UGL secures $297M locomotive manufacturing contract

locomotive manufacturing contract

CIMIC Group’s engineering company UGL has been awarded a $297 million contract to design, manufacture and supply new fuel efficient diesel electric locomotives to Pacific National over a period of seven years.

The company will manufacture the locomotives in Newcastle, New South Wales.

The C44 Evolution locomotive is being dubbed as the “the most technologically advanced, fuel-efficient, and environmentally compatible diesel electric locomotive in Australia”.

“Pacific National has a strong focus on improving the efficiency of its locomotives and its environmental performance. We’re pleased to support this strategy by delivering locomotives that lower emissions and operating costs, with improved productivity, reliability and availability,” said  CIMIC Group Executive Chairman and Chief Executive Officer Juan Santamaria in a media release.

According to UGL Managing Director Doug Moss, the C44 Evolution locomotive is one of a kind in Australia.

“UGL’s unique position as Australia’s only manufacturer and maintainer of Australian-made locomotives allows us to ensure a strong home-grown supply chain and ongoing local employment. We look forward to continuing our strong relationship with Pacific National through the delivery of these locomotives,” he added.

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