19th Nov 2013 11:51
LONDON (Alliance News) - Engine maker Rolls-Royce Holdings PLC Tuesday said it has signed a deal with Abu Dhabi firm Mubadala at the Dubai air show to establish the emirate as a key member of the British company's maintenance and manufacturing network.
State-owned Mubadala is trying to set up Abu Dhabi as a key hub for one of the world's fastest growing aerospace markets. It has already signed a strategic deal with Boeing Co at the air show this week that gives it a longer-term role as a Tier 1 supplier to the aircraft manufacturer.
Mubadala has the opportunity to supply as much as USD2.5 billion in advanced composites and machined metals to Boeing commercial programs, including the 787 and 777X planes, and the companies will work together to develop pre-preg and carbon fiber manufacturing capabilities in the emirate.
Rolls-Royce said that under its deal, it will support Mubadala in becoming established as an approved Trent XWB engine maintenance, repair and overhaul provider, the first in the Middle East. Rolls has also committed to becoming a founding member of the planned Mubadala manufacturing research centre and plans to source engine components worth up to USD500 million over ten years from Mubadala once its manufacturing centre is set up.
"The region is earmarked to have one of the highest concentrations of Trent XWB engines in the world in the coming decade," Rolls-Royce said in a statement.
Rolls-Royce shares were up 0.2% at 1,235 pence Tuesday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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