During a recent interview, Kelly stated that talks about financing remain preliminary. He aims to attract a single major financial backer for the airline, called Zinc, along with four or five smaller investors.
Kelly spent over a decade working as a consultant overseas, mainly based in Cyprus and the United Kingdom. After more than ten years abroad, he came back to Australia roughly a year and a half ago. He mentioned that he has done work for carriers such as EasyJet Plc, and is collaborating with two other people on Zinc.
"We have to try and overcome this myth that the Australian domestic market is impenetrable, that it's sewn up by two companies," Kelly said during an interview in Adelaide, where he was participating in an aviation conference.
Additional planes will join the fleet within the first year.
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Kelly's venture comes at a time when Australia's aviation market is dominated by Qantas and Virgin Australia, which together control over 90% of domestic capacity. The opening of Western Sydney International Airport later this year presents a rare opportunity for new entrants to secure slots without the constraints of Sydney Kingsford Smith Airport. Kelly's background includes consulting for EasyJet, giving him insight into low-cost carrier operations in competitive markets.
Kelly stated that he has assembled a management team for Zinc, which includes a CEO, a CFO, and a CCO, though he would not disclose their identities.
Earlier efforts to challenge the two dominant airlines have not succeeded. Regional carrier Rex launched an unsuccessful foray into the major capital-city routes. Budget airline Bonza went under in 2024 due to difficulty filling seats on unconventional routes. Another hopeful, Koala Airlines, is also attempting to launch.
He explained that earlier startups faced insurmountable difficulties due to scarce takeoff and landing slots at Sydney's main airport, the nation's primary hub.
Kelly pointed out that Western Sydney International Airport has plentiful capacity and lacks an overnight curfew, which allows airlines to operate with fewer constraints. The airport projects it can manage up to 10 million passengers annually at first, with potential to expand to over 80 million by 2060.
Subject to securing the required funds, Kelly plans to file for an air operator's certificate with Australia's civil aviation regulator within the next twelve months.
"Once we get the money, that's when everything kicks off," he said. "Until you get that money, you can't have any constructive conversations with anyone."
Zinc is among a handful of prospective newcomers in the Australian market. Even if the capital is raised, the airline will have to overcome a long track record of failed aviation startups in a country dominated by Qantas and Virgin Australia Holdings.
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