Full steam ahead for Pilbara rail projects

The WA Government is on track to drive advanced manufacturing in the Pilbara with its multimillion-dollar investment into two major rail projects.

Almost $8m is to be invested under the Government’s Local Manufacturing Investment Fund (LMIF) with funding to establish an iron ore railcar manufacturing production line and a centre of excellence in Karratha.

Today, WA State and Industry Development Assistant Minister Stephen Dawson officially opened CORE Innovation Hub’s Rail Collaboration Centre (RCC) which will provide a platform to undertake testing, research and development in the manufacture of iron ore railcars.

With strong support from Rio Tinto (ASX: RIO) the RCC fills a gap as a platform to assess the development of new rolling stock, infrastructure, technology and ideas.

Gemco Rail was awarded almost $7m to establish an iron ore railcar manufacturing facility in Karratha to manufacture 100 wagons for Rio as well as repairs and refurbishing key wagon components.

Mr Dawson commented on the opening of the centre.

“The opening of this new rail collaboration centre in the Pilbara is another major step towards building an exciting new industry specialising in the manufacture of world class iron ore railcars,” he said.

“Our resources sector relies heavily on railcars, and it makes perfect sense to invest in developing a local industry that will manufacture, test and conduct research on delivering a state-of-the-art iron ore railcar.”