Hyderabad: India’s private space sector is set for a major boost as Astrobase Space Technologies plans to invest ₹800 crore in Andhra Pradesh. The company will expand its reusable rocket testing facility to around 360 acres, creating new infrastructure for rocket engine testing, launch vehicle development and advanced space technology.
The project aims to strengthen India’s ability to develop reusable rockets and make space transportation more affordable. It is also expected to create around 500 direct jobs and 1,000 indirect employment opportunities.
Details of Astrobase Andhra Pradesh Facility
Astrobase Space Technologies has signed a Memorandum of Understanding (MoU) with the Andhra Pradesh Economic Development Board to expand its existing rocket testing facility.
The agreement was signed on November 12, 2026, during the 31st CII Partnership Summit in Visakhapatnam.
The signing took place in the presence of Andhra Pradesh Chief Minister N. Chandrababu Naidu and Industries Minister T.G. Bharath.
Under the agreement, the company plans to invest ₹800 crore in its existing facility at Thimmasamudram in Sri Sathya Sai district. The expansion will add approximately 339 acres to the existing 22-acre facility, taking its total planned area to around 360 acres.
What Will The Astrobase Andhra Pradesh Facility Be Used For
The expanded facility will support several important activities related to rocket development and testing.
Its main purpose will be to help Astrobase develop and test advanced launch vehicles, particularly reusable rockets. The planned facility will include:
- Rocket Engine Testing: Testing powerful rocket engines under different operating conditions.
- Static Hot-Fire Tests: Running rocket engines while they remain fixed to a testing structure to check their performance.
- Rocket Stage Development: Developing and testing different sections of launch vehicles.
- Hop Tests: Conducting controlled take-off and landing tests of rocket stages.
- Reusability Testing: Testing whether rocket systems can safely return and be used again.
These activities are important because rockets must pass several ground tests before they can be considered ready for space missions.
Why Are Reusable Rockets Important For India
Traditional rockets are generally designed for single-use missions, which can make space launches expensive. Reusable rockets aim to reduce these costs by allowing important rocket parts, especially launch vehicle stages, to return safely and fly again. This technology could also reduce the time needed between launches.
For India, developing reusable launch vehicles could improve satellite launch capabilities and increase its competitiveness in the global space industry. However, reusable rocket technology requires advanced engines, reliable landing systems and extensive testing before it can be used for regular commercial launches.
Astrobase’s Bigger Plans For India’s Private Space Industry
Astrobase Space Technologies is a Bengaluru-based space technology company working on advanced rocket engines and reusable launch systems.
One of its major projects is EVEREST, an 800 kN-class rocket engine powered by liquid oxygen and methane.
The engine uses Full-Flow Staged Combustion (FFSC) technology, an advanced rocket engine design developed to improve performance and efficiency. The company is also developing its AB220 medium-lift launch vehicle programme.
These projects are part of its larger plan to build advanced rocket systems in India and support more frequent access to space.
Astrobase Also Plans ₹500 Crore Investment In Karnataka
Along with its Andhra Pradesh expansion, Astrobase has announced plans to invest another ₹500 crore in Karnataka. The proposed investment will support a dedicated manufacturing facility in Bengaluru.
The facility is expected to include advanced manufacturing machines, metal 3D printing, fabrication systems and quality inspection infrastructure. It will also support rocket engine and launch vehicle stage assembly.
These manufacturing capabilities will help the company develop its EVEREST engine and AB220 launch vehicle programme.
Together, the proposed investments in Andhra Pradesh and Karnataka highlight the company’s plan to build a stronger rocket development and manufacturing ecosystem in India.
Read also: How IAS Dhatri Reddy Is Turning Andhra Pradesh into a Launchpad for India’s Next Big Ideas
