CBH awards rail fleet contract

The country's biggest grain exporter, CBH Group, has awarded a United States-based corporation an $80 million contract to build a new locomotive fleet.

United States-based MotivePower, a subsidiary of Wabtec Corporation, will build 22 locomotives for CBH, with the first to be delivered in March next year.

CBH operations general manager Colin Tutt said the tender process was very competitive, with six companies from around the world bidding for the deal.

"We are confident that MotivePower's expertise and experience in building locomotives for freight rail will deliver WA growers the best outcome," he said.

"MotivePower's engines were the best option for the task of moving grain on Western Australian rail lines as well as having good fuel economy, meeting US Tier 2 emissions standards.

"The locomotives will provide better operational and environmental efficiencies and ultimately greater productivity, as well as being much safer than the existing fleet.

"Having new equipment with more horsepower will enable us to optimise train lengths and journey times, and transport more grain to port by rail."

Wabtec chief executive Albert Neupaver said the project would position the company for similar opportunities in the future.

"Wabtec has had a manufacturing and sales presence in Australia for 20 years, and we continue to expand our operations in this important rail market," he said.