Posted in | Iron Ore

Gindalbie Signs $900m Rail Deal with QRN

Gindalbie Metals is a mid west iron ore producer which has agreed on a $900 million project for rail haulage with QR National.

The rail haulage agreement with QR National is for the miner’s Karara joint venture project. The project is a joint venture between Gindalbie Metals and Ansteel of China and is owned through the Karara Mining company.

Gindalbie hopes to transport 10 million tons per annum of hematite and magnetite ore from Karara using QR National starting in January next year. An investment of $200 million in new locomotives, wagons and upgraded administration and maintenance facilities will be required by QR in the Narngulu East Facility to cope with the new project it has bagged.

After the ramp up the company will move four trains each day with 100 wagons in each train. The project is still subject to approval of rail access agreements with Westnet, Karara Mining’s security trustee and the mining company getting consent of its financers for the final agreement. There is also an agreement to work together on any future expansions that may be made.

Tim Netscher the Managing Director of Gindalbie Metals said that the long term commercial agreement with QR National represented a major milestone for the Karara project. The deal with the Western Australia rail company was in negotiations for more than a year starting last April. The ten year deal ties up the ore haulage component in the logistics chain.

He added that the work on the Karara Project was moving very rapidly with approximately 1,300 people currently working on the construction of the processing plant, mining operations and all of the supporting infrastructure such as the rail spur, high voltage power line, water pipeline and Geraldton port.

Joel Scanlon

Written by

Joel Scanlon

Joel, originally from the UK, emigrated to Australia in 1995 and spent 5 years working in the mining industry as an exploration Geo-technician where he developed skills in GIS Mapping and CAD. Joel also spent a year working underground in a gold/copper mine. Upon moving to the North Coast of NSW, Australia Joel worked as a graphic designer for a leading consultancy firm before starting a successful business providing graphic and web design services to local businesses on the eastern seaboard of Australia. Joel is skilled in project management, web programming, design, animation, database and networking, software and editing. Joel has been with AZoNetwork since its inception in 2000.


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