Global Supply Chain: Future of air cargo?

Interview done by Munawar Shariff from Global Supply Chain Magazine, 02/14/2014

*Information may not be up-to-date

Future of air cargo?

You’ve probably seen one of these at an aerospace exhibition and all indications point to it being a part of the air freight future.

Munawar Shariff spoke to Igor Pasternak, CEO Aeros, about the details of this air cargo carrier.

What was the need or inspiration that started off the concept of this Aeroscraft?

The inspiration came after understanding the existing logistic and distributional system limitations as they exist today, and how they cannot overcome traditional transportation systems, as well as the desire for point-to-point delivery that could enable flexible routing and surpass the hub-and-spoke intermodal model for customers. We’ve been working with the Pentagon and NASA for the past few years to develop the Aeroscraft in order to expand military mobility and disaster relief response capabilities, as well as to achieve fuel cost savings for the U.S. taxpayer.

Those are some of the needs we’re trying to address. However, the vehicle will be most transformative for commercial industries around the world when introducing new point-to-point air delivery solutions, even to areas with damaged infrastructure or those lacking it altogether. The Aeroscraft vehicle is being developed initially for commercial clients as a flexible and efficient solution to overcome logistical and infrastructure challenges, especially while handling over-sized cargo in a variety of usage scenarios. The vehicle will help side-step infrastructure development costs and delays for numerous projects of global economic benefit, impacting future logistics strategically.

Within many industries the Aeroscraft will bring strategic competitive advantages, accelerated project milestones, or the ability to expand existing business models; it will also help balance economic development and environmental conservation.

Please give us all the details – what is it made of?

The rigid internal structure is comprised of ultra-light aluminum and carbon fiber trusses that impart needed strength. The Aeroscraft’s rigid shell works in concert with an internal ballast control system (COSH) that enables vertical take-off and landing. This in turn allows for runway-independent ways of moving large project cargo. The Aeroshell is composed of a custom made, honeycomb aluminum material Aerosthat is light enough to fulfill all of the Aeroscraft’s functionality, while rigid enough to main the vehicle’s aerodynamic structure.

How do the materials contribute in its flight and landing?

The lightweight materials impart needed strength and contribute significantly in both flight and cargo operations. The Aeroshell maintains the Aeroscraft’s shape in flight, unlike blimps that maintain their shape through internal pressure, helping transfer the aerodynamic forces through to the rigid internal structural truss system while enabling higher speeds. The Aeroshell also helps generate aerodynamic lift in forward flight, generated from a combination of the fuselage and flight control surfaces (empennages and canards). Replacing the more familiar landing gear found on airplanes, the Aeroscraft is equipped with landing cushions that aid the vehicle’s unique functionality. They aid landing on unimproved surfaces, even water, performing like a hovercraft during taxi by pushing air through them. In addition, the landing cushions are equipped with very powerful gripping/suction capabilities. This reversible airflow helps hold the vehicle to the ground, such as when the Aeroscraft arrives at destination for cargo offloading, allowing it to operate in heavier wind conditions.

How much is the capacity?

The max payload and payload bay size vary according to the configuration. (See below for specifics on the ML866 - 66-tonne capacity)

What are the terrains it can land on?

The Aeroscraft can land on any terrain – from unimproved surfaces to water – without the need for extra ground support, equipment, or infrastructure. But what makes this aircraft more impressive is its ability to load and offload cargo from a hover.

How much is its fuel consumption?

Much less than other aircraft because the Aeroscraft’s helium is generating lift, not the engine. The Aeroscraft’s fuel consumption is estimated to average a third of traditional fixed wing and rotary air cargo solutions available today. It depends on which aircraft type is being compared, but the Aeroscraft is estimated to operate on a less than $0.20 per tonne/mile basis. This can be compared to a semi truck. On a related subject, the Aeroscraft fleet will be equipped with diesel/electric power generators, which help side-step the AV gas distribution limitations, along with LCS. Vectored thrust engines rotate and allow for advanced manoeuverability, propelling the vehicle in forward flight and aiding the vehicle with any ground-based taxiing manoeuvres. When in forward flight, the Aeroscraft is controlled by the aerodynamic control surfaces (vertical stabilisers, empennages and canards); however, the lowspeed-control system (LSC) aids the pilot in lower wind conditions. The LSC system acts as a rear thruster to propel the vehicle in forward flight, and permits the thrust to be directed while in hover to help the vehicle maintain desired positioning and orientation.

How does this compare to the same distances on regular freight planes?

In comparing the Aeroscraft to other freight planes, the Aeroscraft will have a range of 6,000 nautical miles - giving it a 20 per cent longer range than the world’s newest jumbo freighter (747-8F) on the market today. The ML868 Aeroscraft will carry twice the weight and more than 40 times the volume of cargo that can be transported by the 747-8F freighter.

Why is this the future?

The Aeroscraft will introduce new vertical airlift logistics through VTOL flight operations. The Aeroscraft will introduce a new paradigm in logistics and help to bridge higher capacity, lower speed sealift and lower capacity, higher speed airlift. The Aeroscraft fleet will introduce global point-to-point air cargo delivery services for oversized and overweight project cargos, as well as general cargo, with capability to deliver to virtually any topographical location in under 72 hours.

What are the current projects on which this Aeroscraft is being used?

There are none yet. However, Aeros has begun production and these will take three years to produce; there are many customers who will utilise the capability. Commercial industries currently interested in utilising the Aeroscraft include: ISO intermodal containers, Wind and Energy, Construction and Engineering, Oil and Gas, Mining, Agriculture, Environmental, Disaster Relief, Aerospace, General Cargo, among others. The Aeroscraft will introduce air cargo options for value payloads with a time of delivery and cost per tonne mile in between current airlift and sealift, while introducing new point-to-point delivery opportunities that side-step intermodal transfers and delay as well as infrastructure development costs, delivering cargo faster than is now possible by boat, rail, and truck. Aeroscraft will help address lengthened Gantt charts, modularised construction techniques, and help several industries access ‘stranded resources’ among other areas of value creation.

How well does the Aeroscraft work in different types of climates?

Are there any limitations in certain weather conditions? The Aeroscraft has been designed and built for global use in climates as varied as the Arctic to the Sahara.

Is this going to be an effective replacement for air cargo or road cargo?

Yes and no. The Aeroscraft will introduce a new paradigm in logistics and help to bridge higher capacity, lower speed sealift and lower capacity, higher speed airlift. Aeroscraft won’t replace all the airplanes, helicopters, or trucks. However, it will establish an entirely new market and logistics business model.

How effective a replacement does the Aeroscraft aim to be in terms of costs?

The Aeroscraft is projected to have not only have lower acquisition costs, but also lower operational fuel costs and lower sustaining costs - about one third in each category.

How much would it cost annually?

For the 66-tonne vehicle (ML866) approximately US$25 million on a fleet access basis. For the 250-tonne vehicle (ML868) approximately US$55 million on a fleet access basis. (*Numbers may not be up-to-date)

What considerations are being put in place to be ahead of the competition?

Is there any? Aeros doesn’t currently have competition because there is currently no one else who has a product or a plan that calls for self ballasting vessels that can take off vertically at max payload. The demonstration of technological maturity now leads Aeros into fleet development for two configurations of the innovative aircraft this decade, a smaller 66-tonne capacity vehicle (ML866), and a larger 250-tonne capacity vehicle (ML868).

In terms of the material used to construct this how are they sustainable?

Many of the materials used in construction are recyclable at end of life (carbon fibre, aluminum, textiles). We don’t have current plans for integration of solar power, but this is something that is exciting and will be explored.

What are the skeptics saying?

While there are fewer every day, some won’t believe it until the vehicles are in the air and in operation.

Have you received any interest from the Middle East region?

?Yes, we have received interest from a number of parties but we are welcome to more partnerships with the Middle East. We believe that the Aeroscraft will be perfect in solving many of the regions infrastructure and logistical limitations.

Who would fly the Aeroscraft?

Flight operations will be spearheaded by ACA, a newly formed subsidiary of Aeroscraft Corporation responsible for providing ACMI or other wet leased services to customers worldwide. Aeros Cargo Airline LLC (ACA) will be the corporation’s operating subsidiary responsible for global flight operations as well as providing qualified air crews, maintenance and insurance services supporting operations. ACMI services are one of the traditional ways that leasing companies deliver a full service, operationally-focused, leasing product to its customers. As such, ACA will be a certified airline.

What kind of additional training would a pilot need to fly an Aeroscraft?

Additional training will be needed even for qualified pilots, and it is likely pilots will need training beyond the minimum requirements. Aeros recently signed a MOU with CAE for partnership on the comprehensive pilot training programme. Any additional information you would like to add which would give us a complete picture? Aeros expects to soon deliver an aircraft that will carry twice the weight and 40 times the volume of cargo that can be carried by the largest fixed-wing aircraft operating in the world today. Enabled by an internal buoyancy management system, this game-changing technology will introduce new VTOL capabilities in air cargo while offering independence from significant ground support and infrastructure development. Aeros is confident that we can offer investors a rewarding opportunity to participate in our future development and growth, as we build an initial fleet and seek to employ the Aeroscraft in a fashion that could generate multiple returns for investors. As such, Aeroscraft Corporation is now speaking publicly about the private placement of securities permitted under the JOBS Act. Execution of our plans is not without risks, and our offering can only be made to accredited investors at this time.