Brazil’s Gol Linhas Aéreas Inteligentes has signed an agreement to purchase 28 Boeing 737 MAX aircraft that will replace 23 of its 737-800 NGs by the end of 2022.

Gol said the new aircraft would reduce unit costs by 8% and generate about $200 million in cash equity gains. 

“We’ve concluded our multi-year planning and, combined with the return of the company’s sustainable growth rate via the take-in of the minority interest in our loyalty program, we will now have more cash flow available for investment in aircraft acquisitions,” said Gol chief financial officer Richard Lark.

“We are proud to continue supporting GOL, which has a 100% Boeing fleet, as it expands its order book for the 737,” says Boeing’s Ricardo Cavero.

By the end of 2025, GOL plans to have 65 MAX 8s and 10 MAX 10s in service. The MAX offers the airline new network opportunities while providing cost efficiencies and maintaining sustainability. The MAX will also play a significant role in GOL’s goal of carbon neutrality by 2050. The MAX-8 consumes 15% less fuel than the current workhorse 737-800 NG, and generates 16% fewer carbon emissions, and leaves 40% less noise footprint.