A new $300 million company has been launched to deliver “world class” maintenance and support services to private aviation in the Middle East – and Saudi Arabia’s drive to deregulate its aviation industry plays a critical role.
On the eve of Middle East Business Aviation 2008, MAZ Aviation announced the creation of a trio of companies under a holding company.
The three companies will deliver aircraft and fleet management services, aircraft maintenance and logistics support.
At the heart of the business is a $70 million 10,000 square metre maintenance and support centre being built at King Khalid International Airport, Riyadh.
“Globally, the Middle East is one of the most important markets for business and private aviation, yet it is one of the most underserved in terms of services and deregulation delivers $300m opportunity for MAZ Aviation support,” says Mohammed Al-Zeer, chairman of Ajwaa Alalam Holding.
“We will provide the aviation community in the Middle East with the same level of service people experience in the United States or Europe.
“Our aim is to change the current status by establishing world class services which will ensure that the Middle East business and private aviation community receives the highest degree of reliability and dependability.”
Al-Zeer paid tribute to the Kingdom’s civil aviation authorities, currently at the heart of a strategy to deregulate many areas of the aviation industry.
“Deregulation is now playing a tremendous role in making investment opportunities that much better by reducing the administration side of approvals,” he says.
“From the day we submitted the initial application to the day we received approval, it took just three weeks. Before, it would have taken years.
The civil aviation people are going out to their way to move from one of the most regulated markets in the world to one that is deregulated. We would not have embarked on this venture if it had not been deregulated.”
The three companies in the group are: Ajwaa Alalam Aviation Services (AJWA Serv) specialising in providing aircraft and fleet management services. Ajwaa Alalam Technical Company (AJWA Tech) specialising in providing aircraft maintenance services. Ajwaa Alalam Logistics (AJWA Logistics) which provides spare parts and logistics.
Al-Zeer says Riyadh was chosen as the new firm’s base because it is the centre of the Middle East’s private aviation business. The kingdom not only has the biggest private aviation market, but the longest established and “most stable”.
The Riyadh facility will be able to handle all types of aircraft up to Boeing 777s and Airbus A340s and will become operational in the first quarter of 2011.