The China Daily, quoting senior officials with China's lunar program, said the country's first lunar exploration craft, Chang'e-1, would orbit the moon for at least 12 months.

It is named after an ancient legend about the fairy Chang'e who flies to the moon.

Luan Enjie, director of China's National Space Administration, said he anticipated the orbiting phase would be completed by 2007, followed by the sending of a probe to land on and return from the moon by 2010.

It would collect soil and rock samples, he was quoted as saying.

The orbital module would take three dimensional images of the moon's surface and explore the lunar environment.

"We are following the prescribed order of developing the necessary systems for lunar exploration, such as those for orbiter control and monitoring, data processing as well as the carrier rocket and explorer satellite," said Ouyang Ziyuan, chief scientist of the lunar exploration project.

He said China had gained invaluable expertise and experience from the country's first manned space flight, when astronaut Yang Liwei orbited the Earth 14 times in October.

It made China only the third country in the world to send a man into space.

The country's desire to compete in space with other world powers has become a mammoth undertaking.

Since its space program was set up in 1992 it has grown to employ tens of thousands of scientific, manufacturing and planning personnel in more than 3,000 factories.

SPACE.WIRE