Xtar LLC said May 11 that the U.S. Department of State‘s Diplomatic Telecommunications Service Program Office awarded the company a five-year contract to provide X-band communications services to U.S. embassies and consulates in Africa and Asia.

The contract, which carries a maximum value of $137 million, is the first for X-band services awarded to Xtar by the U.S. government.

Bernard Schwartz, Loral Space and Communications chairman and CEO, called the contract “an important milestone in validating Loral’s innovative investment in Xtar’s commercial X-band service model.”

Xtar is a joint venture between Loral and Spain’s Hisdesat.