NASA shuts down $2 billion satellite refueling project after contractor Maxar is criticized for poor performance

NASA is discontinuing a $2 billion project called OSAM-1 (On-orbit Servicing, Assembly, and Manufacturing 1) that aimed to test satellite refueling in space. The decision comes after the agency’s auditor criticized the lead contractor, Maxar, for “poor performance.” The project, which began in 2015, involved docking with the Landsat 7 imagery satellite to repair, refuel, and extend its life. NASA cited technical challenges, high costs, and a lack of committed partners as reasons for the discontinuation. Maxar expressed disappointment and pledged support for NASA in pursuing alternative partnerships or hardware uses. The cancellation of OSAM-1 follows significant delays and cost overruns.