Lufthansa Technik has broken ground on a C$120m ($87m) aircraft engine maintenance and repair facility at YYC Calgary Airport in Calgary, Canada.

The facility will cater to a broad range of North American carriers, focusing on near-wing and quick-turn services.

Over the next two years, a 150,000ft² engine repair shop will be developed in partnership with Calgary Airports for Lufthansa Technik Canada, a subsidiary of Lufthansa Technik.

The facility will primarily service CFM International LEAP-1B engines, which power the Boeing 737 MAX fleet. Additionally, it will feature Canada’s first engine test cell for latest-generation aircraft engines.

The project is expected to create a minimum of 160 permanent jobs at Lufthansa Technik Canada by 2030, with an additional 170 temporary jobs during the construction phase.

The engine repair station and test cell are scheduled to be operational by 2027.

Lufthansa Technik vice-president of commercial engine services Georg Fanta said: "The increasing number of new aircraft leads to a growing demand for maintenance capacities for their engines."

Lufthansa Technik Canada is working closely with Calgary Airports (formerly the Calgary Airport Authority) to finalise the design and logistics of the facility.

The airport authority is responsible for the financing, planning, construction, and deployment phases, as part of YYC AeroNex, a hub for aviation support and training services at Calgary Airport.

A long-term lease agreement has been signed with Lufthansa Technik Canada.

Calgary Airports president and CEO Chris Dinsdale said: "This engine repair station and test cell will boost regional economic development and reinforce Calgary’s role as a gateway for aviation innovation and excellence."