Gindalbie Metals Limited (ASX:GBG) has signed a key rail access agreement for the Karara Iron Ore Project in Western Australia.
The Karara joint venture company has signed a long term agreement with WestNet Rail, the lease-holder and operator of the existing rail line.
WestNet will spend $450 million upgrading the rail line to Geraldton. The access agreement is 15 years in duration.
The rail upgrades will progress in line with Karara’s ramp-up schedule, reaching full capacity in December next year.
In the first six months of the 2011 financial year Gindalbie Metals recorded a net profit of $313,000
