McAleese Resources wins Atlas Iron haulage contract

McAleese has won a fifth iron ore haulage contract with Atlas Iron at its Mt Webber operations.

The four year contract, valued at approximaetly $250 million, involves the loading and hauling of around three million tonnes of iron ore annually.

The contract will start mid next year, with ore shipments expected to commence from the June quarter of 2014.

Paul Garaty, McAleese’s CEO, said “Mt Webber will be a significant addition to Atlas Iron’s ore exports and we look forward to working with Atlas to continue safely and efficiently deliver iron ore to port from their fifth mine commissioned in five years”.

“The flexibility and lower capital requirements of road haulage has delivered an effective transport solution for Atlas and supported their rapid growth,” he said.

“With Atlas’ complement of smaller scale, close to port mines, having the flexibility to dynamically schedule the road transport fleet to meet production, shipping, and grade quality targets is paramount.

“We are delighted that we continue to be Atlas’ preferred road transport provider.”

Mt Webber is located 230 kilometres away from Port Hedland’s Utah Point port facility, and will now see, after the signing of this contract, an additional 22 McAleese road trains hauling an extra 500 000 kilometres per month.

This takes it total haulage distance with Atlas to around three million kilometres per month.

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