Citing "the impact of the challenging operating environment", Nigeria's oldest airline, Aero Contractors, founded in 1959, has temporarily suspended operations.
This was coming amidst the skyrocketing price of aviation fuel known as Jet A1 as well as its scarcity, which has disrupted airlines' schedules in recent times and other factors which have put pressure on airlines.
The suspension of operations by the airline takes effect on July 20, the airline said in a statement on Monday.
It would be recalled that the Airline Operators of Nigeria (AON) had recently hinted that two airlines might soon stop operations over the Jet A1 crisis and other operational challenges that have left the airlines bleeding.
Findings by our correspondent revealed that another airline may soon succumb to the 'mounting' operational challenges by suspending operations.
Already, the aviation fuel crisis has worsened airlines' woes with a litre being sold for N800 while sources said many airlines are unable to access foreign exchange to carry out regular maintenance leaving their aircraft stranded abroad.
Aero in a statement announcing the suspension of operations said the action "does not in any way affect the maintenance activities of the Approved Maintenance Organisation (AMO) otherwise known as AeroMRO, the Approved Training Organisation (ATO) also known as Aero Training School, the Helicopter and Charter Services operations."
The statement added: "This decision was carefully considered and taken due to the fact that most of our aircraft are currently undergoing maintenance, resulting in our inability to offer a seamless and efficient service to our esteemed customers.
"We are working to bring these aircraft back to service in the next few weeks, so we can continue to offer our passengers the safe, efficient, and reliable services that Aero Contractors is known for, which is the hallmark of Aero Contractors Company of Nig. Ltd.
"The past few months have been very challenging for the aviation industry and the airline operators in particular. With the high cost of maintenance, skyrocketing fuel prices, inflation, and forex scarcity resulting in high foreign exchange rates. These are among the major components of airline operations."
The airline said it was "working assiduously to return to service as quickly as possible," adding that its "short absence will not create any major void in the market, as we are coordinating with our business partners to ensure minimum discomfort to ticket holders."
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Daily Trust gathered that another airline may soon go as it has reached a point where "it is extremely difficult" to operate seamlessly.
Meanwhile, the Nigerian Civil Aviation Authority (NCAA) said while it understands the harsh economic situation which is not peculiar to only airlines, it has ramped up its surveillance of airlines to ensure none of the operators engaged in under-cutting.
Speaking with our correspondent, spokesman of the NCAA, Mr Sam Adurogboye, said, "The issue of under-cutting does not arise," adding that the current challenges facing the airline challenge the regulatory authority "to continue to monitor aggressively.
"The operator knows that if you under-cut, you would be at the receiving end. We always monitor them. We are not taking chances.
"We are monitoring them, doing what we should do. People should be assured we are doing what we need to do."
Aviation analyst, Mr Olumide Ohunayo, said Aero's decision to suspend scheduled operations is a commendable step to concentrate on other aspects of its operation until the present challenges subside.
