QR National has expanded and extended its long-term coal haulage agreement with Gloucester Coal in NSW’s Hunter Valley.
The revised contract with Gloucester Coal provides for an extra 800,000 tonnes of coal a year from the Duralie mine for Gloucester Coal’s domestic business.
The original contract commenced in 2003 and provided for the haulage of 1.8 million tonnes per annum (mtpa), through to 2011. The new contract provides for up to 2.6 mtpa through to 2016.
This takes total revenue for the contract (from 2003 to 2016) to more than $75 million.
QR National Managing Director & CEO Lance Hockridge said the Company was focussed on performance-based contracts that were underpinned by reliability, certainty of supply and safety.
“Gloucester Coal was QR National’s first customer in the Hunter Valley and integral to us establishing a base in the New South Wales’ coal haulage market,” Mr Hockridge said.
“We’ve been building a strong relationship with Gloucester Coal’s Duralie operations since 2003. Gloucester Coal’s decision to renew their contract with QR National is a mark of strong confidence in QR National’s operational performance and safety record.
“In both the Hunter Valley and across Queensland, QR National Coal has proven that we can meet our customer’s current needs and grow our capacity to match their growth aspirations.”
QR National is Australia's largest rail freight company with services operating across five states. In 2010/11, QR National transported more than 240 million tonnes of freight, including coal, iron ore, other minerals, agricultural products and general freight. It also operates and manages the 2300 kilometre Central Queensland coal network that links mines to coal ports at Bowen, Mackay and Gladstone.