BUSINESS

Canadian Helicopters wins US$40M Philippines offshore oil and gas contract

08/06/2012 05:14 EDT | Updated 10/06/2012 05:12 EDT
MONTREAL - Canadian Helicopters Group Inc. says its HNZ subsidiary has won a US$40 million, four-year Philippines offshore oil and gas helicopter support contract from Shell Global Solutions International B.V.

The Montreal-based company said Helicopters NZ Ltd. will provide crew change helicopter services from Manila to Shell's offshore petroleum platforms beginning in September 2013.

A second helicopter will be deployed beginning in the second quarter of 2014 to support oil and gas exploration and development work by Shell in the Philippines.

The initial term of the contract is four years with potential five one-year option periods. Revenues for the initial terms are about US$40 million. The aircraft will be obtained by purchase or lease.

"We are extremely pleased to have been selected by Shell for this major piece of business in Asia" stated president and CEO Don Wall.

"This is not only a win in terms of building on the strong relationship we have built with Shell in New Zealand, but it is also consistent with our strategy to grow the business and expand from our historical areas of strength in Australia and New Zealand deeper into the Asian market."

Canadian Helicopters Group (TSX:CHL.A) is an international provider of helicopter transportation and related support services in Canada, Australia, New Zealand and regions of Southeast Asia. The group also delivers contracted on demand support in Afghanistan and Antarctica.

It operates about 140 helicopters and employs approximately 800 personnel.