Green Cargo and SSAB reach five-year agreement
SWEDEN: Following a 1½ year procurement process, high strength steel steelmaker SSAB has awarded Green Cargo a contract to move around 3 million tonnes/year of ingots and finished products between its plants in Luleå, Borlänge and Oxelösund, and to provide shunting services at the Borlänge and Oxelösund sites. The contract is set to run for least five years from January 1 2020.
Green Cargo said 16 Transmontana heavy freight locomotives being delivered by Softronic would enable it to provide more efficient and reliable services in the future, transporting the same volume of steel as at present but using 200 fewer trains per year. This would make operations more efficient and make better use of infrastructure capacity.
‘The Stålpendel lines are enormously important, and are integrated into our production flow’, explained Rickard Backlund, Senior Manager, Logistics at SSAB. ‘Our future production apparatus will be more flexible, and the need for transportation between and out of the plants will vary over time to a greater extent than previously, over both the short and long term. That is why we need a transportation system like Green Cargo’s, which can handle these variations with a high degree of reliability and flexibility.’