South Australia’s (SA) space industry marks a new national milestone with the re-entry of Varda Space Industries’ capsule at the Southern Launch Koonibba Test Range.
South Australia has been involved in the initial launch, testing and manufacturing in space, as well as the safe re-entry to Earth. As the first to have a commercial payload return, the South Australian space industry finds its place as a national centre for the full spaceflight ecosystem.
“This is a landmark achievement for South Australia and our national space industry as the first commercial payload returning to Australian soil,” said minister for Defence and Space Industries, Stephen Mullighan.
“This milestone not only solidifies our position as a global leader in space launches and returns but also opens up commercial opportunities, attracting international attention and investment.”
Launched on 14 January 2025, US company Varda Space Industries’ W-2 capsule spent 45 days orbiting the planet before landing on 28 February 2025.
Through Austrade’s engagement with the Australian Space Agency and DFAT, a treaty-level Australia-US Technology Safeguards Agreement (TSA) has commenced, enabling Varda to utilise Southern Launch.
Approval has been granted for two more re-entries of Varda pharmaceutical manufacturing capsules at the Koonibba Test Range.
“All eyes are on South Australia from the global space industry – setting the stage for our state to be in international demand for an easy-to-access return-to-Earth site,” said minister for Trade and Investment, Joe Szakacs.
“There is a huge opportunity for our state from scientific and commercial outcomes related to microgravity – such as pharmaceuticals, fibre optics, and other chemical processes that focus on crystalline structures.”



