Wednesday, December 19, 2018

Multi Million Tonne Rail Freight Contract for UK Group

US Owned Company Signs Aggregate Bulk Cargo Deal
Shipping News Feature
UK – Freightliner Heavy Haul Ltd, the rail freight carrier now part of the Genesee & Wyoming Inc. (G&W) group of companies, has signed a long-term, bulk rail-haulage contract with Mendip Rail Ltd, a joint venture between two of the UK's largest aggregate/cement producers, Hanson Aggregates and Aggregate Industries (AI).

Under the new contract, commencing in November 2019, Freightliner will haul an expected eight million tonnes per year (approximately 107,000 annual carloads) of aggregate to terminals in London and the South East of England from quarries owned by Hanson and AI in the Mendips, Northern Somerset. As part of the contract, Freightliner will purchase eight locomotives from Mendip Rail, which is expected to occur prior to year end 2018.

G&W has expanded from its North American base, where it serves 41 US states and four Canadian provinces with its 115 short line and regional freight railroads which utilise over 13,000 miles of track. In addition to its Australian interests the group now includes the UK’s largest rail maritime intermodal operator and second-largest freight rail provider, as well as regional rail services in Continental Europe. Speaking of the latest deal, Freightliner Chief Executive Officer Gary Long, said:

“With this new contract, Freightliner is privileged to serve two customers that are critical to the UK construction market, and we are committed to the customer-focus and service reliability that defines all of our operations. By adding one of the largest bulk haulage contracts in the UK, we are also adding to the foundation of our long-term bulk business as we have successfully replaced traffic losses caused by the collapse of the UK coal industry in 2015.”