The directors are pleased to advise that Cockatoo Coal Limited has signed a new long term rail haulage contract with QR National, which secures the transport of coal from the expansion of the company's Baralaba Complex in the Bowen Basin.

The 10 year contract secures an additional 3.0 million tonnes per annum of coal to be railed by QR National to the Wiggins Island Coal Export Terminal from 2014 and an extension of an existing contract for 0.5 million tonnes per annum to be railed by QR National to the RG Tanna coal terminal at Gladstone.

This expanded rail haulage contract provides some freight cost reductions due to additional economies of scale and dovetails with the company's 3.0 million tonnes per annum allocation to a port entitlement with Stage 1 of WICET. This completes the infrastructure solution for the planned expansion of the Company's Baralaba Complex in the Bowen Basin.

Source - Cockatoo Coal Limited

(www.coalguru.com)