Subscribe to RSS feedUnited Group, GE settle on major rail deal
United Group (UGL) and GE Transportation have signed a series of 10-year agreements for the sale and distribution of locomotives and associated technology and services in Australia, UGL said on Friday.
The partnership extension between Australian engineering firm UGL and the General Electric subsidiary represents a vote of confidence in the country's resources and rail freight sectors.
The firms estimate the annual value of their relationship to be $300m, based on forecast sales of $150m in spare parts, maintenance and support services and a further $150m in new locomotives.
UGL Rail will remain the Australian distributor of GE’s US heavy-haul locomotives, including the energy and emissions efficient Evolution Series.
UGL Rail will continue to provide spare parts, maintenance and servicing to GE locomotives and will design and build locomotives in Australia using GE technology.
"GE Transportation is pleased to announce this relationship with UGL to service our mutual customers in Australia with the most technologically advanced heavy-haul locomotives in the world," GE Transportation president Lorenzo Simonelli said.
"Together, we’ve been able to increase hauling power for customers while reducing fuel consumption and emissions.
"Today’s announcement is a testament to our commitment to Australia’s rail infrastructure."
Approximately 500 locomotives from GE Transportation and UGL Rail are currently in use throughout Australia.
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