Virgin Atlantic has selected the Rolls-Royce Trent 700 to power the 10 Airbus A330-300 aircraft ordered earlier this year.
The airline is purchasing six A330s and leasing another four from AerCap.
Rolls-Royce values the agreement, which covers the enhanced-performance 'EP' version of the engine, at $720 million and says the deal includes a service and support arrangement.
The six purchased A330s are also to be sold to AerCap and leased back by Virgin.
Virgin is taking the twin-jets, set to start arriving in 2011, as an interim measure following delays to the Boeing 787 programme.
It has orders and options for up to 43 787s, which will also be Rolls-Royce-powered.
Virgin Atlantic has chosen Rolls-Royce engines for its Airbus A380s and Trent 500s are fitted as standard to its A340-600 fleet.