PERTH (miningweekly.com) – Diversified miner Rio Tinto has committed to using local manufacturers to build ore rail cars for its Pilbara mining operations.

The miner revealed over the weekend that a tender will soon be released to the local market for an initial purchase of 50 ore rail cars, followed by an ongoing commitment of ten ore cars a year for the next five years.

The company told shareholders that the company’s commitment to bring ore rail car manufacturing back to Western Australia supported the group’s vision to develop the state’s ore rail car manufacturing capability and support the state’s economic recovery.

“Building Rio Tinto’s ore rail cars here in Western Australia will support local manufacturing and create jobs for West Australians,” said Rio iron-ore CEO Simon Trott.

“Rio Tinto is proud to lead the way in building iron ore rail cars in Western Australia, in line with the vision of state government’s iron-ore rail car action group.

“I look forward to partnering with local businesses to support and grow the local manufacturing industry in Western Australia. Ore cars are a critical part of our mining operations and building capacity to manufacture ore cars locally in Western Australia will deliver significant benefits for Rio Tinto and the Western Australian economy.”

Western Australia Premier Mark McGowan has commended Rio for committing to the local steel manufacturing industry, saying it will support more jobs for Western Australians.

“Rio Tinto’s commitment is a positive result off the back of the state government’s independent prefeasibility study, which identified initiatives for the manufacture, refurbishment and maintenance of iron-ore railcar wagons.

“This was about securing an ongoing pipeline of work for the long-term manufacture of iron-ore wagons and critical rail wagon parts, which will deliver jobs and economic benefit for the state into the future.

“Rio Tinto’s purchase of Western Australian made railcars that will be used right here in our state is something I encourage other iron-ore companies operating in Western Australia to get on board with and increase local content and local jobs,” said McGowan.