Bombardier Aerospace announced on 15 November, that Petroleum Air Services (PAS) of Cairo had signed a contract to acquire one CRJ900 NextGen regional jet. The transaction also includes an option for another CRJ900 NextGen airliner. PAS’s CRJ900 NextGen aircraft will be the first CRJ Series aircraft to operate in Egypt.

Based on the list price for the CRJ900 NextGen airliner, the contract is valued at approximately $42 million and could increase to $85 million if the option is converted to a firm order.

“We require a proven jet aircraft to enhance services to our oil company customers and for our touristic destinations,” General Gamil Morad Ismail, chairman and managing director of Petroleum Air Services, told Bombardier media centre.

An official explained, the company fleet of qualified 34 helicopters and seven turbo-props is enough for their work. But according to many company workers, the new jet is not capable of fulfilling the aims of the company, which includes carrying workers between oil fields in Egypt.

"Its cost is higher as it worth $44.2 million and this is considered a waste of public money," said an official of the company on condition of anonymity.

The Egyptian prime minister announced on 11 December on state owned TV that the petroleum sector owed banks about LE61 billion ($10.1 billion).

"There were studies and researches done that proved that none of the petroleum air services companies around the world buy this model of plane, which demands enlarging airports to land," the source told Ahram Online.

Ahram Online tried several times to reach the chairman of the company but got no answer.

Captain Amir Ryadh, the founder of the Egyptian company and who was its former chairman, denied that the jet deal is a waste of money. "If I was there and stayed as a company's chairman, I would buy this turbo fan plane," said Ryadh.

He added that the airports in Egypt will not need rebuilt as they are suited to the CRJ-900 landing; also that the place would help the tourism sector in the company, which would increase revenues.

One of reasons suspicion has grown among company employees on the deal is the advisory board that helped the company chairman is headed by Iman Mohammed Safwat Al-Sharif, the daughter of the former Shura Council head, one of the prominent men of the ousted regime. Iman was appointed by former Minister of Petroleum Sameh Fahmi in 2010, according to a copy of her contract.

Ex-Parliament Speaker Fathi Sorour and Safwat El-Sherif, former chairman of the Upper House, were referred on 7 July to criminal court along with 23 other defendants accused of involvement in the notorious “Battle of the Camel”.

Ousted president Hosni Mubarak is accused of conspiring with former Minister Fahmy to export gas to Israel at below market prices through a company in which Hussein Salem — a Mubarak crony — was a majority stockowner.

The syndicate committee in the company has said that it received some threats of strike action from workers if the jet deal goes ahead. 

Petroleum Air Services is an Egyptian joint stock company established under the Investment Law of Egypt in 1983. It is owned by Egyptian General Petroleum Corporation (75 per cent) and Bristow Group Inc (25 per cent).

The financial results of the company showed that net profits before tax in 2009 declined to $25 million compared to $34.2 million in 2008, according to the company website.