Category Archives: REX Airlines

REX finalizes the purchase of National Jet Express

REX has announced it has bold plans to grow and transform its latest acquisition into Australia’s premier Fly-In-Fly-Out (FIFO) operator and signalled a major expansion into Queensland and the Northern Territory.

This follows the completion of the purchase today of National Jet Express (NJE), the Regional Services arm of Cobham Aviation Services Australia, focusing on FIFO activities.

“In anticipation of the surge in demand for NJE’s services, we are looking to lease immediately another two De Havilland Canada Dash 8-400 NextGen (NG) aircraft to add to its fleet. We will continue to invest in new aircraft and technology to grow the business, especially in Queensland where resource companies have been facing severe issues with capacity and reliability in recent years.”

Rex acquires National Jet Express for $48 million from Cobham

Rex today (July 15) announced that it has signed a Sale and Purchase Agreement which will result in its subsidiary Rex Freight and Charter Pty Ltd (RFC) acquiring 100% of National Jet Express Pty Ltd (NJE), the regional services arm of Cobham Aviation Services Australia (Cobham).

NJE is a leading provider of Fly-In Fly-Out (FIFO) services in Western Australia and South Australia. In addition, it operates freight services from Sydney to Adelaide, Brisbane, Melbourne and the Gold Coast (Coolangatta), as well as air charter services in Papua New Guinea. Revenue for NJE in the calendar year 2021 was $142m.

Completion of the sale will be subject to regulatory approvals, including FIRB approval. It is envisaged that shareholder approval will not be required.

Commenting on the purchase, Rex’s Executive Chairman, Lim Kim Hai said, “FIFO services are expected to experience strong growth in Australia and this acquisition positions the Rex Group to participate in this booming sector.”

“With this acquisition, Rex will have a FIFO arm that is simply unparalleled in Australia. NJE has a completely modern fleet comprising eight Bombardier Q400 turboprops and six Embraer E190 jets for FIFO work. Both aircraft types are fuel efficient, have enhanced operational reliability and low carbon emissions when compared with the predominantly 40-year-old Fokker 100s used by the other major FIFO operators.”

“I believe that NJE’s modern aircraft fleet and its long-term customer relationships overlayed with Rex’s proven record of safety, reliability and cost efficiencies would propel NJE to be the premier FIFO operator in Australia. NJE will naturally be the partner of choice for resource companies all over Australia who have been crying out for so long for a FIFO provider that is able to address their triple priorities of minimal impact on the environment, comfort and safety of its staff and reliability of service.”

“The Company will invest in modern aircraft and technology to enable NJE to expand from its traditional bases of WA and SA and bring our unique brand of FIFO services also to Queensland and Northern Territory.”

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and six Boeing 737-800NG aircraft to 58 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

Cobham routes in Australia:

Rex Airlines drops service to another five destinations, blames QANTAS

Rex Airlines (REX-Regional Express) today confirmed the withdrawal of services from the following five regional centers:

  •   Bathurst
  •   Grafton
  •   Lismore
  •   Kangaroo Island
  •   Ballina

    Flights to these five destinations will cease on June 30, 2022 coinciding with the end of the Federal Government’s Regional Airline Network Support (RANS) program, except for the Ballina route, which will terminate on July 2.

     

    Two other NSW regional routes are pending further review.

    Rex’s Deputy Chairman, the Hon John Sharp AM, said, “Rex has faithfully serviced most of these routes for 20 years and some of them for more than 30 years by Rex’s predecessor Kendell and Hazelton. So it is with a really heavy heart that we have to announce the cessation of services in an effort to improve Rex’s financial performance. Qantas’ well-publicised predatory actions on Rex’s regional routes have meant that Rex no longer has the ability to cross subsidise these marginal routes”.

     

    “It is unfortunate that these regional communities are the collateral damage of Qantas’ bullying and heartless behaviour. This behaviour is all the more unconscionable after receiving over $2 billion in Federal bailouts over the past 2 years.”

    Rex’s remaining regional network will be closely monitored and further adjustments could be announced in the coming months.

    Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and 6 Boeing 737-800 NG aircraft to 62 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

Rex Airlines Route Map:

Rex Airlines aircraft photo gallery: