Typical air cargo projects, a brief familiarization Steps toward execution of successful projects Current challenges to global air charters

1. POWER LOGISTICS ASIA
MARINA BAY SANDS
SINGAPORE 2013

2. PRESENTATION OBJECTIVES
 Brief Introduction to Aergo
 Typical Air Cargo Projects
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-sources of project air cargo charters and in particular ‘outsize’
cargo
- global trends for project cargo
- types of aircraft used and their availability
 Steps toward execution of successful air charter projects
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- common hurdles
- important steps to perform well
- is there a more effective substitute for an on ground presence?
 Current challenges to global air charter services

4. Introduction to AERgO
 Established in 2004
 Divisions
- Passenger (Fly in Fly out, VIP’s, Sports Groups, Disaster Relief)
- Freight
- Government
 On track to complete approximately 950 air charters across
both divisions in 2013.
 Over 25% of charters are for freight.

5. Our Objectives
 Maximize client value for every dollar expended on air-
kilometres for charter services.
 How do we pursue this goal?
 Identify opportunities for shared sectors or empty sectors.
 Maximise utilisation of aircraft (choosing the right option), select
the best fit for purpose aircraft to suit the job at hand.
 Remove interfaces and gaps between relevant project participants

7. Typical Air Cargo Projects
Sources of project air charters and in particular, outsize
cargo
 Military support
 Oil & Gas
 Mining
 Humanitarian Aid
 Disaster Relief
 Livestock
 Sports/Band Equipment (F1, Rock bands etc)

8. Typical Air Cargo Projects cont…..
Global trends for outsize air cargo project movements
• Decreased Military involvement in Afghanistan
• New areas for natural resource projects
• Mongolia
• South America (Chile – largest copper mine in the world)
• Africa (comparably low cost of labour)
• Increased manufacturing in developing nations
• Decentralization of global organizations
• Continued support of Oil & Gas projects

9. Typical Air Charter Projects cont….
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Types of aircraft available
Antonov AN-225
Antonov AN-124
Illyushin IL-76
Airbus A300F
Boeing B767-300F
Boeing B747-400F
MD11-F
DC10
C130 Hercules

11. Steps Toward Execution of Successful Air
Charter Projects
 Common hurdles
 Landing permits
 Overflight permissions
 Unsuitable load configuration
 Delayed manufacturing completion
 Problems with road transport permits/ availability of suitable
carriers and equipment
 Airside access
 Airport cargo screening delays
 Paperwork!

12. Steps Toward Execution of Successful Air
Charter Projects cont…..
 Important steps to perform well
 project plan
 assembling team to work with
 Constant communication with all interested parties, most importantly
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the client
back up contingencies
triple checking process arrangements with project participants
looking for possible obstacles in advance
timezone differences
local contacts (with all relevant parties)

13. Steps Toward Execution of Successful Air
Charter Projects cont…..
 Is there a more effective substitute for on ground
representation?
 We would argue that there isn’t!
 Provided you have an experienced and forward thinking representative
on the ground, following each step of the process, the resulting
smoothness and efficiency is proven.

15. Current Challenges to Air Charter Services
 Relocation of manufacturing operations to global locations
with limited support infrastructure for air project cargo.
 Immigration/Visa rules and timeframes.
 Overfly permits and other local government regulation.
 Aircraft availability.

17. Conclusion
 Air Charter is a capital intensive option to move heavy
or outsize cargo.
 To make it a more regular choice for companies
considering their logistics options, all industry
participants need to improve their operational
performance BY REMOVING THE GAPS.