CRAIG HOYLE / LONDON

Exact composition of fleet still to be determined as Ministry of Defence concedes "important issues" need resolving

The final piece of the UK's air transport and inflight refuelling puzzle has emerged at last, with the Ministry of Defence opting for the Airbus A330-200 as its Future Strategic Tanker Aircraft (FSTA).

To enter service in January 2008, the £13 billion ($23.8 billion) FSTA capability will form part of a future Royal Air Force fleet of around 75 tankers and transports. This will also comprise 25 Airbus Military A400Ms, 25 Lockheed Martin C-130Js and an expanded number of Boeing C-17 strategic transports.

The exact composition of the FSTAfleet will be determined over the coming months, following the MoD's tentative selection of the EADS-led AirTanker consortium on 26 January.

While excluding a rival bid to deliver ex-British Airways Boeing 767-300ERs, the MoD's announcement fell surprisingly short of a formal contract decision. AirTanker was judged "the consortium most likely to offer a value for money private finance initiative [PFI] solution", but the MoD concedes that "a number of important issues remain to be resolved" before the project can progress.

Comprising Cobham, EADS, Rolls-Royce and Thales, the team will deliver a yet-to-be determined mix of around 16 new-build and secondhand A330-200s to replace the RAF's 28 Vickers VC10 and Lockheed TriStar tanker/transports.

Under current plans, the contractor-owned aircraft will be supplied under a 27-year PFI deal, with spare capacity to be made available for third-party use. However, the project could yet revert to a traditional acquisition, according to industry sources.

Discussions between the MoDand AirTanker are planned to conclude in time to enable a main gate decision to take place in April.

Thales officials suggest the UK selection could provide synergies with a longer-term requirement to replace the French air force's Boeing C/KC-135 tankers. France and the UK are already studying possible co-operation on their respective aircraft carrier projects.

Source: Flight International