Name and Location
Majuba railway corridor project, Mpumalanga, South Africa.

Client
Eskom.

Project Description
The corridor is the first large greenfield freight-rail infrastructure project to be carried out in South Africa since 1986 and will be operated by State-owned Transnet Freight Rail (TFR).

It has been designed to transport 14-million tons a year of coal from Shanduka, Middelkraal, Goedgevonden, Vlakvarkfontein, Exxaro and Kuyasa.

The line begins about 8 km west of Ermelo, in Mpumalanga, with the takeoff accessible from both directions of TFR’s existing coal corridor to Richards Bay. It is situated in the Gert Sibande district municipality and traverses two local municipalities, Msukaligwa and Pixley Ka Seme.

Eskom says the project will yield lower life-cycle transportation costs, improve coal-delivery turnaround times and enable Majuba to access more coal sources than is currently the case.

Value
R5.2-billion, which will be partly funded from finance secured from the World Bank in 2010. About R3.9-billion in funding from the International Bank for Reconstruction and Development has been allocated to the Majuba rail project.

Duration
The operation agreement between Eskom and TFR has not yet been concluded, but it is envisaged that the line will carry its first fully laden 100-wagon train on December 15, 2015.

Latest Developments
Eskom has reported that the first coal-loaded train is scheduled to begin operating on the R5.2-billion, 68 km railway corridor, which is currently being built to link the coal mines of Mpumalanga with the Majuba power station, on May 31, 2016.

The main civil construction and earthworks for the road-to-rail project are being carried out by Grinaker-LTA and should be completed by the end of October. The contract includes the removal of soil and overburden material and the construction of major structures, including a 300 m bridge.

Contracting processes for the perway and the electrical and signalling contracts are currently under way and Eskom reports that these should be awarded during the first quarter of 2014. The perway package is scheduled for completion by December 2015 and the electrical and signalling package by February 2016.

Eskom is planning to incorporate high levels of local content, with a 70% threshold having been set for the various packages.

Discussions are still under way with TFR with regard to its assumption of operational responsibilities, but it has been agreed that a combination of 19E and 20E dual-voltage electrified locomotives will be used. It is expected that jumbo wagons, with axel loads of 26 t each, will also be introduced.

Key Contracts and Suppliers
Grinaker-LTA (main civil construction and earthworks).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Eskom media desk, tel +27 800 3304, fax +27 86 664 7699 or email mediadesk@eskom.co.za.
Eskom national call centre, tel 0860 037 566.