CIMIC's UGL Secures $297M Locomotive Manufacturing Contract

CIMIC Group’s UGL has been awarded a contract to design, manufacture and supply new fuel efficient diesel electric locomotives for long-standing client, Pacific National.

The contract will generate revenue to UGL of approximately $297M over seven years and solidifies UGL’s position as Australia’s only manufacturer of freight locomotives.

The C44 Evolution locomotives will be the most technologically advanced, fuel-efficient, and environmentally compatible diesel electric locomotives in Australia and will be designed and manufactured in Newcastle, New South Wales.

CIMIC Group Executive Chairman and Chief Executive Officer Juan Santamaria said: “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.”