Rio Tinto has released its first Pilbara-made iron rail car in Western Australia, as part of a AU$150 million partnership with Gemco Rail.
The collaboration will see Gemco build 100 rail cars in Western Australia to support local manufacturing.
The milestone marks the completion of 40 Western Australian-made iron ore rail cars manufactured in Gemco’s Perth facility, with the remaining 60 expected to be manufactured in the new purpose-built facility in Karratha.
Rio Tinto said its partnership with Gemco demonstrates its commitment to local manufacturing and support for the communities where it operates.
Rio Tinto Iron Ore CEO Matthew Holcz said: “We’re thrilled to be working with our partners to bring iron ore rail car manufacturing to the Pilbara for the first time.
“Our WA operations haul more than 300 million tonnes of iron ore across almost 2,000km of rail tracks every year.
“Local manufacturing strengthens not only our business, it also empowers local communities, supports regional jobs and creates new economic opportunities in the Pilbara.”
The Karratha-made rail cars will begin transporting iron ore from Rio Tinto’s 18 Pilbara iron ore mines to its Dampier and Cape Lambert port facilities this December. The new rail cars can each carry up to 118 tonnes of iron ore.
Rio Tinto uses about 13,500 iron ore rail cars across its Pilbara iron ore rail network. It typically replaces about 10 retired iron ore rail cars a year.
Western Australian Premier Roger Cook said the state government is prioritising diversifying the state’s economy by supporting local production initiatives.
“Our government brought railcar manufacturing back to Perth, and we’re proud to see businesses like Rio Tinto and Gemco Rail get behind our state’s industry, build more things here and create WA jobs.”
Gemco’s parent company, Engenco, said it is pleased to deliver on its commitment with the expansion of its operations into the Pilbara region.
Engenco CEO Dean Draper said: “Establishing a manufacturing presence in Karratha strengthens our ability to work closely with customers, enhances supply chain resilience, and supports regional industry while creating employment opportunities.”
