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Neglected Clive Palmer jets score new life in $1 a year deal

After ten years of neglect, two jets owned by Clive Palmer have been given a new lease of life as training aircraft for engineers.

The McDonnell Douglas MD-82 jets sit at Brisbane Airport after falling out of favour with Clive Palmer. Picture: Lyndon Mechielsen
The McDonnell Douglas MD-82 jets sit at Brisbane Airport after falling out of favour with Clive Palmer. Picture: Lyndon Mechielsen

Billionaire Clive Palmer is leasing his decomposing Mineralogy jets to an aviation training company for $1 a year, in a deal that means he avoids shelling out more than $1m in parking fees over the next decade.

Aviation Australia, a Queensland government-owned training organisation, is using the two McDonnell Douglas MD-82s in its maintenance engineering program.

Since about 2011, the two 155-seat aircraft have been something of an eyesore for travellers at Brisbane Airport, with peeling paint, popped rivets and deflated tyres.

Bought by Mr Palmer for about $8m in 2008, the jets bear the livery of his company Mineralogy and Cayman Islands’ registration VP-CBH and VP-CBI.

They flew for only a few years before being parked at the airport, with Mr Palmer preferring his more compact Bombardier Global Express and Cessna Citation 750 X jets.

With the cost of parking at the airport climbing each year, Mr Palmer was facing a $120,815 ­annual bill for the jets that for years were visible from the air at the eastern end of the main runway.

Although the parking fees were unlikely to be considered unaffordable for Mr Palmer, who is worth more than $18bn, it’s understood the 10-year deal with Aviation Australia was seen as a chance to retain ownership of the jets without having to pay for their storage and upkeep.

Mr Palmer’s chief pilot, David Evans, saw the opportunity for the aircraft to be given a “second life” after 10 years on the ground.

A former Qantas A380 pilot, and part of the heroic crew that steered flight QF32 to safety in 2010 when an engine exploded, Mr Evans is passionate about training the next generation of aviation workers.

He approached Aviation Australia with the proposal, which they eagerly accepted, and then it was a matter of moving the MD-82s from their shallow graves at the airport to the training institute.

Brisbane Airport Corporation head of public affairs Stephen Beckett said it was “a complex ­logistical operation” to move the aircraft a distance of less than a kilometre. “The movement followed months of planning, including the removal of fences, signage and the strengthening of culverts, and even involved a test-run using a simulated aircraft base,” Mr Beckett said.

“Both aircraft were towed 800m on perimeter roads around Brisbane Airport during a six-hour operation.”

The long, slow process of relocating Clive Palmer’s jets to a training facility at Brisbane Airport.
The long, slow process of relocating Clive Palmer’s jets to a training facility at Brisbane Airport.

Despite the effort involved, Mr Beckett said the airport was delighted to play its part in a process that would help deliver future generations of aircraft engineers.

A statement from Aviation Australia said the training organisation was “very excited and grateful to have been trusted with these fantastic assets”. “At less than 25 years old, it is rare for aircraft to be re-purposed to a training facility with functioning systems and in good condition at this stage of service,” the statement said.

“The Aviation Australia team is looking forward to applying some love and maintenance to ensure these aircraft provide a first-class practical training experience for many years to come.”

The MD-82s will replace a Boeing 727 used by the training institute for more than 15 years, as the only jet aircraft available for maintenance practice.

Poor condition aside, the jets’ flight controls, aircraft systems and landing gear remained operational, providing engineering students with valuable experience.

Read related topics:Clive Palmer

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Original URL: https://www.theaustralian.com.au/business/aviation/neglected-clive-palmer-jets-score-new-life-in-1-a-year-deal/news-story/0b31ba12df45436d8e8f793189d0e797