SpaceX is setting its sights on the Bayou State. Elon Musk’s aerospace company announced Tuesday plans to build a $100 billion launch facility in Vermillion Parish, Louisiana, its fourth launch site, according to the Louisiana Economic Development office.
The new facility, dubbed Starbase, Louisiana, will be designed to “support thousands of launches annually,” the state office said in a joint statement. Shares of SpaceX rose about 2.5% on Tuesday following the announcement.
Once operational, the Louisiana site will serve as the main launch hub for Starship, SpaceX’s in-development rocket — the largest ever built or flown — which is designed to be fully reusable. The company’s ambitions for Starship are central to its valuation of nearly $2 trillion, underpinning plans for a massively expanded Starlink satellite network, orbital data centers, and eventually, Mars colonization.
SpaceX said in a video posted to its website Tuesday that the search for a site with ample launch pad space and fuel access took about seven years. Musk said in the video that the project would bring “probably 10,000 really exciting jobs” to Louisiana.
As part of the announcement, SpaceX said it would partner with the state on a “historic coastal restoration” effort, working to “bring the marsh back” and ensure the wetlands around the facility have “storm protection.”
The move into Louisiana continues Musk’s broader shift of his business empire into the U.S. South. Musk relocated Tesla’s headquarters from California to Austin, Texas, where the automaker now runs a massive vehicle assembly plant and is testing its Robotaxi and Cybercab services. His AI venture, now called SpaceXAI, built Colossus data centers and a power plant in Greater Memphis. Tesla and SpaceX, in partnership with Intel, also plan to build a large AI chip factory in Grimes County, Texas.
But the Louisiana expansion comes with a history of environmental and regulatory challenges at SpaceX’s first Starbase facility in Boca Chica, Texas, in the company town now known as Starbase. During Starship’s first test flight in April 2023, the rocket’s energy shattered the concrete launchpad, blew up the spacecraft mid-air, and sent concrete chunks into a nearby nesting and migration site important to endangered species. The incident also sparked a fire that burned around 4 acres of Boca Chica State Park land south of the pad.
In 2024, a Texas state agency issued a notice of violation against SpaceX for alleged Clean Water Act breaches at the Texas launch facility, saying the company repeatedly released pollutants into or near state waters, particularly related to its water deluge system.
The company has faced community backlash, lawsuits, and fines tied to these issues. Still, SpaceX is pressing ahead with its Louisiana site, which will join its existing launch locations as the fourth. The company said the site selection process, which also sought access to ample fuel, took years to complete.
Louisiana Economic Development described the project as a major economic boon, with Musk promising thousands of high-paying jobs. The coastal restoration partnership is a notable element, aiming to address environmental concerns while protecting the sensitive wetlands near the launch site.
CNBC’s Kif Leswing contributed to this report.
Source: www.cnbc.com — https://www.cnbc.com/2026/08/25/spacex-louisiana-spaceport.html
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