Coal line upgrade draws mixed reaction

Last week saw the announced by Transnet Freight Rail (TFR) of an adjustment to the operational pattern of its 200-wagon train service that will, according to the company, see coal delivered from the mines to the Richards Bay Coal Terminal (RBCT) at a rate of 1.95 million tons per week by year end. While some industry commentators approached by FTW have greeted the news with some scepticism, Nosipho Siwisa-Damasane, CEO of RBCT, has welcomed the “Shongololo” (millipede) service. “We wish them every success,” she said. “We are strategic partners in the coal export value chain and will continue to work together to optimise the f low of export coal from SA.” Questioned about what impact the new delivery rate would have on RBCT’s stockpile, Siwisa-Damasane said: “In terms of stockpile area at RBCT, we have more than sufficient to efficiently manage the incremental tonnage.” But doubts about the TFR assurance of greater delivery tonnages was expressed by another party with an extensive knowledge of the coal delivery train service. “We’ll just have to wait and see what actually happens,” the contact said – pointing out that many previous promises by TFR had failed to come to fruition. Under the current scheduling, the coal line’s capacity has been boosted to 81m tonnes a year. With the new changes, the number of export coal trains per day will increase from 25 to a potential 32 trains weekly, and rail capacity for export coal will rise to 1.85m tonnes a week, a 30% increase, according to Shongololo project manager Pragasen Pillay. This would see an annualised delivery of 96m tonnes, he added. While this would exceed the current declared capacity at the Richards Bay terminal of 91m tonnes a year, as Siwisa-Damasane said, the stockpile area is sufficient to successfully accommodate this extra tonnage. If, that is, the TFR promise holds good. INSERT & CAPTION In terms of stockpile area at RBCT, we have more than sufficient to efficiently manage the incremental tonnage. – Nosipho Siwisa Damasane