Mineral Resources says its low cost rail plan will save miners money on transport from mine to port
A mining services company is investigating a new option for moving bulk commodities from mines to port in the Pilbara.
Mineral Resources says its planned Bulk Ore Transport System is somewhere between “a train, a monorail, and a conveyor”.
The fully-automated system would involve 331 km of elevated track, and driverless trains of up to two kilometres in length.
Each train will carry up to 4,600 tonnes of iron ore to Port Hedland.
The company says the elevated track will produce a cheaper rail line, because there will be no need for earthworks in its construction.
Mineral Resources managing director Chris Ellison tells the Australian Financial Review that the low-cost rail solution will be particularly attractive to mining operations as the global market price of iron ore falls.
“We want to make money when iron ore is sub-$50 a tonne, and we want our clients to as well,” Ellison says.
BC Iron’s Iron Valley mine is likely to be the first of Mineral Resources’ customers to take advantage of the service.
Ellison says other miners would be able to purchase excess capacity, and new infrastructure could also be developed to other sites.