EDI Rail guarantees regional PPP employment

Tuesday, 14 November 2006

Downer EDI Limited (Downer EDI), a leading engineering services group, has had two major successes recently in the Hunter, confirming its position as one of Australia's premier infrastructure providers.

As part of the Reliance Rail consortium, Downer EDI was selected as the preferred tenderer for the $3.6 billion New South Wales Government's Rolling Stock Public Private Partnership (PPP) to finance, design, manufacture and maintain for 30 years 72 available eight-car train sets for the CityRail network.

In addition, Downer EDI's mining division, Roche Mining (Roche), has negotiated a new $150 million alliance agreement with long-standing client Xstrata Coal which will see the development of two new Coal Handling Processing Plants to service Xstrata Coal's Mt Owen and Liddell operations in the Hunter Valley, New South Wales.

EDI Rail, a core contractor for the NSW PPP rollingstock project, is committed, not only to the continued economic development of the Hunter, but has also announced its commitment to facilitate the continued training and development of any displaced Hunter United Group Rail apprentices within the industry via the HunterNet Group Training Company.

In addition to this, EDI Rail will give recruitment preference to any displaced Hunter United Group Rail employees as a result of the award of the contract to Reliance Rail.

Already with a major presence in the Hunter, EDI Rail is responsible for the design, manufacture and commissioning of the NSW PPP rollingstock and train simulators, as part of a joint venture with Hitachi.

Employing up to 290 people at the newly refurbished Cardiff facility from late 2007 ? 2013, including approximately 250 tradespeople and 40 support staff, EDI Rail will exceed the NSW Government's requirement for 20% local content on the project.

EDI Rail is a division of Downer EDI. Downer EDI is currently the second largest manufacturing employer in the Hunter region with in excess of 1100 employees.

EDI Rail (www.edirail.com.au) is Australia's leading provider of rollingstock and associated maintenance, offering services in the design, manufacture, refurbishment, overhaul and maintenance of diesel electric locomotives, electric locomotives, electric and diesel multiple units, rail wagons, traction motors and rollingstock and related services.

Downer EDI (www.downeredi.com) is an Australian top-100 company, which provides comprehensive engineering and infrastructure management services to the transport, energy, communications and resources sectors in Australia, New Zealand and Asia.

Contacts:
John Shuey, General Manager, Corporate Affairs, (02) 9240 9000 or 0413 705 491 Investors: Ross Moffat, General Manager, Investor Relations (02) 9240 9042 or 0412 256 224

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