Strata and UAE-based Premier Composite Technologies sign US$16.5 million agreement
Strata and PCT sign 10 year contract to treat composite materials on Strata’s Airbus A380 Flap Track Fairing program
Strata Manufacturing PJSC, the advanced composite aerostructures manufacturing facility wholly-owned by Mubadala Development Company, today announced the signing of a ten year, US$16.5 million agreement with UAE-based Premier Composite Technologies (PCT). The agreement sees Strata outsourcing a central function in the treatment of composite materials for the production of A380 Flap Track Fairings to PCT.
By outsourcing the honeycomb core cutting function on the A380 Flap Track Fairing program to PCT, Strata benefits from time and effort spent on the processing of these materials, in addition to reduced inventory days on raw material, working capital savings, and the availability of 400 square meters of factory floor space which can be utilized in the production process.
Commenting on this agreement, Badr Al Olama, CEO of Strata Manufacturing, said:
“We chose Premier Composite Technologies following a very competitive bidding process which involved several international companies – a reflection of the growing capabilities of Emirati companies entering the aerospace industry’s global supply chain. We are confident in PCT’s ability to provide us with the high quality services required at Strata.”
“At Strata, we constantly work towards building a local supply chain which will enable us to reduce risks and outsource some of the company’s non-core operations, allowing us to focus more on value added operations. We strongly encourage more UAE-based companies to enter the aerospace industry,” Al Olama added.
This year, Strata’s procurement from local suppliers amounted to 30%, a percentage it is working towards increasing annually.
PCT has successfully passed Strata and Airbus qualification audits and Airbus is currently in the process of adding PCT formally onto the Airbus Approved Suppliers List. In the second quarter of 2014, the A380 Flap Track Fairing program honeycombs manufactured by PCT successfully passed qualification and first article manufacturing phase.
H.E Sultan Al Qirtasi Al Nuaimi, chairman of Premier Composite Technologies said:
“Signing this contract with Strata is particularly important to us as we consider it the first step in a long-term cooperation which will secure the UAE’s position in the global aerospace industry. This contract reinforces our ability to enter new markets and sectors which depend on high international standards of quality.”
In addition to the A380 Flap Track Fairings honeycomb program, PCT will also competitively bid on the honeycomb packages for A330 Flap Track Fairings, Aileron and Spoilers, followed by the Boeing programs which Strata’s procurement team is in the process of tendering.