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Rex subsidiary Pel-Air has signed a new $300 million deal with Victoria to operate its air ambulance services for a further 12 years.
The agreement, which officially begins in January 2024, will see the airline supply four Beechcraft King Air aircraft, pilots and engineering support.
It significantly comes weeks after Pel-Air began a similar contract with NSW Air Ambulance, beating out incumbent provider the Royal Flying Doctor Service.
“This award is a clear recognition of Pel-Air’s unparalleled ability to provide safe, reliable and high-quality aeromedical services on fixed-wing aircraft at competitive prices,” said the business’ chairman, John Sharp.
Victoria’s new King Airs will be delivered in 2022 before undergoing aeromedical modifications to meet local requirements.
Ambulance Victoria chief executive, Professor Tony Walker, said, “Our patients will benefit from a reduction in transfer time between road ambulances and the aircraft, which in turn helps get our crews back on road faster.”
The new deal follows on from an initial agreement with Victoria that began in July 2011 and also comes after Australian Aviation reported how Pel-Air began a new 10-year contract with NSW to operate five new aeromedical Beechcraft King Air 350s.
The aircraft were delivered to Pel-Air between December 2020 and June 2021, in anticipation for the beginning of the new contract on 1 January 2022.
Rex’s work in aeromedical follows on from its ambitious domestic expansion that has seen the airline lease 737s and fly capital city routes.
Last week, Rex said it could even expand its fleet to fly up to 30 Boeing 737s over the coming five to seven years.
The news was revealed by Rex chairman Lim Kim Hai at the iconic Singapore Airshow, and nearly doubles Rex’s previous public fleet expansion goals.
“That’s a very good medium-term objective,” Lim said. “There’s a lot to be said for economies of scale.”
