17/02/2011 - 12:19

Perdaman signs rail transport agreement

17/02/2011 - 12:19

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Perdaman Chemicals and Fertilisers has finalised rail transport deals with WestNet Rail and QR National for its $3.5 billion urea manufacturing plant near Collie.

Perdaman Chemicals and Fertilisers has finalised rail transport deals with WestNet Rail and QR National for its $3.5 billion urea manufacturing plant near Collie.

Under the partnership, WestNet Rail will provide access to the rail network and rail infrastructure support services for, while QR National will transport the urea product.

Perdaman says it will transport 2 million tonnes of urea each year from its plant at Shotts Industrial Estate near Collie to the Port of Bunbury.

The WestNet access agreement spans 25 years, while QR National's haulage agreement is for 20 years.

WestNet Rail chief executive Paul Larsen said Perdaman was a substantial new customer.

"Not only will this partnership provide significant growth and revenue opportunities for WEstNet Rail, but it supports continued investment and development in the south west of WA," Mr Larsen said.

The rail access and haulage agreements are conditional upon Perdaman obtaining project finances.

Perdaman said it would continue negotiations with the Port of Bunbury regarding final details of its port arrangements.

 

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