Previous analyses of the orbits of spherical balloon satellites have attempted to satisfy residuals in observed perturbations in Keplerian elements, assumed to be caused by diffuse radiation pressure, by introducing small variations ins, the parameter representing the reflection characteristics of the satellite's surface. It is difficult to distinguish, however, between those perturbations caused by diffuse radiation and those caused by reflected radiation, as a result of the deformation of the assumed sphere. Following the derivation by Lucas of exact expressions for both incident and reflected radiation forces on a prolate spheroidal satellite, and the subsequent work of Aksnes pertaining to spherical satellites, the theory is extended to include the effects of diffuse radiation whilst at the same time qualifying the assumption that the radiation force acting along the Sun-satellite line can be taken as parallel to the Sun-Earth line.