TNG grabs G&W for Mount Peake rail haulage

Strategic metals junior TNG, owner of the Mount Peake vanadium-titanium-iron project in Australia’s Northern Territory, has inked a rail haulage services heads of agreement (HOA) deal with Genesee & Wyoming’s subsidiary Genesee and Wyoming Australia (GWA)
TNG grabs G&W for Mount Peake rail haulage TNG grabs G&W for Mount Peake rail haulage TNG grabs G&W for Mount Peake rail haulage TNG grabs G&W for Mount Peake rail haulage TNG grabs G&W for Mount Peake rail haulage

Genesee & Wyoming is a global railroad owner and operator

GWA's scope of services includes loading magnetite concentrate onto rail at the proposed Adnera rail siding site, rail haulage from Adnera to the Tivan facility in Darwin on the Tarcoola-to-Darwin rail line and the unloading of magnetite concentrate at the Tivan facility.

The rail service provider, which under the terms will provide all transport plant and equipment necessary for the work, will also oversee both loading and transport of TNG's final products from the facility to port.

Neither the financial terms nor the length of the contract were disclosed. However, TNG did note that the pair will come together exclusively once the deal is finalised and commit the needed resources to develop an optimised rail haulage strategy for Mount Peake, ahead of finalising a haulage agreement.

TNG said the haulage HOA will "underpin" its concentrate transport as work at Mount Peake moves forward. G&W is the majority owner, too, of the rail line to Darwin that runs about 1,100km from Mount Peake's site.

Managing director and CEO Paul Burton added the agreement is a cornerstone of its logistics chain.

"GWA's presence and expertise in logistics and transportation further strengthens TNG's global network of high-quality partners assigned for the development and operation of Mount Peake," he said.

Mount Peake is the 100%-owned flagship project of the miner's portfolio. It is located north of Alice Springs in the Northern Territory.