Abstract: Water is the most important resource for in-situ resource utilization（ISRU）in future deep space exploration. To solve the fundamental problems of water ice exploitation and utilization in extraterrestrial planets, an integrated method of soil drilling and water extraction from icy lunar regolith was proposed in this paper. A pilot-scale experimental facility is developed where a cryogenic environment is built in a vacuum chamber. The full processes for water extraction are studied, including soil drilling, photo-thermal heating, vapor condensation and water decomposition. Correspondingly, four key components are fabricated, including a sealed, drilling device, a photo-thermal heating device, a vapor condensation and droplet collection device, and an electro-catalysis water decomposition device. A systematical study is performed in the pilot-scale facility. The integrated procedure of water extraction and utilization is well operated. The drilling process transports the lunar regolith at a speed over 1.7 kg/h with a low power consumption of less than 100 W. The water extraction rate is about 26.6 g/h when the water content of lunar regolith is 6%, while the total gas flow rate in the electro-catalysis device is 12.6 g/h. This study validates the reliability of drilling-based thermal water extraction technology from lunar regolith in cryogenic condition, which can be referenced for future engineering programs.