Lufthansa Technik intends to open a massive new engine maintenance facility in Calgary where it will service the CFM International Leap-1B turbofans that power Calgary-based WestJet’s Boeing 737 Max jets.
The site at Calgary International airport will open in 2027, and while WestJet will be a “cornerstone” customer, Lufthansa Technik intends to maintain other airlines’ engines in Calgary and says the facility reflects its broader ambition to expand internationally.
WestJet, which has a hub in Calgary, and Lufthansa Technik disclosed the project on 13 February.
“This presents significant opportunities for Lufthansa Technik to grow business with various North American airlines,” the Hamburg-based maintenance provider says. “The company plans to significantly scale up its quick-turn capacities and bolster its footprint in the region.”
Lufthansa Technik has signed a long-term site lease with the Calgary Airport Authority, which will “oversee the financing, planning, construction and deployment phases of the related buildings, which will occupy nine acres of prime airport real estate”, Lufthansa Technik says.
Plans calls for a 13,935sq m (150,000sq ft) “engine maintenance and test-cell facility”, with construction expected to start in mid-2025 and last two years.
“Once completed, it will allow for a range of engine maintenance functions and work that has been historically performed outside Canada,” the companies say. “To prepare for operations, a dedicated training centre will open this year to equip new employees with the necessary skills.”
The project has funding assistance from Canada’s federal government ($8 million), the government of Alberta (7.45 million) and the Calgary-funded Opportunity Calgary Investment Fund ($2.5 million).
As part of the project, Lufthansa Technik and WestJet signed a “multi-billion-dollar contract” under which the maintenance provider will service WestJet’s Leaps at the site for 15 years.
Services will include “quick-turn shop visits, on-wing repairs and full performance restorations”. Lufthansa Technik intends to conduct full overhauls of WestJet’s engines at its sites in Hamburg and the Polish city of Wroclaw.
“This agreement represents one of the largest awards ever granted to any [maintenance, repair and overhaul] provider for CFM Leap engines worldwide,” says Lufthansa Technik chief executive Soeren Stark. “It’s a contract that underlines Lufthansa Technik’s leading position in the support of new generation engine types.”
WestJet has more than 50 737 Max, it says, plus another 55 on order with Boeing, according to the manufacturer. Leap-1Bs are the only engine available for the 737 Max.
“This historic contract award will allow us to bring critical engine repair operations home to Canada and provide greater efficiency and cost certainty to a critical part of our operations, all while demonstrating our commitment to improving our competitiveness and supporting the Alberta economy,” says WestJet Group CEO Alexis von Hoensbroech.
