CHC awarded North Sea contracts worth $720 million
February 13 2004 - 7:25AM
PR Newswire (US)
CHC awarded North Sea contracts worth $720 million ST. JOHN'S, NL,
Feb. 13 /PRNewswire-FirstCall/ -- CHC Helicopter Corporation
("CHC") (TSX:FLY.A and FLY.B; NYSE:FLI) announced today that its
European operating division has been awarded expanded multi-year
contract renewals by Statoil ASA ("Statoil") and Norsk Hydro
("Hydro") for the provision of heavy helicopter transportation
services in the Norwegian North Sea. The contracts include the
provision of one dedicated new Sikorsky S-92 helicopter and up to
four dedicated plus one backup advanced Super Puma MK2 helicopters,
plus one dedicated Super Puma MK1 to Statoil from three bases in
Norway; and the provision of two new dedicated Sikorsky S-92s, and
backup, plus flight hours, from CHC's pool of Super Puma MK2s, to
Hydro from CHC's base in Bergen. Total anticipated revenue
accruable to CHC over the fixed and option terms of the contracts
is approximately CDN $720 million. Combined annual revenue from the
two contracts is estimated to be approximately CDN$86 million. CHC
Chairman and Chief Executive Officer Craig Dobbin said: "These two
contracts represent the world's largest helicopter services award,
and reaffirm CHC's commitment to the European offshore sector. The
renewed commitment by Statoil and Hydro well into the next decade
is a vote of confidence for CHC's excellent safety and quality
programs, fleet renewal, and our employees' commitment to customer
service. CHC is pleased to continue its longstanding partnerships
with two ofthe world's largest offshore oil companies, and will
continue to provide the safest, most reliable, cost-effective
helicopter service in the world." CHC President Sylvain Allard
said: "With the introduction of the S-92 and continued operation of
the Super Puma MK2, CHC offers its customers the safest, most
advanced helicopter technology available, and the most flexible
fleet options in the world. We are pleased to introduce the
high-performance, versatile S-92 to our fleet and look forward to
years of safe, economical performance from this advanced
next-generation helicopter." CHC Managing Director, European
Operations, Neil Calvert said: "These new contracts represent a
major commitment by Statoil and Hydro to enhance safety, efficiency
and flexibility by utilizing both the MK2 and S-92. CHC will
operate aircraft for Statoil from CHC's bases in Norway as follows:
Kristiansund: Up to two Super Puma MK2 aircraft, plus one Super
Puma MK1 and one new Sikorsky S-92. The contract, commencing July,
2004, is for a period of five years, plus one three-year and one
two-year option, for a total potential of 10 years. Floro: One
Super Puma MK2 aircraft. The contract, commencing June, 2004, is
for a period of three years, plus two one-year options, fora total
potential of 5 years. Bergen: Up to two Super Puma MK2 aircraft.
The contract, commencing January, 2005, is for a period of three
years, plus two one-year options, for a total potential of 5 years.
In addition, one dedicated Super Puma will beshared among the three
bases. CHC will operate for Hydro as follows: Bergen: Two new
Sikorsky S-92s, plus part-time use of a Super Puma MK2 from CHC's
pool of aircraft. The contract, commencing January, 2005, is for a
period of seven years, plus fourone-year options, for a total
potential of 11 years. " CHC Helicopter Corporation is the world's
largest provider of heavy and medium helicopter services to the
global offshore oil and gas industry, with aircraft operating in 30
countries and a team of approximately 3,400 professionals
worldwide, including the pending acquisition of Schreiner Aviation
Group. If you wish to be added to, or removed from, the Company's
distribution list, please e-mail . This press release may contain
projections and other forward-looking statements within the meaning
of the "safe harbour" provision of the United States Private
Securities Litigation Reform Act of 1995. While these projections
and other statements represent our best current judgement, they are
subject to risks and uncertainties that could cause actual results
to vary. These statements may involve risks and uncertainties
including, but not limited to, factors detailed in CHC's Annual
Report on Form 20-F and in other filings with the United States
SEC. Should one or more of these risks or uncertainties
materialize, or should underlying assumptions prove incorrect,
actual outcomes may vary materially from those indicated.
DATASOURCE: CHC Helicopter Corporation CONTACT: Derrick Sturge,
Vice-President, Finance & Corporate Secretary, CHC Helicopter
Corporation, (709) 570-0713; Chris Flanagan, Director of
Communications, CHC Helicopter Corporation, (709) 570-0749,
685-1537
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