Newsletter #355 | News
Customers engage Erickson for an estimated $18 million two-year contract in Malaysia
Erickson S-64E aircrane to provide timber harvesting aerial services to Asiatic Heli-Logging SDN BHD and Hormat Jadi SDN BHD in Sabah, Malaysia
Erickson, August 17, 2016 - PORTLAND, Ore. - Erickson Incorporated, a leading global provider of aviation services, has been selected to provide timber harvesting aerial services to Asiatic Heli-Logging SDN BHD and Hormat Jadi SDN BHD in Sabah, Malaysia, beginning September 2016 for an annual $9 million a year total combined contract value.
Asiatic Heli-Logging is a previous customer and the minimum two year contract, with a five-year renewal option, will use one S-64E aircraft. "Asiatic Heli-Logging SDN BHD is very pleased to work with Erickson again. The longstanding work relationship between Asiatic and Erickson has always been built on trust and the continuous commitment towards providing an environmentally sustainable logging industry in Sabah,” said John Nip, Chief Executive Officer of Asiatic.
The Hormat Jadi contract is for 18-months, and they are a new customer that specializes in timber harvesting from land and, to increase its efficiency, the company is augmenting its capabilities with aerial services provided by Erickson. Datuk Elbert Lim Yu Ming, JP and Managing Director, of Hormat Jadi said, “Hormat Jadi is proud to be certified by the government as an approved organization for harvesting using Reduced Impact Logging (RIL) techniques from Sustainable Forest Management License Areas. This certification is a key differentiator for our company.”
Both customers will work with Erickson to harvest timber in steep mountainous terrain. The helicopter provides an environmentally-responsible means to log the timber resources with no damage to the forest floor. Rob Lewis, Vice President of Erickson’s Commercial Aviation Services said, “Erickson will fly for one customer and, while that customer is assembling the harvest on the ground, the aircraft will leapfrog to the other customer and then rotate back and forth, providing maximum efficiency and cost savings for all parties. It’s a win-win for all of us and allows us to maximize the use of our Aircrane.”
Andrew Mills, Vice President of Global Business Development said, “We are delighted to return to the Malaysia market, which we have served for over 20 years. Timber harvesting is the industry that Erickson was founded on 45 years ago and it remains a core capability in our portfolio. This joint contract provides a continued link to the Malaysia market and further expands our focus on filling the schedule of our Aircrane fleet.”
The Erickson S-64 Aircrane is a premier heavy-lift precision helicopter that features an aft-facing pilot seat, providing unique and specialized lift and placement capabilities across a variety of platforms to include construction, HVAC installations, transmission powerline installations, and infrastructure projects ranging from dams to gas lines to waterlines. The heavy lift capability coupled with the benefits of flying where there is no road, river, rail or runway access, allows Erickson to provide services that cannot be performed via traditional lift functions from the ground. Erickson is the FAA Type Certificate holder and manufacturer of the Aircrane helicopter.
About Erickson: Erickson (NASDAQ:EAC) is a leading global provider of aviation services and operates, maintains and manufactures utility aircraft to safely transport and place people and cargo around the world. The Company is self-reliant, multifaceted and operates in remote locations under challenging conditions specializing in Global Defense and Security, Manufacturing and MRO, and Commercial Services (comprised of firefighting, HVAC, power line, construction, timber harvesting, oil and gas and specialty lift). With roots dating back to 1960, Erickson operates a fleet of approximately 69 aircraft, is headquartered in Portland, Oregon, USA, and operates in North America, South America, Europe, the Middle East, Africa, Asia Pacific, and Australia.
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Erickson Air-Crane Malaysia
Sikorsky s-64 CH-54 in Erickson