According to a recent report by The Japan Times, Japanese startup ispace had signed an agreement with Israeli startup Helios on an experimental project to produce oxygen on the moon. If successful, the project will reduce the cost of space exploration and help establish a permanent base on the moon.

Under the agreement, Israel's Project Helios (Helios) will conduct a demonstration experiment to extract oxygen by melting lunar soil at high temperatures and electrolyzing it. Japan's ispace Inc. will deliver Israeli experimental instruments to the moon twice between 2023 and 2025.

ispace CEO Takeshi Hakamada said, "We are interested in Helios' technology, and I believe that this collaboration will spur more players into the field of lunar exploration."

Helios CEO Jonathan Geifman stated that extracting oxygen from the lunar soil is crucial for future human activities on the moon.

Helios has been developing a reactor capable of processing lunar soil to extract oxygen and metals such as iron, aluminum, and silicon to allow lunar colonists to "live self-sufficiently in situ," the company said on its website. They estimate that 250 kilograms of oxygen can be extracted from one ton of lunar soil. In addition, they are also currently studying the use of the reactor to treat Martian soil.

In 2023, Japan's ispace will launch a lunar lander from the United States with the help of a SpaceX rocket to deliver equipment for its clients, including the Japan Aerospace Exploration Agency (JAXA). ispace is also involved in NASA's lunar exploration program, collecting samples from the lunar surface. It aims to become the first Japanese private company to land on the moon.