Exclusive: We’ll fly Rex routes if carrier goes under, says rival

The revelation presents a dilemma for administrator EY Australia and the federal government as both try to save Rex on the grounds that its flights are “essential” regional services. It also suggests airlines and businesses could be waiting for Rex to be formally wound up before making a move.

Speaking exclusively to Australian Aviation, Hinterland CEO Andrew Clair said there are a “couple of runs” the company would be looking at, though could not comment on specifics.

“We’re trying to be as ready as possible, and we’re trying to secure additional airframes, so pending how quickly we get them, I’m aiming to be able to start straight away,” he said.

Hinterland currently operates 12 Cessna C208 Caravans and two Beechcraft King Air B200s and is looking to add more Caravans to meet potential demand. The airline is also set to acquire two Cessna 408 SkyCouriers, due to arrive by the second quarter of 2026.

Clair echoed comments made by Skytrans CEO Alan Milne about the age of Rex’s Saab 340B fleet, which is around 30 years old on average, saying he “could see this [situation] happening from like five years ago”.

“You just can’t keep operating a discontinued airframe, and regional Australia has always done that. We just keep doing the same thing over and over again,” Milne said.

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“You’ve got Rex and other regional carriers with ageing Saabs that are discontinued, [Beechcraft] 1900s, discontinued … they aren’t supported anymore. They’re old. There’s nothing new coming to the markets, and that’s where we want to be the leaders there with the SkyCouriers.

“The other thing too, you’ve got this major issue with engineering shortages in Australia, with licensed engineers. If you can’t find more engineers, then you need to bring in an airframe that has the lowest cost of maintenance, and that’s where the SkyCourier sits with us: they’re very low maintenance, and they’re new, and they’re supported in production.”

According to Clair, the 19-seat SkyCourier would also be the “perfect size” for some of Rex’s routes in northern Queensland.

“You might have a 30-seater or a 40-50-seater operate to a community, and they could possibly do one flight a day or a couple of flights a week.

“With [the SkyCourier] you could probably apportion the correct number of services, so you can do daily flights or multiple flights in a day, then regional communities have more access to day trips, multiple services, multiple times, and I think that’s a lot better for the community as well.

“It’s also one of the reasons a lot of regional aviation suffers with cancellations and on-time performance, so bringing something like this will help that, too.”

Rex entered administration in July, halting its 737 capital city services but maintaining its regional connections serviced by its smaller aircraft. Administrator EY has seemingly yet to find a buyer, with a source claiming late last month that no obvious candidates have emerged.

The federal government, meanwhile, is guaranteeing those who book flights will be reimbursed should the carrier go under, while Transport Minister Catherine King has previously said the government doesn’t want to see Rex fold.

Rex currently has a fleet of around 57 Saab 340Bs with an average age of 30.2 years. It is thought that 34 of these are in active service, and the rest are parked.