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CHC Helicopter Inc. (FLI) announced Friday morning that it has been awarded two contracts with Norway-based oil and gas giant Statoil SA (NYSE:STO) worth an estimated C$1.1-billion. The company said in a statement that it believes the award represents the largest bundle of helicopter service contracts ever awarded.

Investors responded to the news, driving the stock up more than 5% in brisk trading Friday morning to a high of C$28.33.

The first contract is a 5-year affair to supply five Sikorsky S-92 helicopters and two Eurocopter EC225s for Statoil's Floroe and Bergen bases in Norway.

The second contract is a seven-year contract for the provision of two all-weather Search and Rescue EC225 helicopters, to be deployed at Statoil's Statfjord field in the North Sea and the Bergen base.

FLI 1-yr chart:
fli july 07

Source: CHC Helicopter Awarded Major Statoil Contracts