GB Railfreight commences 12-year contract with Celsa Steel UK

Credit: GB Railfreight

GB Railfreight (GBRf) has announced the commencement of a new 12-year contract with Celsa Steel UK, the largest manufacturer of steel reinforcement in the UK and one of the largest producers of other long steel products.

Building upon an existing relationship of 10 years, GBRf will provide internal shunting services for Celsa Steel, including a supply of remote-control shunt locomotives, train crews and ancillary services. There will also be a dedicated team of shunt crews operating shunt movements on a permanent basis to ensure the smooth-running of the service.

As part of the contract, all internal rail movements will be undertaken by GBRf, including the transportation of inbound scrap metal for steel production, hot billets for processing into finished goods and outbound movements of finished products. Furthermore, GBRf will assist Celsa with managing internal track and wagon maintenance assessments that are vital in keeping the service operational.

This is further evidence of the resilience and flexibility of what GBRf can offer to a variety of industries within the UK. The contract also marks a commitment from GBRf and Celsa to assess more environmentally friendly alternatives for locomotive supply to be explored as part of the contract, demonstrating a clear commitment to continue work towards a decarbonised transport system.

John Smith, Managing Director of GB Railfreight, said: “I am delighted to announce that we are expanding on our relationship with Celsa. We have a strong relationship going back many years, and we are delighted to continue it until 2033. This service will be a vital part of the UK’s steel industry, which we are incredibly proud to be supporting. In addition, the shift to rail freight is a vital part of decarbonising our transport system. Our partnership with Celsa shows our commitment to using innovative solutions to reach the ambitious target of net zero emissions by 2050, and we hope to build on this going forward.”

Luis Sanz, CEO and Managing Director of Celsa Steel, said: “Celsa Steel has been part of the Cardiff industrial landscape for the last two decades and intends to build on our strong business foundations for many years to come, providing vital low carbon steel products for numerous construction projects throughout the UK. Our success is guaranteed through strong partnerships with those who want to come on our exciting journey and this long term contract with GBRf represents another step on our path to sustainability. We can be proud of our heritage and we look forward to overcoming challenges together as we work to enhance our business and eliminate our carbon footprint.”