Provincial Aerospace and Airbus to pursue search and rescue contract

A St. John's-based aerospace company is a step closer to playing a substantial role in the provision of search and rescue services in this country.

Provincial Aerospace has signed a so-called "teaming agreement" with aerospace giant Airbus Defence and Space to pursue a lucrative contract to replace this country's aging fleet of fixed-wing search and rescue aircraft.

Airbus is touting its C295 as the answer to Canada's search and rescue needs, having sold more than 140 of the twin-engine turboprop aircraft in 19 countries.

Provincial Aerospace specializes in mission systems design and integration, aircraft modification, surveillance operations, logistics and in-service support.

If successful in vying for the contract, some 100-plus new jobs will be created in this province over the 20-year life of the contract, said Keith Stoodley of Provincial Aerospace.

The company currently employs some 900 people.

"We have the experience and innovative spirit to ensure the fleet of C295 aircraft will reliably and affordably protect Canadians for decades to come," Stoodley said.

The teaming agreement was announced Tuesday morning in St. John's, during the opening day of the Maritime and Arctic Security and Safety conference,

We have the experience and innovative spirit to ensure the fleet ofC295aircraft will reliably andaffordablyprotect Canadians for decades to come.- Keith Stoodley

The formal agreement follows a memorandum of understanding signed earlier this year between the two companies.

Stoodley estimated the value the contract at more than $3 billion, with the number of aircraft required ranging from 13 to 17.

It's too soon to say whether any of the planes will be based in this province, but Stoodley would not rule it out.

The Department of National Defence intends to replace its fleet of six CC-115 Buffalo and 13 CC-130H Hercules search and rescue aircraft.

The project began 10 years ago, but the process has been plagued by delays, criticism and controversy, including allegations that the air force had tailored its specifications in favour of one aircraft, the C27J Spartan, built by an Italian company.

In 2012, years of research and planning weretossed aside when the government revamped its strategy from a platform-based procurement to a capability-based procurement, meaning companies will propose the type and number of aircraft and the number of bases needed to meet the service requirements.

The federal government is expected to issue a request for proposals sometime in 2014.

'Wonderful news'

Innovation, Business and Rural Development Minister Darin King described the partnership as "wonderful news" and a "sign of great things to come as we continue to work with private companies here to support them and help diversify the economy."

In addition to Provincial Aerospace, Airbus has teamed with a cluster of other companies, including Pratt and Whitney Canada, which will supply the engines.

Asked why the company agreed to partner with Airbus, Derek Scott, vice-president of program development, said Provincial Aerospace has been doing maritime surveillance missions for three decades, and has complete confidence in the C295.

"We know aircraft that are suitable for this type of mission, and the 295 is the right aircraft for this mission for Canada," Scott said.

Airbus Defence and Space is a division of Airbus Group, and is Europe's leading defence and space enterprise.

The company employs some 40,000 people.