Press Release

Issued by Petroleum Air Services.

June 29, 2015

Euravia Engineering, a wholly-owned subsidiary of Magellan Aerospace Corporation, is pleased to announce that it has been selected to provide PT6T and PT6C engine maintenance, repair and overhaul (MRO) for Petroleum Air Services. It is expected that this contract will generate US$ six million over a three year period. The initial contract period covers to year end 2016, with an option to renew for two additional years.

Euravia is internationally recognized as a Centre of Excellence for PT6A, PT6T and PT6C engine MRO; and supports over 150 customers in 50 countries.

Mr. Dennis Mendoros, president, Euravia, said, “I am delighted that PAS, a major airline providing oil industry support and commercial passenger services across Egypt, has shown long-term confidence in Euravia's excellent services and support. This significant new contract demonstrates Euravia's continued commitment to developing strategic, long term relationships with major operators in the Middle East region. This new contract clearly validates Euravia's commitment for sustainable and cost-effective services.”

Mr. Mendoros continued, “Exports now account for over 90% of Euravia's sales revenue which underpins the company's growth strategy. Our goal is to ensure that high quality and reliable customer service is being delivered to all Euravia's customers.”

Petroleum Air Services chairman and managing director, General Hussein, said: “Our main objective is to ensure the highest standard of quality and safety, and to maintain PAS' excellent dispatch reliability record. We have selected Euravia to be one of our reliable vendors to support our PT6 engines due to their excellent reputation for engine reliability and customer support services. We are look- ing forward to a long-term business relationship with Euravia.”