Aurizon extends Xstrata Coal contract
PERTH (miningweekly.com) – Freight transporter Aurizon has signed a long-term, performance-based coal haulage contract with Xstrata Coal to support the expansion of its Rolleston mine, in Queensland.
Xstrata was currently working to expand the Rolleston output from 9.4-million tons a year to 14.6-million tons a year, starting December 2014.
The coal miner had now signed a provision with Aurizon to haul expanded output volumes of up to 20-million tons a year, in future years.
Aurizon said on Thursday that it would invest up to A$215-million in rolling stock to support this haul, dependent upon final fleet configuration.
Given the significant increase in haulage tonnage under the new contract, the company’s above-the-rail coal business was also proposing that the 110 km Bauhinia rail spur that services Rolleston be electrified to harness the operational and cost benefits of electric trains, instead of the currently used diesel-hauled trains.
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