ATLANTIC

Canadian Helicopters selected for drilling project off southeast N.S.

THE CANADIAN PRESS Published Monday, January 26, 2015 12:11PM AST

Sikorsky S-92 - Newfoundland offshore oil crash

A Cougar Helicopters Sikorsky S-92 takes off from the Halifax airport in Enfield, N.S. in this 2009 file photo. (Andrew Vaughan/THE CANADIAN PRESS)

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MONTREAL -- Canadian Helicopters Ltd. has been selected for personnel, cargo and medevac transportation as well as search and rescue operations for the Shelburne Basin drilling project off Nova Scotia's southeast coast.

The initial contract will generate $20 million in revenue for HNZ Group Inc. (TSX:HNZ.A), the Montreal-based owner of Canadian Helicopters.

HNZ says it expects the contract to begin in mid-2015 and last about 260 days.

Three Sikorsky S-92 helicopters based in Halifax will be used: one dedicated to search and rescue and two for personnel, cargo and medical evacuation.

Shell and its partners are licensed to explore 20,000 square kilometres of territory about 300 km off Nova Scotia.

Shell Energy is the operator of the Shelburne Basin project. It owns 50 per cent of the exploration rights while ConocoPhillips owns 30 per cent and Suncor Energy (TSX:SU) owns 20 per cent.