Cathay Pacific Airways (CATHAY PAC AIR) (HKEX: 00293) had previously committed to operating all scheduled flights as normal during the peak summer travel months of July and August.

However, the airline's Chief Executive Officer, Ronald Lam, has indicated that the company may need to cut some flights in September if jet fuel prices remain elevated.

Lam made these remarks while attending an aviation summit in Rio de Janeiro, Brazil.

He noted that the Iran oil crisis has driven up fuel costs for airlines and expressed hope that the situation in the Middle East would become clearer by September, which could help the airline avoid further flight cancellations.

Regarding fuel hedging, Lam stated that Cathay Pacific plans to review its policy, potentially factoring in refining costs or price spreads to better manage price volatility.

The airline currently hedges up to 50% of its fuel requirements for the next two years.

Lam added that a shortage of aviation fuel is not currently a problem and is unlikely to become a risk.

On a separate note, Lam pointed to the additional flight capacity created by the third runway at Hong Kong International Airport, describing the next decade as a golden opportunity for Cathay Pacific's expansion.

The airline is considering placing additional aircraft orders, which could include wide-body jets, narrow-body jets, and freighters.