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Rex is suspending services from Sydney to Orange and to Port Macquarie later this month.
Citing high fuel prices due to the Iran conflict, the carrier will temporarily drop its routes to the two regional NSW destinations from 25 October, leaving their respective Sydney connections served only by QantasLink. According to Rex, it is still “committed to serving regional and remote Australia”.
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“The environment of entrenched high fuel prices driven by the ongoing conflict in the Middle East, together with lack of demand, do not make these routes commercially viable at this time. Both destinations continue to be served by another carrier,” the airline said in a statement.
“This decision is part of the optimisation of Rex’s schedule with the ongoing situation in the Middle East affecting all airlines globally.
“Affected customers will be contacted directly. Customers booked to travel on or after 25 October will be offered a full refund, or the option to rebook on an alternative Rex service at no additional cost, subject to availability.
“Rex will monitor the situation closely and consider lifting the suspension of services once fuel prices decrease to a level that makes it commercially viable for flights to resume.”
Orange Regional Airport is currently served by QantasLink, Rex, and Link Airways, while Port Macquarie Airport is served by QantasLink, Rex, and Eastern Air Services.
Rex has cut back on several routes this year, including Orange and King Island services, while the government has helped fund airports owed money from its collapse into administration in 2024.
The airline was last year purchased by American firm Air T, which had pledged to return more of its Saab 340B aircraft to service, though as of July, appeared to have yet to do so despite drawing on $26.7 million of a $60 million loan from the federal government.
Australian Aviation understands that the carrier repaid interest of $367,857.53 on 2 July under the Commonwealth Support Package. Air T’s bid for Rex last year was successful owing in part to its access to parts for the ageing turboprop aircraft.
The ACCC last month noted that jet fuel prices were nearly 50 per cent higher in late August 2026 than in February 2026 due to the Iran conflict.
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