Canadian Helicopters Group Inc. (TSX:CHL.A CHL.B) (the “Company”), an international provider of helicopter transportation and related support services, announced today that its wholly-owned subsidiary, Helicopters (NZ) Limited (“HNZ”) has entered into an offshore oil and gas helicopter support contract with Shell Global Solutions International B.V. (“Shell”).
Beginning in September 2013 , HNZ will provide crew change helicopter services from Manila to Shell’s offshore petroleum platforms in the Philippines using one AgustaWestland AW 139 helicopter. Commencing in the second quarter of 2014, a second AgustaWestland AW 139 helicopter will also be deployed 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, exercisable by the customer. Revenues under the contract during the initial four year term are expected to be approximately US$40 million. The two aircraft required to perform the work will be obtained by way of purchase or lease.
“We are extremely pleased to have been selected by Shell for this major piece of business in Asia” said Don Wall , the President and Chief Executive Officer of the Company. “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.”
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