The Railway Consultancy Ltd - Specialists in Planning Economics and Management

Minerals Terminal Feasibility Study

September 2004

With road congestion worsening, and EU directives on drivers' hours also beginning to bite, many freight customers are increasingly considering other modes of transport in their quest to bring supplies to market.

Following reference to our key text "Planning Freight Railways", the Railway Consultancy was approached by a major firm in the minerals sector who wished to supply their products more widely in Britain, and wondered whether rail could be a cost-effective part of their supply chain. We carried out an initial feasibility study into the cost of installing rail facilities at their current location. We then examined a number of scenarios for train and terminal operation at the site, and provided initial estimates of the cost and operability of these.

We concluded that a profitable railfreight solution was currently only attainable with grant aid, but that this situation was likely to improve over time. Variations in the regional prices of their products were as significant as the cost differential between rail and other modes.

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Last Modified: Wednesday, October 26, 2005