With operating costs said by the company to be approximately one-fifth that of a single-engined turbine helicopter, the P68 Observer 2 has a cruise speed of 166 kt (compared to 125 kt for a helicopter), and a range of 1,525 n miles (350 n miles for a helicopter). Powered by two Lycoming IO-360-A1B6 engines, the P68 Observer 2 is already in service with a number of military and para-public operators around the world, including the Chilean Army. While the MoD did not disclose when the remaining aircraft will be delivered, it did say that they type will begin operations with VC-1 Squadron in early 2017, flying from Puerto Montt and Iquique initially before being transferred to Talcahuano. The first of the Italian-built aircraft (designated Naval Aircraft 321 in Chilean service) arrived at the Naval Air Base at Concon on 1 July, ahead of its induction as a search and rescue, maritime police, medical aero-evacuation, and liaison platform in place of the now retired Cessna O-2 Skymaster. The Chilean Navy (Armada de Chile) has received into service the first of seven Vulcanair P68 Observer 2 twin-propeller aircraft, the Ministry of Defence (MoD) announced on 1 September. Gareth Jennings, London - IHS Jane's Navy International Citation : Chilean Navy inducts new observation aircraft
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