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- Release Date: 02/03/12 14:17
- Summary: GENERAL: DOW: Downer awarded Rail contracts
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DOW
02/03/2012 12:17
GENERAL
REL: 1217 HRS Downer EDI Limited
GENERAL: DOW: Downer awarded Rail contracts
Media/ASX and NZX Release
2 March 2012
DOWNER AWARDED RAIL CONTRACTS
Downer EDI Limited (Downer) announced today that it had been awarded a
rolling stock contract for the supply of Downer Electro-Motive Diesel (EMD)
Model SD70ACe/LCi locomotives to BHP Billiton Iron Ore in the Pilbara for the
next five years.
The first new locomotives are expected to be delivered in the second quarter
of 2012. The contract has a core value of $292 million with options offered
that could bring the total value to over $400 million.
The Chief Executive Officer of Downer, Grant Fenn, said: "The ability of
Downer and Electro-Motive Diesel to provide support at the front line has
been second to none and underpins this deal. Integral with this contact is
the further build up of Downer support for customers in Western Australia."
The SD70ACe/LCi locomotive and its key components and systems are designed
and built by EMD, a member of the Caterpillar family of companies. Downer
and EMD have worked together for more than 60 years supplying and maintaining
locomotives in Australia.
This contract follows the award to Downer, in partnership with Progress Rail
USA (a wholly-owned subsidiary of Caterpillar), of a rolling stock supply
contract to design, build and deliver 17 new PR22L locomotives to TasRail,
Tasmania's State owned rail company.
The contract was awarded in December 2011 and the first new locomotives are
expected to be delivered in mid-2013. The total value of the project is over
$60 million.
"This fleet of locomotives will bring significant performance benefits to
TasRail including fuel consumption improvements, exhaust emission benefits
and reliability improvements," Mr Fenn said.
The PR22L locomotive and its key components and systems are designed and
built by Progress Rail USA and EMD.
Downer Rail has over 100 years' experience and is a leading provider of
innovative and efficient rolling stock asset management solutions. Downer
Rail is a partner of choice for freight and passenger rail operators,
providing services at more than 30 strategic locations across Australia.
For further information please contact:
Michael Sharp, Group Head of Corporate Affairs and Investor Relations +61
439 470145
Luke Thrum, Manager Investor Relations +61 459 828720
Downer EDI Limited (www.downergroup.com) provides comprehensive engineering
and infrastructure management services to the public and private Minerals &
Metals, Oil & Gas, Power, Transport Infrastructure, Communications, Water and
Property sectors across Australia, New Zealand and the Asia Pacific region.
End CA:00220307 For:DOW Type:GENERAL Time:2012-03-02 12:17:43
(20min delay)