Nathan VanderKlippe
Northern News Services

Yellowknife (May 15/02) - Arctic Sunwest Charters is the latest in a stream of companies that have backed out of the helicopter business.

Earlier this year, the company signed three-year leases on its four remaining helicopters with Great Slave Helicopters. Last year, it leased a Bell JetRanger 206 to Nunasi Helicopters.

"It was just a business decision. Great Slave were looking for some more iron, ours were maybe not utilized fully, and we just worked a really good deal for the both of us," said Arctic Sunwest general manager Bruce Jonasson.

Jonasson said the realities of a helicopter operation, which include highly seasonal work and the possibility of having an aircraft out of the shop for months at a time, affected the Arctic Sunwest decision.

Arctic Sunwest, which will continue operation of 12 fixed-wing aircraft, is retaining ownership of the five helicopters, but the lessors have an option to buy.

Along with the leased aircraft, three Arctic Sunwest employees will transfer to Great Slave.

"We were pleasantly surprised when they approached us about leasing their aircraft," said Great Slave operations manager John Buckland. "We had requirements for at least two of the aircraft (for signed contracts, and) it saved us running around looking for them."

The new aircraft bring the Great Slave fleet to 41, spread out among its subsidiary companies Hudson Bay Helicopters, Sahtu Helicopters and Denendeh Helicopters. The company owns about half of those.

Buckland said the EC-120, a 2000 model, would open up new avenues of work for Great Slave, including wildlife studies.

"It's quiet and quite fast. Also, it's got a bit better speed and range than comparable products that we have in our stable," said Buckland.

In the past five years, four aircraft companies have stopped operating helicopters out of Yellowknife: Aero Arctic, Canadian Helicopters, Northern Air Support and now Arctic Sunwest.

"It's very expensive operating in the North," said Nunasi president Martin Knutsen. "The cost of living, staffing -- everything from running a pick-up truck to heating a hangar is much costlier in Yellowknife."

In addition, he said, conditions were sweeter for helicopter operators in the past.

"There was a diamond rush on, and governments had larger budgets and were spending more money," he said.

And it's hard running a chopper operation with a company like Great Slave next door, said Buckland.

"It's kind of like sitting on the doorstep of a giant," he said.

But despite the recent shakeout, Buckland said demand levels for helicopters have remained fairly constant.