AUSTRALIAN rail equipment manufacturer Gemco Rail has cemented its presence in Western Australia after building its first iron ore wagon for Rio Tinto at its new manufacturing plant in Karratha – the first rail wagon made in the Pilbara region.
Gemco will now build 60 cars for Rio Tinto at the Karratha facility, which will create new opportunities for local manufacturing, generate jobs and expand training pathways in the Pilbara. The new deal for Rio Tinto comes after Gemco built 40 wagons for the miner at its Perth facility earlier this year.
The new manufacturing plant and contract to build the 60 wagons has been backed by a $6.9 million investment from the WA Government’s Local Manufacturing Investment Fund to support its Made in WA program.
Gemco Rail chief executive officer Dean Draper said the company was pleased to deliver on its commitment to expand operations into the Pilbara region of Western Australia.
"Establishing a manufacturing presence in Karratha strengthens our ability to work closely with customers, enhances supply chain resilience, and supports regional industry while creating employment opportunities,” Mr Draper said.
"The Gemco team remains focused on supporting our customers and building capability within our local workforce to deliver high-quality, sustainable rail solutions."
Rio Tinto Iron Ore chief executive Matthew Holcz said the miner was “thrilled” to be working with partners to bring iron ore wagon manufacturing to the Pilbara for the first time.
"Our WA operations haul more than 300 million tonnes of iron ore across almost 2000 kilometres of rail tracks every year,” Mr Holcz said.
"Local manufacturing strengthens not only our business, but it also empowers local communities, supports regional jobs and creates new economic opportunities in the Pilbara."