Monday, October 27, 2008

BHP, Rio Forced to Share Pilbara Railways

It seems as though Fortescue Metals, considered a "third force" in Australia's Pilbara, has succeeded in its bid to secure acceess to the region's strategically-significant railyway lines, currently operated soley by heavyweights BHP Billiton and Rio Tinto.

Australian Federal Treasurer Wayne Swan today opened three key lines to third-party access, forcing the current duopoly to negotiate with other mining firms for entry contracts for the next 20 years.

Fortescue truly entered the big league of iron when it delivered its first shipment of Pilbara ore to China in May of this year.

(For just an idea of how much tonnage the special delivery trains can haul, watch this YouTube video)

> BHP Billiton, Rio Rinto angry on open Pilbara rail line [Herald Sun via news.com.au]

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