FreightLink pulls major minerals contract
05 Jul 2007

Freight Link Pty Ltd and Giacci Bros Pty Ltd were today awarded a major land logistics contract by Oxiana Limited for its Prominent Hill mine in South Australia.

 

The 10-plus-five year contract, scheduled to start in July 2008, will involve the movement and management of up to 250,000 tonnes per annum of copper concentrate from the mine to Darwin for export.

 

FreightLink, based in Adelaide, is owner-operator of the Adelaide–Darwin railway and Giacci is a privately owned bulk haulage and port services specialist serving the mining industry across Australia.

 

According to FreightLink’s Chief Executive Officer, John Fullerton, winning the contract in an extremely competitive tender process has again demonstrated the value of the Adelaide to Darwin railway and the opportunities it presents for mining companies.

 

“It was always envisaged that the railway would act as a catalyst for regional development along the Adelaide and Darwin corridor, creating significant opportunities for a range of industries such as mining, construction, gas and energy,” Mr Fullerton said

 

“The Oxiana contract builds on FreightLink’s other recent mineral haulage contracts with OM Holdings’ manganese project at Bootu Creek and Territory Resources’ Francis Creek iron ore project.

 

“Together, these contracts will nearly double FreightLink’s annual revenue and will lift its volumes of freight moved by around 2.5 million tonnes per annum.”

 

Giacci will haul the concentrate by road from Prominent Hill to the rail siding at Wirrida, in the north of South Australia.  It will then be loaded onto FreightLink trains heading to Darwin for loading onto ships.  Oxiana will construct a bulk storage shed at the Darwin Port providing the first facility of this type in Darwin for the handling of specialised bulk products under cover.

 

“With the Port of Darwin the railway provides a new, efficient and faster route for commodities moving between Australia and the growing Asian market,” Mr Fullerton said.

 

“The Darwin Port Corporation has invested more than $200M in building a new deep water port and more recently invested $24M in a new bulk ship loader that will serve the requirements of the Oxiana contract and the growing export trade through Darwin in bulk mineral commodities.”

 

In addition to mineral haulage, FreightLink continues to grow its general freight business and, to accommodate growing demand, will introduce an additional train service between Adelaide and Darwin to provide customers with additional capacity and more frequent services.

 

FURTHER INFORMATION: JOHN FULLERTON

Telephone:  08 8245 9100

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