|Asciano secures Centennial coal haulage contract|
|Thursday, 30 September 2010 10:20|
Asciano has secured a long term take or pay contract with Centennial Coal, in New South Wales.
The contract is a renewal contract that will see the company's subsidiary, Pacific National, haul 4.5 million tonnes of coal from Centennial's mines in the southern and western coalfields regions of NSW for the next ten years.
According to a company statement released today, the contract will generate about $550 million in revenues over the life of the contract and achieves Asciano benchmark returns over that period.
Asciano chief executive offcier and managing director Mark Rowsthorn is pleased with the confirmation of the contract as it demonstrates the company's ability to retain customers through good service and operating expertise.
"Centennial Coal is a long term customer of Pacific National and has solid growth prospects ahead. We look forward to growing our partnership with Centennial and continuing to deliver superior quality of services for the long term," he said.
In addition to the contract with Centennial Coal, Asciano has also recently executed three long ter,. take or pay contracts with Austar, integra Coal and Muswellbrook Coal Company.
All three contracts are renewals of existing Pacific National Coal volumes and include additional growth tonnages over the life od the contracts. The contracts will generate in excess of $275 million of combined revenue and achieve Asciano's benchmark rate of return.
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