United Group confirms new locomotive supply

Leading services company, United Group Limited will supply thirty locomotives....

Leading services company, United Group Limited will supply thirty locomotives to Pilbara Iron – a member of the Rio Tinto Group – with the total value expected to be approximately $150m, plus additional revenue from maintenance and spare parts supply.United Group Rail recently delivered 10 of the latest GE-Transportation Evolution Series locomotives to Pilbara Iron, with further deliveries to follow. United Group’s Managing Director and CEO, Richard Leupen said the additional supply indicates the wide appeal of the GE-Transportation product and that demand in the rail sector remains robust. “We have noticed that customers are taking a longer-term view of supply of essential infrastructure such as locomotives. “Instead of ordering small quantities of product when required, we are working with our customers to arrive at longer-term manufacture and supply agreements where there is greater certainty over product availability,” Mr Leupen said. “The strength of United Group’s forward sales pipeline is the most active in the Group’s history,” he said. “United Group currently has a further $4b of active tenders currently underway in the rail, infrastructure, resources and property services sectors.”