Visit by Libyans to Ulyanovsk leads to speculation of purchase of Tu-204s

Published: 6/16/1999

The newspaper, Narodnaya Gazeta, has reported that, on June 3rd 1999, Dr Kamal, President of KATO Aromatic, an Egyptian company, and member of the Sirocco leasing consortium, visited the Ulyanovsk Aviation Industrial Complex, Aviastar, together with his colleague, Dr Mundyuk and a Libyan delegation. According to the report, the visit involved the discussions of possible purchases of up to 30 Tu-204 aircraft and the financing required for such a deal. Since the removal of sanctions, Libyan interest in Russian aircraft has been widely discussed in Russian aviation circles. Concise assumes that Dr Kamal, currently the only foreign operator of the Tu-204, is keen to exploit his Arab connections to find other buyers and so defray his considerable exposure to the program. On the one-day visit to Ulyanovsk, Dr Kamal and the Libyan delegation met Mr Yury Goryachev, Governor of the Ulyanovsk region. Dr Kamal assured the governor that the program of co-operation between Aviastar and KATO Aromatic would be fulfilled, and that the plant would produce 12 aircraft in 2000 and 24 in 2001. Cairo Air, the current Egyptian operator, has three aircraft in service and reportedly has a further two on order for delivery this year. During the visit, Dr Kamal claimed that, within the next two decades, the world market for medium-range aircraft would reach $1 trillion. He added that Russia is the only country in a position to compete with the USA, and that Russian aircraft would be well known not only in Egypt and Africa, but all over the world. According to the report, Dr Kamal also expressed interest in the regional textiles, and plans to send his experts to assess the possibilities of industrial co-operation. It also suggested that KATO Aromatic proposes to build a hotel in Ulyanovsk.

Article ID: 594