Sky and Space Global strikes 5-year telecoms deal in Ghana

Nanosatellite maker Sky and Space Global (ASX: SAS) has struck a 5-year binding deal with Universal Cyberlinks Ltd, a leading telecommunications provider in Ghana.

The deal effectively validates SAS’s nanosatellite program for its effectiveness in delivering improved connectivity and data transfer capabilities and cements a place for its novel technology in the growing market being made possible by nanosatellites.

Universal Cyberlinks provides voice, data and machine-to-machine services in Ghana and has selected SAS’ nanosatellite solution in order to establish a tech-enabled market dominance in Ghana.

The deal, announced earlier today through a shareholder market update, is SAS’s first deal in Ghana and will utilise the company’s planned network of 200+ nanosatellites, to be completed by 2020. SAS successfully launched its first three nanosatellites dubbed ‘the 3 Diamonds’ into orbit in June 2017 and is now adding commercial customers to its books as the network is built-up and implemented.

As part of the 5-year binding contract, Universal Cyberlinks will harness SAS’s nanosatellite-based coverage and connectivity services to advance several projects within the country spanning both private and public sectors.

It is hoped that the agreed deal will serve as a platform for SAS to strike similar agreements in other African countries, given the region’s higher propensity to require the functionality offered by nanosatellites, and contribute to building what SAS Managing Director Meir Moalem calls “a healthy digital ecosystem, based on a better communications infrastructure.”

Nanosatellites in agriculture

One of the most keenly anticipated impacts of nanosatellites is in farming and agriculture.

Large scale farming projects typically span thousands of square kilometres and require resilient communication systems to ensure accurate information is exchanged in real-time amongst smaller producers, or to and from producers in remote areas.

SAS’s first project in Ghana focuses on empowering Universal Cyberlinks towards building an Agriculture Value Chain (AVC) for Ghana’s large cocoa industry thereby enabling Ghana’s Ministry of Agriculture and Cocoa Board to monitor the country’s total cocoa production across the country, covering more than 5,000 buying centres and checkpoints for tracking the movement and changing quality of cocoa produce.

SAS’s other project will be to help Universal Cyberlinks build a digital registry for the African Green Revolution Agriculture Consortium (AGRAC), thereby facilitating the consortium to manage the registrations of its 143,000 members.

The terms of the deal agreed by SAS and Universal Cyberlinks are of a staged and progressive nature including a field trial, early termination rights and a “security deposit covering advance services,” over 5 years.

“We are excited to commence the testing and implementation the SAS solution based on the latest nanosatellite technology and to bring additional value to our customers,” said Mr Kofi Anane-Adjei, CEO of Universal Cyberlinks.

“We have always been the first to adopt new technologies and harness their advantage for the benefits of our customers in Ghana and beyond,” he added.