PRESS RELEASE

FOR RELEASE ON MAY 29, 2005

THE HEINLEIN PRIZE TRUST CONGRATULATES

Nikolai Sevastyanov on his election as head of

Russia's Rocket and Space Corporation Energia

The Trustees of the Robert A. and Virginia Heinlein Prize Trust congratulate Nikolai Sevastyanov on his election as head of Russia's Rocket and Space Corporation Energia. His election is welcome news for all who are working for the commercial development of space industry.

Energia’s general shareholders meeting elected Gazkom Director General Nikolai Sevastyanov as the new head of the corporation on Saturday, May 28, 2005. Sevastyanov received the support of the majority of shareholders, an official at the Federal Space Agency (Roskosmos) said. S.P.Korolev Rocket and Space Corporation Energia is a leader in the Russian rocket and space industry. Established in 1946, it became a pioneer practically in all areas of rocket and space technology. Today, it is the prime contractor for manned space stations, manned spacecraft and space systems built on their basis.

The Russian federal space agency, Roskosmos, supported Nikolai Sevastianov, of all candidates for the post of Energia's head, because his program is the most realistic and advanced one,” Roskosmos head Anatoly Perminov said. Sevastyanov , a graduate of the Moscow Institute of Physical Engineering, worked for Energia from 1984 to 1993. When Energia and Gazprombank established Gazkom for the creation of space information systems and satellite network operation, Sevastyanov was appointed its chief.

Sevastyanov advocates manned space missions. “We are now at a crossroads where a new phase... the industrial phase, is about to set in.” he said. Sevastyanov believes it necessary to develop the manned space mission program in such a way that will allow tangible economic results, even though in a distant future. “Then space studies will begin to attract investment,” he added. Sevastyanov believes a commercial company must be able to work independently in the market, relying on its own projects.

The Heinlein Prize Trust wishes Nikolai Sevastyanov every success in his challenging new position.

The Heinlein Prize Trust also believes in the optimistic, forward-looking view that the future of the human race lies in expanding into space, and believes that goal can be achieved through private space ventures. The Heinlein Prize Trust is focused on practical commercial advancements that produce substantive results in the area of space enterprise. Future Heinlein Prize Trust winners may, or may not, be dealing directly with space flight advances.

The Heinlein Prize honors the memory of Robert A. Heinlein, a renowned American author. Both Robert and his wife Virginia were strong advocates of human advancement into space through commercial endeavors. The purpose of the Heinlein Prize is to encourage and reward progress in commercial space activities that advances their dream of humanity's future in space.

The Heinlein Prize Trust will present a substantial award to the individual or individuals who achieve practical accomplishments in the field of commercial space activities.

Winners will receive a medallion, a diploma and a monetary award. The first Heinlein Prize award has been set by the Trustees at $500,000.

The Heinlein Prize is worldwide.

The Trust has three Trustees: Art Dula, Buckner Hightower and James M. Vaughn.

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