Azerbaijan signed an agreement on leasing the orbital position owned by the Malaysian company MEASAT, the Azerbaijani Communication Ministry's website said on Wednesday.

The agreement, signed in Istanbul on Tuesday between Azerbaijan and Malaysia, is another step made by the post-Soviet republic towards the establishment of the country's space industry and launching into orbit telecommunications satellites.

The basic agreement will be signed on Thursday between the Azerbaijani satellite's manufacturing company, U.S. Orbital Sciences Corporation, and the International Relations and Calculations Center of the Azerbaijani Communication Ministry.

Azerbaijan plans to launch its first geostationary telecommunications satellite in 2012.