ST Aerospace seals $793M contracts in 1Q 2017
Singapore-based MRO company Singapore Technologies Engineering (ST Engineering) announced that its aerospace arm, Singapore Technologies Aerospace (ST Aerospace), secured new contracts worth about S$1.11 billion ($792.85 million) in the first quarter (1Q) of 2017 for services ranging from line and heavy airframe maintenance to component repair and overhaul.
The 1Q 2017 contracts include performance-based logistics operation and support for military aircraft, several components repair and overhaul agreements, and contracts for EcoPower engine wash services. Among these contracts are several multi-year renewal agreements.
The aerospace sector redelivered a total of 836 aircraft for airframe maintenance and modification work in 1Q 2017. Additionally, a total of 11,021 components, 65 landing gears and 38 engines were processed, while 2,292 engine washes were conducted.
ST Aerospace expanded its MRO capacity in China during the quarter when its airframe MRO station in Guangzhou opened its second hangar, which can accommodate two wide-body and two narrow-body aircraft simultaneously. With the new hangar which has 500,000 manhours in capacity when it reaches steady state, the Guangzhou MRO facility will be able to have 1,000,000 manhours in capacity in total.
The company also announced that in Germany, ST Aerospace expanded its capacity in aircraft component manufacturing when its subsidiary Elbe Flugzeugwerke broke ground for a new facility in Kodersdorf, Saxony. When completed, the facility will add 200,000 composite panels production capacity per annum which will help meet rising demand from the growing A320 and A321 Airbus fleet.