Name of the Project
Coal export line expansion project.
Location
The coal export line links the coalfields of Mpumalanga, and the Waterberg, in Limpopo, South Africa.
Client
Transnet Freight Rail (TFR).
Project Description
TFR is expanding its coal export channel by increasing initial capacity on the corridor to 81-million tons a year and thereafter to 97.5-million tons a year. Tenders for a prefeasibility study to increase the capacity to 97.5-million tons a year will be issued in the near future to confirm the expansionary and sustaining investments.
The programme combines investments in new infrastructure and rolling stock, most notably a comprehensive dual-voltage locomotive acquisition programme.
The current infrastructure construction programme for the expansion to 81-million includes various sustaining investments and the upgrade of four yards at Blackhill, Saaiwater, Ermelo and Vryheid, 11 substations, five new substations and two locomotive workshops upgrades, with a new locomotive turntable at Richards Bay.
The work packages are being executed using a combination of in-house resources and external design and supply contracts.
TFR has also brought forward the engineering and design work on the Overvaal second tunnel, owing to the operational challenges and risk associated with the single-line tunnel between Ermelo and Richards Bay. The tender for the feasibility study for the Overvaal tunnel has been awarded.
Jobs to be Created
Not stated.
Value
The estimated cost of the coal export line expansion to 81-million tonnes a year is estimated at R5.1-billion and the expansion to 97.5-million tonnes a year at R4.35-billion.
R16.03-billion is expected to be spent on the capitalisation of infrastructure, wagon and locomotive maintenance.
Duration
Not stated.
Latest developments
By June this year, the expansion of the rail line’s capacity to 81-million tons was 79% complete, with R2.2-billion having been invested.
Transnet had also acquired 100 electric locomotives to enable the expansion to 81-million tons.
Further, TFR invested R4.7-billion in infrastructure for the coal export line during the 2015 financial year, with R411-million spent on upgrading yards, lines and electrical equipment required for the expansion.
Key Contracts and Suppliers
Not stated.
On Budget and on Time?
Not stated.
Contact Details for Project Information
TFR corporate affairs Mike Asefovitz, tel +27 11 544 9585 or email Mike.Asefovitz@transnet.net.