FROM THE GIBRALTAR CHRONIC
Blow for Gib tourism industry
LACK OF INVESTMENT PUTS FLY GIBRALTAR ON HOLD
F Oliva reports
Fly Gibraltar, the commercial airline that was due to service air routes to several UK destinations, will not be operating as it has been unable to deposit the £10m insurance bond with the Civil Aviation Authority required to commence business. Fly Gibraltar is the aviation arm of OEM, the firm constructing the Nelson’s View ‘affordable housing’ project, and owned by Irish property tycoon Robert Noonan.
The company has kept the public guessing for months as to when the inaugural Gibraltar flight would take place, but insurmountable financial issues have meant that the project will be put on hold for an indefinite period.
During its highly publicised presentation last year, which was attended by the Minister for Tourism, the company had earmarked April 2007 for the launch of full-scale operations.
The original Fly Gibraltar plan was devised on the basis of one daily flight to UK but it subsequently grew significantly, to include numerous routes in England and the Republic of Ireland.
Aviation experts have attributed the company’s failure to an over-ambitious business plan that in its final incarnation incorporated two planes carrying out eight daily flights, but without the necessary financial back-up to support it.
It is understood Fly Gibraltar have also returned the name ‘Gibraltar’ in their commercial name to the local Government.
LE