South Australian Premier Steven Marshall is over the moon about the Australian Space Agency's support for NASA's lunar project.
He told reporters on Saturday he "couldn't be more excited" that the Australian and American space agencies signed the joint statement of intent.
"It's a pretty exciting project to be involved in - assisting NASA getting to the moon," Mr Marshall said.
"We're the home of the headquarters Mission Control and Space Discovery Centre for the Australian Space Agency and I think it's going to get even more investment into our state."
The federal government will spend $150 million helping Australian businesses and researchers position themselves to take advantage of the new deal with NASA.
"We're backing Australian businesses to the moon - and even Mars - and back," Prime Minister Scott Morrison said.
He announced the funding and details of the new cooperation at NASA's headquarters in Washington, DC.
"We've partnered with the US in almost all of their missions to space for the last 60 years and this investment paves the way for the next 60," he said.
"The growing amount of space sector work and innovation will also inspire the next generation to see the future of a career in these fields for the long term."
Mr Marshall said the biggest benefit would be raising the Australian Space Agency's profile.
"That will lead to more investment and, being based in SA that means that investment with come to SA, so it will lead to more jobs.
"I know there are already a lot of young people getting super excited about the opportunities for jobs in the space sector."
The premier believes the two space agencies will have a strong working relationship.