Spacecom to receive US$196m insurance payout for Amos-6

Spacecom is set to receive a US$196 million (€177 million) insurance payout for its Amos-6 satellite, which was destroyed in a launch-pad explosion in September.

Spacecom said it has been informed by Israel Aerospace Industries (IAI) that IAI’s insurers will pay US$196M – the full amount that was paid to IAI for the construction and delivery of the Amos-6 satellite.

The sum is due to be paid directly into Spacecom’s bank account during the on November 24, 2016, following which Spacecom and IAI will discuss the interest to be paid.

“The sum of US$196 million does not include a liquidated damages amount of US$10 million Spacecom is owed by IAI for construction delays of the Amos-6 satellite, in accordance with the agreement between the companies,” Spacecom said in a statement.

“Spacecom reiterated to IAI that it also demands to receive the full amount of liquidated damages.”

Amos-6 was destroyed after the SpaceX Falcon 9 rocket that was due to carry it into space exploded during during a standard pre-launch static fire test. SpaceX blamed an “anomaly” for the explosion that originated “around the upper stage oxygen tank and occurred during propellant loading of the vehicle”.