IndiGo has signed a firm agreement with Norse Atlantic to wet lease one 787 Dreamliner on February 6, 2025.
The aircraft is expected to start operations in March 2025, serving long haul routes from India. The initial term of the agreement is six months, extendable to up to 18 months.
The agreement confirms the letter of intent (LOI) signed in November, 2024, for the wet lease of six aircraft, with today's announcement finally confirming IndiGo as the other party in the agreement.
The contract had an estimated value of $462 million over the extended term. Norse said the terms of the wet lease agreement for one aircraft are “in line” with the LOI announcement.
Norse and IndiGo are continuing discussions to contract the additional aircraft. The LOI had detailed that two aircraft were expected to be deployed to IndiGo in February 2025, with the additional four expected in September this year.
“Norse will be entitled to payment for 350 block hours per aircraft each month, with additional payments possible if utilisation exceeds 350 hours per month,” Norse said in a statement.
Norse's fleet consists of 15 787 Dreamliner aircraft.
IndiGo's operations are largely domestic and regional short- to medium-haul services, but are looking to expand by adding long-haul services. IndiGo had placed an order for 30 A350-900 widebodies in April last year, with the option for an additional 70 A350 family aircraft. Deliveries are expected to commence in 2027. IndiGo said the widebody order coincides with the evolving demands of its Indian customers — a market that is rapidly expanding.
“Its fleet of 30 Airbus A350-900 aircraft will allow IndiGo to embark on its next phase of becoming one of the leading global aviation players,” said Pieter Elbers, CEO of IndiGo.
In addition to its A350 order, IndiGo placed the largest single aircraft order with Airbus for 500 A320 family aircraft during the Paris Airshow in 2023. The airline said the order will provide it a “steady stream” of deliveries between 2030 and 2035. The order consists of A320neo, A321neo, and A321XLR aircraft. The airline had also previously ordered 300 A320neo family aircraft in 2019.