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BlueScope to outsource Port Kembla rail ops to Pacific National

by admin last modified Feb 04, 2009 05:50 PM

by LLDCN 12:54PM, 07 May 2007

BlueScope Steel would outsource the maintenance and operation of its Port Kembla Steelworks rail task to Pacific National, it confirmed today (Monday, May 7).

Pacific National will be responsible for maintaining a fleet of locomotives and wagons used to move raw materials, molten metal, intermediate products and finished steel within the steelworks under a long-term contract.

Pacific National delivers coal and limestone to the Port Kembla Steel works for use in steel manufacturing, and transports steel products from the site to destinations across Australia.

BlueScope Steel has made 165 rail and locomotive employees redundant.

A spokeswoman said Pacific National would employ around 100 train drivers and shunters under the new contract.

Ex-BlueScope Steel employees were being encouraged to re-apply with Pacific National, she said.

Pacific National chief executive Don Telford said the deal represented a natural fit for the rail services the company already provided in the Illawarra Region.

“Managing the rail operations within the steelworks site is a logical extension of Pacific National's existing operations and will deliver transport supply chain efficiencies in the Port Kembla precinct,” he said.

Pacific National expects to assume responsibility for rail operations services from August 2007.

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