Australian Competition Tribunal declares access to railway lines in the Pilbara

The Australian Competition Tribunal announced on 1 July 2010 that it would declare access to two privately-owned railway lines carrying iron ore from the Pilbara region in Western Australia to the coast for export.

Fortescue Metals Group Ltd (FMG) seeks access to railway lines operated by BHP Billiton (BHPB) and Rio Tinto Iron Ore (RTIO). The first step in seeking access is to have the lines declared. BHPB and RTIO vigorously opposed the applications for declaration. The Tribunal decided to declare the Goldsworthy Line (BHPB) and the Robe Line (RTIO); but it decided not to declare the Mt Newman Line (BHPB) and the Hamersley Line (RTIO). The tribunal decided that the risks of access were greater for the two lines not declared.

Frontier (Australia) advises RTIO.

For more information, please contact Marita O’Keeffe at m.okeeffe@frontier-economics.com or call on +61 (0)3 9620 4488.

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