AZJ 0.88% $3.36 aurizon holdings limited

Ann: Aurizon secures major national freight contract, page-86

  1. 10,663 Posts.
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    Over the weekend, there were two 'broken rails' across the Nullarbor that led to trains being significantly delayed while the welding team travelled, located and fixed the problem through welding. Ther weekend is peak time for freights to Perth, because WOW, COL, WES and a host of others supplied from those nasty 'eastern states' need to restock warehouses after what retailers hope will have been another busy week of shelf-emptying.

    The major competitor to AZJ, unlisted Pacific National, normally has train crews overnight at Cook, South Australia (famous for 'if you're crook, come to Cook' when it had a hospital). The delays eastbound (i.e. from Kalgoorlie towards Port Augusta) have almost certainly led to some westbound trains (bound for Perth) having to wait while the drivers take a sufficient number of rest hours. Latter is required by fatigue regulations.

    Not long ago, a Pacific National freight from Melbourne to Perth was overtaken by AZJ's one at Cook, because the Aurizon trains usually have a 'relay van' attached close to the leading locomotives. This is a converted railcar or passenger carriage fitted with sleeping berths,shower(s), a kitchenette and IIRC a small lounge area. One crew sleeps/rests while the other drives the train. Given the lack of settlements along the Nullarbor rail line, it tends to be more efficient than having crews overnight at 'barracks'.

    'Mr Market' is still unconvinced about the AZJ Darwin strategy. This is natural, because one wants to see evidence before thinking of supporting it with an institution's or retail SH funds. However we can safely say 'AZJ knows how to operate freight trains, and by and large does it pretty competently in not just coal haulage, but minerals, grain and once again containerised goods'.

    While it's fair to say PN trains across the desert are often punctual, this one waylaid at Cook near the SA/Western Australian border is approaching six hours late.

    The AZJ train was slightly more than three hours early arriving at the Denman crossing loop, but has to stop to allow the weekly 'Indian Pacifc' luxury passenger train to pass. The 'IP' was exactly an hour late at Hughes, the closest crossing loop on the SA side of the state border.

    History may not be a perfect guide to the future, but it gives pointers. It's super pleasing that AZJ already has mostly excellent timekeeping between Melbourne and Perth, and back. I hope potential new freight users are becoming aware of how well AZJ trains are doing, as Perth is a really important market for rail freight operators. and crucial for retailers and many other businesses in 'the West', even up to the Pilbara and down to populated southwest WA.
    Last edited by Hopeful9: 31/07/23
 
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