Papua New Guinea’s national airline, Air Niugini, has cancelled its order for two Boeing 787-8 aircraft. With its aging B767-300ER fleet being planned to retire this year, the carrier is left without a confirmed replacement.
Notable Fleet Changes
The two B787s were intended to take over the B767s’ duties while opening new routes across Asia, Australia, and New Zealand. However, the carrier has now formally cancelled the purchase according to official Boeing orders and delivery data for Jan. 2026.
Chairman Karl Yalo reflected on the move, noting that the airline has previously received government approval, yet faced a turn of events. He said:
“Changing circumstances compelled the airline to review the agreement.”
Even as the board raised concerns last year, former CEO Gary Seddon made his dedication to the project clear. In May 2025, he pointed out:
“The commitment remains intact and is central to our long-term international strategy”, though the delivery had slipped to late 2027. He added, “we are actively considering bridging lift capacity options to ensure operational continuity.”
Currently, Air Niugini operates a diverse fleet including two A220-300s, three B737-800s, two B767-300ERs, eleven Dash 8 turboprops, five F100s, and four F70s. Additionally, the airline has outstanding commitments for eight A220-100s directly from Airbus Canada.
Leadership Return
Changes are also underway at the top of Air Niugini’s leadership team. On Feb. 16, Alan Milne returned as CEO after previously overseeing the airline from 2018 to 2020. Milne most recently served as CEO of Skytrans. Moreover, he owns East Air (Australia) after acquiring the carrier from Townsville Airlines in 2025. He replaces officer-in-charge Sami Taufa, who only maintained leadership for six months following Seddon’s departure.
Commenting on Milne’s return, Yalo said:
“In the short term, Mr. Milne and his team will be focused on maintaining and enhancing operations and profitability. In the medium term, we will prepare Air Niugini for initial partial privatisation at the right time.”
With this change, Air Niugini is sharpening its focus on running operations steadily, while planning on future fleet growth endeavours and potential global expansion.
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