Alliance Aviation and Virgin have entered a long term partnership to build their FIFO mining offering.
“The partnership will see the airlines work together to grow their respective charter businesses,” Alliance explained in a company statement.
While existing charter contracts will remain untouched under the agreement, all new contracts will be operated under the new Charter Partnership.
The two will also enter into agreements to provide and procure services for each other on a preferential basis, this includes aircraft procurement, spare parts pooling, maintenance, and ground handling services.
“This will allow Alliance and Virgin Australia to develop a compelling customer proposition and to more effectively compete in the Australian FIFO market,” Alliance said.
“We look forward to partnering with Virgin Australia to leverage the operational and commercial expertise of our respective businesses,” Alliance managing director Scott McMillan said.
“With our combined services and expertise we see a great deal of logic in working together.”
The partnership is subject to conditions and ACCC approval.