New African Airline

Discussion in 'News & Announcements' started by wesheltonj, Dec 21, 2018.

  1. wesheltonj

    wesheltonj AH Elite

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    https://thepointsguy.com/news/game-...t-placed-africas-largest-ever-aircraft-order/

    An unheard of Nigerian Airline has just placed an order for 100 Boeing 737 MAX aircraft, making it the biggest-ever order for aircraft placed in Africa.

    Boeing has announced that Green African Airways has committed to ordering 100 737 MAX 8 aircraft. Half of the orders are firm while the other 50 planes are being ordered as options, which will allow the airline to purchase the additional aircraft in the future at an agreed upon price.

    The deal is currently worth $11.7 billion, and it’s worth nothing that this is for an airline that doesn’t own a single aircraft or has ever operated a single flight. Green Africa says it will be a “value airline” based in Lagos, Nigeria — noting that it’s already received its air transport license from the government.

    “Today is a historic day for the Nigerian and African aviation industry,” said Babawande Afolabi, Founder and CEO of Green Africa. “This landmark deal takes us much closer to our long-held dream of building a world-class airline that will unlock a new realm of positive possibilities for millions of customers.”

    We’ve written plenty of stories regarding African airlines announcing their big plans to buy new aircraft and start transatlantic routes, however we usually find out months later that their ambitions were far too grand and that they’ll start at much slower pace, or not at all.

    What makes this announcement different is that the company is helmed by some aviation heavyweights, including Tom Horton, former chairman and CEO of American Airlines — currently the world’s largest carrier. Horton, who also formerly chaired the Oneworld alliance, is joined by William Shaw, founder and former CEO of VivaColombia, and Virasb Vahidi, former CCO of American Airlines.

    “Nigeria is uniquely positioned to be the home of the next major value airline,” Vahidi said in a statement. “The strategic partnership with Boeing positions Green Africa Airways to expand and improve air travel for customers in Nigeria, and further strengthens the relationship between the United States, Nigeria and Africa.”

    Nigeria’s aviation market is ripe for growth as there’s a relative dearth of carriers in the country, Africa’s most populous (Lagos, the capital, is home to more than 16 million people). Still, many airlines have had issues turning a profit in the country that’s notorious for corruption.

    The airline first wants to develop its foothold in the domestic Nigerian market and then build out its presence throughout the African continent. It will do so with the 737 MAX 8, a single-aisle aircraft that can seat up to 178 passengers and fly up to 3,550 nautical miles. From Lagos (LOS) the MAX 8 can reach destinations around the entire African continent like Cape Town (CPT) and Addis Ababa (ADD), and even large European hubs like Frankfurt (FRA) and London (LHR).

    [​IMG]
    Image courtesy of GC Map.
    While Green Africa won’t have much domestic competition, once it starts expanding to international routes, it will go up against Star Alliance carriers like Ethiopian Airlines, South African Airways, EgyptAir and soon to be Oneworld member Royal Air Maroc. Ethiopian has been investing in other regional African airlines, including in Chad and Zambia.

    Boeing says Africa will need nearly 1,200 new aircraft over the next 20 years to meet its growing demand for travel. If Green Africa is successful, its possible the airline will order more jets, including long-haul widebodies, so it could reach more distant cities.

    Featured image courtesy of Boeing.
     

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    Last edited by a moderator: Dec 22, 2018
    johnnyblues and Philip Glass like this.

  2. edward

    edward GOLD SUPPORTER AH Elite

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    we know they will handle people but what about fire arms and trophies???
     
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  3. Hogpatrol

    Hogpatrol AH ENABLER SILVER SUPPORTER AH Legend

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    You'll need to give them your bank account number then they'll overcharge you but put that extra money back when you get your tickets. I'm sorry but this is beyond ludicrous.
     

  4. 375 Ruger Fan

    375 Ruger Fan AH ENABLER GOLD SUPPORTER AH Legend

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    Having lived in Lagos for six years, I can tell you that the airport is not one you want to transit through. It did improve somewhat over the time I lived there, but it is still not a fun airport. It's too bad, because there is a lot of potential and a huge market. If Lagos had an airport on par with Joberg, it could certainly could become a major hub airport. There has been a new, second airport in the planning stage for Lagos, but that is still years off into the future.
     
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  5. CAustin

    CAustin AH ENABLER BRONZE SUPPORTER AH Ambassador

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    Options, options, options. How they can make a go of it but the kind of money they are talking will take the backing of an oil rich Arab kingdom.
    Not sure Nigeria itself has the kind of money this would take.
    From what @375 Ruger Fan says the country will need some new infrastructure to pull it off!
     
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  6. Hogpatrol

    Hogpatrol AH ENABLER SILVER SUPPORTER AH Legend

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    Nigeria is #11 on the list of countries with proven oil reserves. They have oil money but it goes in the hands of a few. Nigeria is #1 in the world for corruption. Interesting, four out of the top ten most corrupt countries are in Africa.
    https://www.usnews.com/news/best-countries/articles/10-most-corrupt-countries-ranked-by-perception
     

  7. wesheltonj

    wesheltonj AH Elite

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    They have enough to pay the former CEO and COO of American Airlines to run the thing and buy/lease 50 planes and an option for another 50 from Boeing.
     
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  8. Dr Ray

    Dr Ray AH Elite

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    Interesting but I am sceptical
     
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  9. Spooksar

    Spooksar AH Fanatic

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    Well I guess we won’t see anymore offers to move money out of Nigeria for the prince.
     
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  10. Hogpatrol

    Hogpatrol AH ENABLER SILVER SUPPORTER AH Legend

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    Maintenance? What's that? Run 'em until they break or :A Blowup: whichever comes first. :E Rofl::E Rofl:
     

  11. edward

    edward GOLD SUPPORTER AH Elite

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    OH HUM!!!
     

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