Work has started in Pretoria on the first locally made airframe of a batch of new Italian helicopters for the SA Air Force (SAAF).

The Italian company AgustaWestland said the final assembly of the airframe was being done at Denel Aviation, the aerospace division of South African arms manufacturer Denel.

Denel has been granted a licence to manufacture 25 of 30 Agusta A109 light utility helicopters (LUH) which the air force has ordered under the strategic arms procurement package.

The other five aircraft are to be manufactured in Italy.

African regional head of Agusta, Patrick Chabrat, said the first helicopter built by Denel would be ready by the end of the year, along with the five to be produced in Italy.

The rest were expected to be delivered by the end of next year or early 2005.

An A109 demonstrator-aircraft - flown in from Italy - began flight trials at Wonderboom airport in the north of Pretoria on Monday.

"It is testing aircraft performance and modifications made for the harsh Southern African conditions," Chabrat said.

Denel spokesman Sam Basch said the A109 could carry the pilot and eight other occupants.

It had a cruise speed of 285km/h, a range of 965km, and could stay in the air for five hours at a time.

"The aircraft can be used for medical evacuation and a range of other purposes. It will, of course, be customised for military use," Basch said.

The AgustaWestland and Denel partnership dates back to a product supply agreement which the two parties signed in July 2000.

It provides for Denel Aviation to be involved in the integration of subsystems, manufacturing, final assembly, customisation and flight testing of the SAAF helicopters.

Chabrat said Denel was given the right to produce and support the A109 LUH, the A109 Power and the A119 Koala helicopters of AgustaWestland.

"This agreement includes marketing in certain countries around the world," he said.

With acknowledgements to Sapa and the Business Day.