<span class="" id="parent-fieldname-description"> Months after missing out on involvement in the billion dollar development of Moorebank freight hub, Asciano boss John Mullen has told the Australian Financial Review that the intermodal terminal will struggle to attract customers. </span> <p>Asciano’s competitor in the transport logistics sector, Qube Holdings, won exclusive negotiating rights over the terminal’s development in May. Asciano’s competitor in the rail transport sector, Aurizon, is working closely with Qube in its development of Moorebank.</p><p>While Asciano did put in an initial expression of interest to earn the rights to the terminal, it did not put together a full proposal. Nonetheless, Mullen is reportedly surprised that his competitor was granted the rights to Moorebank and if Qube were to end up running Moorebank, Asciano would reportedly not use it.</p><p>Instead, Asciano would focus on improving and using terminals of its own.</p><p>Asciano operates its Chullora terminal north of Bankstown at a rate of around half a million twenty-foot containers (TEUs) per annum. It’s investing in expanding that capacity, though, and expects to have a capacity of 600,000 TEU by 2015, and 800,000 TEU further down the track.</p><p>Moorebank, by comparison, is expected to open at a capacity of 300,000 TEU per annum, but will have the scope to increase on that figure drastically through continued development.</p><p>Mullen reportedly says that such expansions won’t be justified, however, as the terminal will struggle to do good business.</p><p>“We’re worried that the government may have stars in their eyes that they can get all this value for Moorebank and everyone’s going to be clamouring to use it,” Mullen was quoted to have said in the AFR.</p><p>“It’s just not obvious &hellip Moorebank is going to have a very viable competitor in this space a year ahead of them opening &hellip We can have at very little incremental cost 800,000 TEUs [per annum] available and competitive [at Chullora] 12 to 18 months before Moorebank even opens.”</p><p>The rights to develop Moorebank were given to the Sydney Intermodal Terminal Alliance (SIMTA) by the government’s Moorebank Intermodal Company after its successful bidding process and a series of ensuing negotiations.</p><p>SIMTA is a consortium of Qube and Aurizon. Qube owns a 67% interest in the joint venture, while Aurizon holds the other 33%.</p>
