Oasis Airlines Gets Certificate Five Days Before First Flight

Hong Kong Oasis Airlines, the city's and possibly the world's first long-haul budget airline, yesterday received its air operator's certificate from the aviation department just five days before the carrier is scheduled to start flights to London.

It is the first certificate issued by Hong Kong to an inter-continental carrier in 60 years. The last such certificate went to Cathay Pacific Airways.

"It is quite a milestone to start as a long-haul carrier," Oasis chief executive Stephen Miller said yesterday. "I've always believed in the long haul. It's much more productive, efficient and easier to manage but perception-wise the entry barrier is probably higher."

From Wednesday, Oasis will fly to London's Gatwick Airport four times a week.

The company, owned by real estate entrepreneur Raymond Lee Cho-min, is selling one-way economy tickets from HK$1,000 and business class seats from HK$6,600 before taxes and surcharges.

The Oasis fleet consists of two Boeing 747-400 aircraft it bought from Singapore Airlines and refitted at a cost of US$100 million.

The company plans to add a US route in the first quarter of next year, flying several times a week to Oakland, California. To do so it will need to expand its fleet and has yet to finalise arrangements with providers.

"Obviously we need more aircraft," Mr Miller said. "We are sourcing aircraft now."

Oasis originally planned to start flights to Europe and the US a year ago. Its initial application to the Air Transport Licensing Authority was blocked for several months last year by objections from rival local operators including Cathay.

Subsequent difficulties in sourcing aircraft forced further delays.

More recently, local press reports said Oasis was having trouble securing its air operator's certificate, which involves detailed inspections and safety certifications.

Mr Miller, who rejected those reports, this week said the company had sold a relatively modest 16,000 tickets on scheduled London flights up to March.

"Some people don't like to risk HK$1,000," he said, citing negative media reports. "We expect quite a big take up once the news gets out that we have our operator's certificate."

Oasis becomes Hong Kong's fifth commercial airline. Mr Lee last month said the company would eventually seek to list in Hong Kong to help drive expansion.

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