KiwiRail enters into bulk fuel supply contract

01 November 2012 2:02PM

KiwiRail announced today the entry into a bulk fuel supply contract with Mobil Oil New Zealand Limited for the supply of diesel and associated services to KiwiRail.

The contract has an initial term of five years from 1 October 2012. The parties may agree to extend the term for a further five years.

The total value of fuel supplied during the initial term will be dependent on the volume of fuel used by KiwiRail and fuel price movements, but is anticipated to be in the range of approximately $435 million to $495 million in aggregate over that five year period.

This announcement is released in accordance with the KiwiRail’s continuous disclosure policy - consistent with the Government’s Continuous Disclosure Rules for State Owned Enterprises.

ENDS

Media Contact: Kimberley Brady, Communications Manager, 021 942 519