GB Railfreight And Sibelco Extend Contract

GB Railfreight has announced that it has invested in new wagons in order to meet a contract extension with Sibelco Europe in the UK. The contract has been extended by a further five years, during which time GB Railfreight will provide freight services for Sibelco’s silica sand until December 2022.

GB Railfreight Sibleco Extend Contract

© GB Railfreight

In order to meet the terms of the contract, GB Railfreight will lease 41 new 101.6 tonne hopper wagons from Nacco Leasing for a minimum term of five years, with an option to extend. The wagons will be constructed by Polish company Greenbrier. The new wagons will enable GB Railfreight to double their carry load, from 36 tonnes per wagon to 70 tonnes. They will also operate on more efficient and track-friendly bogies, and they will enable easier maintenance operations to be carried out.

The contract extension will come into force in August 2017, when the new wagons will enter service. GB Railfreight will continue to move silica sand from Sibelco’s quarry in Kings Lynn, Norfolk, to Guardian Industries’ UK plant in Goole, Yorkshire, and Ardagh Group’s UK glass sites in Barnsley and Doncaster.

John Smith, Managing Director of GB Railfreight, said:

“GB Railfreight recognises the challenges that the freight industry currently faces and that, in order to create sustainable growth, modern and innovative solutions are needed for our customers.

“This contract extension with Sibelco is a primary example of close working between ourselves and the customer to better understand what is needed to improve services. In this case, it was agreed that we would invest in new-build hopper wagons to increase capacity and efficiency.

“I am delighted that Sibelco has agreed to work with us for another five years, and we will continue to evaluate how we can boost our offering and ensure rail freight remains competitive.”

Andrew Smith, UK Logistics Manager of Sibelco Europe, said:

“We are delighted to have finalised this supply agreement and contract extension with GB Railfreight, who we have worked successfully with since 2014. The glass industry is incredibly important to Sibelco and maintaining the high quality of our product and service is critical, these new wagons will enable us to supply our customers with confidence for the future.”

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