Wadia Group-owned GoAir on Wednesday struck $1 billion engine supply deal with Pratt & Whitney, a unit of US-based United Technologies, to supply 144 engines for its fleet of 72 A320 neo aircraft.

“The engine supply deal with Pratt & Whitney is valued at about $1 billion,” Jeh Wadia, managing director of GoAir told Financial Chronicle.

GoAir seeks to procure the engines for its growing fleet of aircraft in India. Deliveries of the engines to the airlines are scheduled to start in 2016.

“The PurePower engine is the best long-term solution for GoAir’s growing fleet,” Wadia said. Two PurePower PW1100G-JM engines will power each of the airbus A320neo aircraft purchased by GoAir.

GoAir had ordered 72 aircraft from Airbus worth $7.2 billion in June 2011 to meet growing demand. Deliveries for the aircraft will begin from 2015, the company had said.

“Being chosen by another key low-cost carrier in India, one of the fastest growing markets, is another testament to the game-changing benefits our technology delivers,” said Todd Kallman, president (commercial engines and global services), Pratt & Whitney.

Mumbai-based GoAir, which launched its operations in India in November 2005, operates across 21 destinations within the country with around 160 daily flights.

Pratt & Whitney is involved in design, manufacture and service of aircraft engines, space propulsion systems and industrial gas turbines. Its parent company United Technologies is a diversified aerospace major providing high technology products and services to the global aerospace and building industries.

A320neo is an upgraded version of the popular A320 Airbus aircraft. To meet growing demand for air travel, another airline company Jet Airways had ordered 17 Boeing aircraft for reported amount of around $1.4 billion. Last year, budget carrier IndiGo placed $15.6 billion order with Airbus for 180 aircraft making it one of the biggest commercial aviation orders in Indian history. SpiceJet had also agreed to buy 30 ‘turboprop’ aircraft from Canada’s Bombardier for $915 million last year.

saahilanant

@mydigitalfc.com