Richmond-headquartered CHC Helicopter Corp. (TSX:FLY; NYSE:FLI) has won two contracts worth $1.1 billion to provide helicopter services to Norway-based Statoil ASA.
CHC secured a five-year contract to deliver five Sikorsky S-92 helicopters and two Eurocopter EC225 aircraft to support Statoil's offshore operations based out of Floroe and Bergen, Norway. It will also provide an additional backup helicopter for Statoil's Bergen operations. Aircraft delivered to Floroe will begin operating in June 2009; CHC's Bergen aircraft are scheduled to begin service in January 2010.
CHC also won a seven-year contract to provide two all-weather search and rescue Eurocopters, one for Statoil's Statfjord field in the North Sea and the other in Bergen as a backup to Statoil's existing S&R aircraft.
Both contracts have options to renew for an additional four years.
They replace existing contracts for four helicopters supplied by CHC and will increase annual revenue by roughly $80 million.
CHC's share price range during the past week: between $23.21 and $27.50; 52-week high: $28.50; 52-week low: $21.06.