Global Vectra Helicorp eyes KG basin

Global Vectra Helicorp (GVHL) is looking at the oil exploration developments at the KG Basin with an aim to tap the aviation market. The company, which is the largest offshore transportation services provider in terms of fleet and seats, is expecting the exploration activities at the KG Basin to lead to a significant jump in revenues in the next few years.

GVHL currently has 14 helicopters of which 12 are involved in offshore air transportation to oil and natural gas production companies. Most of the flights operate to and for between Mumbai and Bombay High, a pattern, which company officials say will change with operations at KG Basin coming to the fore.

"Around 29 helicopters are engaged in the offshore business transportation services in India and with the award of NELP blocks on the east coast as well the recent discoveries of gas in the region, not only do we expect growth to more than double but also foresee new aviation players entering the market, " said Lt. Gen (Retd.) SJS Saigal, Chairman, GVHL. With one helicopter servicing one or two rigs at the most, the company is expecting at least 6-7 new aviation contracts from the KG Basin alone.

In order to tap the new markets, the company has proposed to enter the capital market with an initial public offer of 35,00,000 equity shares of Rs 10 each for cash at a premium to be decided through the book-building process.