up we go, page-60

This thing about trains. Sooner or later this will be a main event in the High Court of Australia. The majors do not want anyones ore on their trains. They know to face the court they need a believable story. There are two main issues, the first being the price per ton to carry ore for others, the second is the tonnage they are prepared to carry.

From memory I think FMS wants to send 10 million tons per year.
That is around forty to fifty ships per year, or around the same number of days use of the port facilities for one loader.

That might be enough to get the court to believe them and stop others using the facilities.

If their charge for these facilities is so high as to leave little profit for FMS then their case in the court would be weakened.

For the majors in court they will be treading a fine line.

I still believe an overall rail corporation with some sensible rationalising will be the way to go. A bit more rail with up lines and down lines would see a huge increase in tonnage being moved.

If China and India grow the way the optimists see it then necessity may force a better system. Maybe the three rail companies could work together with a computer working out the money side of which parts of the system is being used at any given time.

What is interesting is the facility near the Perth airport from where RIO are planning to run they're mining trucks and trains without drivers in the Pilberra? This is being worked on as I write, I kid you not. If Rio get that to work then they might take over running the others also. It's hard to imaging no drivers. That would cut down the fly in fly out situation and also effect Qantas.

My own viewpoint is FMS would be better off joining a consortium with its own rail, unloading facility and port loading facility.