Thanks for the replies. I've seen SEXPs mentioned a bit but don't know about them as yet. Looks like I have a bit of reading to do.
The idea of the game is to centre the action around a small moon, keeping the players hopefully close to the complex structures there. So there is to be dogfighting and a need to avoid the city structures, mountains.. or whatever the theme of the actual moon is.
Not looking to implement hard walls so that the player 'bumps' and stops, but rather slows as they get too far away. Maybe I can call it an atmosphere thing.

I started coding such a thing in Ogre3D some time ago, but it's re-inventing the wheel when freespace appears to be able to achieve a similar thing.