Montreal's Bombardier will deliver the first 10 aircraft to yet unborn Air Kazakhstan, an airline to serve domestic routes in the oil-rich country.
Kazakhstani President Nursultan Nazarbayev met Bombardier CEO Pierre Beaudoin to seal the deal last week, Reuters reports.
"We must register the new company by May, attract an operator, and we already know who it will be, and buy these planes and deliver them by the end of this year," said Samruk-Kazyna sovereign wealth fund manager Umirzak Shukeyev.
Mr Shukeyev told an Astana press conference he hoped the airline would be flying early next year, but provided no further details about the deal.
Bombardier produces the widely sold 100-seat Canadair Regional jet and a smaller turboprop Dash 8 series.
In 2001, Kazakhstan and Britain's BAE Systems and Samruk-Kazyna established Air Astana, sovereign wealth funds holds 51 per cent.
Air Astana made its maiden flight in May 2002 and according to its website now operates a fleet of 30 Western aircraft on domestic and international routes.
Once up and running, Air Kazakhstan will now allow Air Astana to concentrate on international routes.
Kazakhstan, the world's ninth-largest country by area with a population of just 17 million, is Central Asia's largest economy and the second-largest post-Soviet oil producer after neighbour Russia.
-
Company DirectoryFreight RateExport RateAgency PartnershipCargo Leads