermuda’s role as a centre for excellence in the space industry.”

The Minister also told the news website that the partnership was another step in her Ministry’s strategic plans to develop a satellite services industry on the Island that would assist international business but also bring the latest communications technologies to the Island.

TMCNet also reported that the company plans to offer a training and education component to its development project and a new communications system for the Island which will allow faster mobile data transmission rates - up to 20 megabits per second.

They added that the company also plans to develop a museum celebrating Bermuda’s history in the space sector. President and CEO of TerreStar Global Ltd, Robert Brumley said: “Executing this agreement with Bermuda represents a significant milestone for TerreStar Global and another step in globalizing our unique communications network.

“Bermuda has always been an active player in the space commerce industry and its unique location makes it a natural choice for our earth station. We look forward to a long and prosperous partnership with the government and people of Bermuda.”