The utilization of the natural resources of our Moon and the Near Earth Asteroids for the benefit of mankind will need industrial plants in space. The favourite locations for an initial space factory are the Lagrange Points of the Earth-Moon system. There are five Lagrangean Points which provide an equilibrium between the gravity forces of Earth and Moon. Especially in the points L4 and L5 an object remains in a stable position because there is a triangle between the object, the Earth and the Moon. Building the first space factory e.g. in L5 will enable us to process material and procuce goods in zero gravity. Unlike on Earth or on the Moon solar power is available for 24 hours. The industrialization of cis-lunar space will start with the mining of our Moon. The Lagrange Space Factory (LSF) will start with the processing of lunar material and extract iron, aluminium, titanium and other materials from lunar regolith. An additional source for material will be the recycling of orbital debris to clean up Earth orbit. In the long run the LSF will also process asteroid material including gold, platinum and carbon. The goal is to produce building material like steel bars, aluminium panels, tubes and bricks for future space habitats. Furthermore oxygen and space-made rocket propellant can be produced. The design of LSF should be modular to keep the structure flexible and expandable. Based on Public-Private Partnership the modules could be rent by private companies for industrial production.
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