An autonomous Rio Tinto iron ore train with 30 wagons derailed on Saturday in Western Australia, without causing any human damage. This Monday the company was engaged in removing the wagons and debris. Analysts say the incident has the potential to disrupt its exports.
"The incident involved a loaded train, with approximately 30 derailed wagons. Work to recover the derailed wagons has already begun," said a spokesman quoted by Reuters.
The incident is likely to have destroyed the rails of one of the mining company's two lines to the export ports, said David Lennox, of wealth manager Fat Prophets in Sydney, which owns shares in Rio.
Rio exports from the port of Dampier and via Cape Lambert, in the northern part of the state of Western Australia. It was not immediately clear whether train schedules to both locations or Rio's shipments to customers would be affected.
It usually takes less than a week to clear destroyed tracks, analysts said, adding that Rio would probably be able to cover shipments from the port's warehouses by then.
The incident caused the company's shares, including those of other iron-working companies, to fall by 1.2%.
Leave a Reply