Miners at Loggerheads Over Pilbara Rail Access

08 May 2008


Global miner Rio Tinto has failed to stop Australia's competition watchdog from considering a plan by Fortescue Metals Group to open up rail lines in Australia's Pilbara region to third parties.

Iron ore miner Fortescue says other mining companies should be able to use Rio's Hammersley rail line to transport ore to port.

Rio is against allowing third parties access to rail lines because it would cause bottlenecks and reduce the industry's efficiency.

But the country's Federal Court has now rejected that argument, writes Australia's ABC News.

The National Competition Commission is now considering the application by Fortescue.

The Pilbara rail system consists of more than 1,100km of railway, which transports about 110 million tons of ore every year across Western Australia.

Pilbara Rail is the largest privately owned and operated rail network in Australia.

By staff writer


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