Two multi-million pound investments will be delivered by British Steel after it won a major supply contract extension with Network Rail.
A new storage facility for long-length rails and a dedicated train servicing facility for the delivery transport will be built on the Scunthorpe site, after the two-year bolt-on deal was secured.
It means that by the time the latest contract comes to an end in 2024, the North Lincolnshire team will have supplied more than one million tonnes of rail in a decade - enough to cover 19,000 km.
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The deal sees British Steel retain its position as principal supplier to the company which operates and maintains Britain’s rail infrastructure.
British Steel’s commercial director for rail, Craig Harvey, said: “We’re extremely proud of our partnership with Network Rail and delighted to have extended our contract with them.
“This agreement is testament to the high-quality products and services our people deliver, and we look forward to continuing our work with Network Rail to ensure millions of passengers and freight operators enjoy safe, enjoyable and timely journeys.”
Work will start shortly on the new storage - capable of holding rails 108m in length - and servicing facilities. It comes as 80 vacancies at apprentice and graduate level have been created.
Mr Harvey said: “These investments are an excellent example of how we’re working in partnership with our customers to help them overcome the challenges they face.
“The first facility will provide increased storage of long length rails, which is key to providing flexibility, while the servicing facility will increase reliability and performance for trackside deliveries.”
The contract will run to the end of what is deemed Network Rail’s Control Period Six, its five-year plan to maintain and improve railways. It is designed to make the railway more reliable and cost efficient while increasing capacity and building on its reputation as the safest in Europe.
A spokesperson for Network Rail said: “We are pleased to continue our long-running relationship with British Steel. The supplier plays a significant role in delivering our track maintenance, renewal and enhancement activities.
“Further investment in the Scunthorpe site enables improved resilience and performance to support the provision of a safe and reliable network for passengers and freight users.”
The rails will largely be used for maintenance and renewals and it includes HP335 and Zinoco - long life rail that reduces maintenance needs and replacement works.
HP335 was approved by Network Rail in 2012 after extensive trials and was designed to cut lifecycle costs through reduced grinding frequency, reduced wear and extended rail life.
It is the premium rail of choice in the UK mainline network and many light rail operators have also adopted HP335 as their high-performance rail solution.
Zinoco is a corrosion protected rail designed to greatly extend rail life in aggressive environments such as level crossings, tunnels and coastal regions. Its success has led to a recent expansion in production facilities. It was the first innovation brought to market when it returned to the British Steel name in 2016.
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