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SpaceX is turning oil rigs into floating Starship spaceports named after Mars’ moons

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Update: Responsible for initially connecting Phobos and Deimos to SpaceX, NASASpaceflight has all the details in a new article published earlier today. Check out their coverage for more information and some excellent photos – from the ground and the air – of one of the newest additions to SpaceX’s seagoing fleet.

Six months after CEO Elon Musk revealed that “SpaceX is building floating, superheavy-class spaceports” for its next-generation Starship rocket, the company has already purchased and begun converting at least two retired oil rigs.

In a rapid-fire series of investigations spurred by recent photos and suspicions published by photographer Jack Beyer, it was quickly determined that an oil rig mothballed for years in Port of Brownsville and a twin ship in nearby Galveston were purchased by “an undisclosed buyer” for ~$7 million in July 2020. Weeks later, owner Valaris (formerly EnscoRowan) officially filed for bankruptcy, explaining the sale of multiple half-billion-dollar assets for scrap prices.

An offshore drilling contractor and owner of one the largest fleets of oil and gas drilling rigs in the world, ENSCO built seven 8500-series deep-water, semi-submersible oil rigs in the late 2000s and early 2010s. ENSCO 8506, the last in the series, was built for an incredible $560 million from 2008 to 2012. Thanks to the crashing oil and gas market, SpaceX is now the proud owner of 8500 and 8501 – the first two ships in the series – for a mere $7 million.

It was quickly determined by NASASpaceflight reporter Michael Baylor that shell company Lone Star Mineral Development purchased the rigs. In the tweet’s replies, another user discovered that the LLC was directly connected to SpaceX CFO Bret Johnsen, indisputably confirming that SpaceX was the new owner of both oil rigs.

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In its first act as owner, SpaceX fittingly renamed the rigs Deimos (8500) and Phobos (8501). While subverting the SpaceX norm of naming rocket landing platforms after starships from science fiction author Iain Banks’ Culture universe, the moons of Mars are a more than fitting alternative given the company’s intense focus on building a sustainable city on the planet.

Measuring just 15 miles in diameter, Phobos is pictured on the edge of Mars’ limb in 2007. (ESA/Mars Express)
Starship’s primary purpose is to enable the sustainable human exploration and settlement of Mars. (SpaceX)

The purpose of the newest additions to SpaceX’s fleet is both simple and unclear. While the company is currently hard at work building out a land-based launch complex for orbital Starship-Super Heavy launches, vast floating launch and landing platforms have also featured in SpaceX’s official artist concepts of the rocket for the last several years. At first centered on enabling suborbital airline-style Starship flights to and from coastal cities, where sea-based platforms would be a necessity to avoid domestic regulations and extreme noise pollution, Musk ultimately positioned sea-launch as a viable alternative or complement to any and all land-based Starship launch operations.

Most recently, in June 2020, the CEO stated that SpaceX “is building floating, superheavy-class spaceports for Mars, Moon, & hypersonic travel around Earth.” Now, with work already clearly underway to convert at least two oil rigs into Starship launch and landing platforms, that concept is far closer to reality. It remains to be seen how extensive (and thus expensive) the changes SpaceX needs to make to the platforms will be but it’s safe to say that the venture is a whole lot more plausible when a dying industry’s asset depreciation is so intense that a billion dollars worth of oil rig hardware can be bought for a mere $7 million just a decade after completion.

Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Tesla rolls out most aggressive Model Y lease deal in the US yet

With the promotion in place, customers would be able to take home a Model Y at a very low cost.

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(Credit: Tesla)

Tesla has rolled out what could very well be its most aggressive promotion for Model Y leases in the United States yet. With the promotion in place, customers would be able to take home a Model Y at a very low cost.

Zero downpayment leases

The new Model Y lease promotion was initially reported on X, with industry watcher Sawyer Merritt stating that while the vehicles’ monthly payments are still similar to before, the cars can now be ordered with a $0 downpayment. 

Tesla community members noted that this promotion would cut the full payment cost of Model Y leases by several thousand dollars, though prices were still a bit better when the $7,500 federal tax credit was still in effect. Despite this, a $0 downpayment would likely be appreciated by customers, as it lowers the entry point to the Tesla ecosystem by a notable margin.

Premium freebies included

Apart from a $0 downpayment, customers of Model Y leases are also provided one free upgrade for their vehicles. These upgrades could be premium paint, such as Pearl White Multi-Coat, Deep Blue Metallic, Diamond Black, Quicksilver or Ultra Red, or 20″ Helix 2.0 Wheels. Customers could also opt for a White Interior or a Tow Hitch free of charge.

A look at Tesla’s Model Y order page shows that the promotion is available for all the Model Y Premium Rear-Wheel Drive and the Model Y Premium All-Wheel Drive. The Model Y Standard and the Model Y Performance are not eligible for the $0 downpayment or free premium upgrade promotion as of writing. 

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Tesla is looking to phase out China-made parts at US factories: report

Tesla has reportedly swapped out several China-made components already, aiming to complete the transition within the next two years.

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(Source: Tesla)

Tesla has reportedly started directing its suppliers to eliminate China-made components from vehicles built in the United States. This would make Tesla’s US-produced vehicles even more American-made.

The update was initially reported by The Wall Street Journal.

Accelerating North American sourcing

As per the WSJ report, the shift reportedly came amidst escalating tariff uncertainties between Washington and Beijing. Citing people reportedly familiar with the matter, the publication claimed that Tesla has already swapped out several China-made components, aiming to complete the transition within the next two years. The publication also claimed that Tesla has been reducing its reliance on China-based suppliers since the pandemic disrupted supply chains.

The company has quietly increased North American sourcing over the past two years as tariff concerns have intensified. If accurate, Tesla would likely end up with vehicles that are even more locally sourced than they are today. It would remain to be seen, however, if a change in suppliers for its US-made vehicles would result in price adjustments for cars like the Model 3 and Model Y.

Industry-wide reassessments

Tesla is not alone in reevaluating its dependence on China. Auto executives across the automotive industry have been in rapid-response mode amid shifting trade policies, chip supply anxiety, and concerns over rare-earth materials. Fluctuating tariffs between the United States and China during President Donald Trump’s current term have made pricing strategies quite unpredictable as well, as noted in a Reuters report. 

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General Motors this week issued a similar directive to thousands of suppliers, instructing them to remove China-origin components from their supply chains. The same is true for Stellantis, which also announced earlier this year that it was implementing several strategies to avoid tariffs that were placed by the Trump administration. 

@teslarati 🚨 Tesla Full Self-Driving v14.1.7 is here and here’s some things it did extremely well! #tesla #teslafsd #fullselfdriving ♬ You Have It – Marscott
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Tesla owners propose interesting theory about Apple CarPlay and EV tax credit

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

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Credit: Tesla Raj/YouTube

Tesla is reportedly bracing for the integration of Apple’s well-known iOS automotive platform, CarPlay, into its vehicles after the company had avoided it for years.

However, now that it’s here, owners are more than clear that they do not want it, and they have their theories about why it’s on its way. Some believe it might have to do with the EV tax credit, or rather, the loss of it.

Owners are more interested in why Tesla is doing this now, especially considering that so many have been outspoken about the fact that they would not use it in favor of the company’s user interface (UI), which is extremely well done.

After Bloomberg reported that Tesla was working on Apple CarPlay integration, the reactions immediately started pouring in. From my perspective, having used both Apple CarPlay in two previous vehicles and going to Tesla’s in-house UI in my Model Y, both platforms definitely have their advantages.

However, Tesla’s UI just works with its vehicles, as it is intuitive and well-engineered for its cars specifically. Apple CarPlay was always good, but it was buggy at times, which could be attributed to the vehicle and not the software, and not as user-friendly, but that is subjective.

Nevertheless, upon the release of Bloomberg’s report, people immediately challenged the need for it:

Some fans proposed an interesting point: What if Tesla is using CarPlay as a counter to losing the $7,500 EV tax credit? Perhaps it is an interesting way to attract customers who have not owned a Tesla before but are more interested in having a vehicle equipped with CarPlay?

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

Tesla has made a handful of moves to attract people to its cars after losing the tax credit. This could be a small but potentially mighty strategy that will pull some carbuyers to Tesla, especially now that the Apple CarPlay box is checked.

@teslarati :rotating_light: This is why you need to use off-peak rates at Tesla Superchargers! #tesla #evcharging #fyp ♬ Blue Moon – Muspace Lofi

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