SpaceX commits $100B to a Louisiana marsh, and only 10,950 flights a year makes it cheap

Construction is scheduled to begin in 2027, with the first launch targeted for as early as 2029.

Fortune reports that SpaceX's IPO filings name the goal of reaching Mars to build compute infrastructure and human settlements, and that Musk reiterated those goals on his first earnings call.

At full buildout the site is expected to contain five launch facilities, each with two launch pads, along with propellant farms, a propellant-production facility, power generation, vehicle-processing facilities and housing for employees and their families.

Decrypt reports the Louisiana site will include five launch complexes with 10 launch pads, propellant production and storage, power generation, vehicle processing and employee housing.

Louisiana Economic Development describes the project as potentially the world's largest spaceport, with capacity to support thousands of launches a year.

By physical footprint the current record holder is Russia's Baikonur Cosmodrome in Kazakhstan at roughly 6,717 square kilometers, more than 13 times the size of the planned Louisiana site.

Governor Jeff Landry said the announcement pushes Louisiana beyond $250 billion in new investment.

SpaceX says the Gulf Coast location provides access to a wide range of launch trajectories, and that natural gas availability can support the facility's fuel and power requirements.

SpaceX is expected to work with Louisiana agencies on wetlands, wildlife, coastal and environmental reviews and restoration.

Under a local payment-in-lieu-of-taxes agreement, SpaceX will make a $20 million upfront payment and at least $25 million annually for 25 years, with the state estimating more than $820 million in direct local payments under the agreement.

SpaceX will also make a $25 million charitable contribution to the Community Foundation of Acadiana.

Thirty flights a day across twelve launch towers is 2.5 flights per tower per day, one every 9.6 hours.

Thirty flights a day across the ten pads described at full buildout is three flights per pad per day, one every eight hours.

In February the Federal Communications Commission opened a public review of a SpaceX proposal to deploy as many as one million satellites for orbital data centers.

Louisiana offered SpaceX an incentive package tied to the capital investment, job creation and other commitments.

More than 30 Starship flights per day implies at least 10,950 flights per year.

The contractual minimum under the PILOT agreement is $645 million, which is $175 million less than the state's estimate of more than $820 million.

At 10,950 flights a year for ten years, $100 billion of construction amortizes to about $913,000 per flight.

At 1,000 flights a year for ten years, the same $100 billion amortizes to $10 million per flight.

Three thousand direct jobs at an average annual salary of $92,600 is a direct payroll of $277.8 million a year.

The $25 million annual PILOT payment equals about 9% of the estimated $277.8 million annual direct payroll.

The $100 billion commitment is 40% of the $250 billion cumulative state investment figure Landry cites.

The $100 billion commitment across roughly 125,000 acres is $800,000 of capital per acre.

The commitment works out at $33.3 million of capital per direct job created.