Etihad Rail has penned a memorandum of understanding (MoU) with UAE-based quarrying firm, Bin Lahej Crushers.
Bin Lahej – a company that delivers quarry products across the Emirates – contends that the deal will serve to strengthen its distribution network.
The MoU is the latest in a series of distribution-related agreements signed between Etihad Rail and the players from the UAE’s quarrying, crushing, and construction sectors.
“Etihad Rail is a strategic initiative committed to supporting business and economic growth in the UAE,” said Faris Saif Al Mazrouei, CEO of Etihad Rail.
“By partnering with companies such as Bin Lahej Crushers, the national rail project will tremendously improve the logistics networks of key business sectors and revolutionise the transport of goods in the country,” he added.
Under the terms of the agreement, the UAE’s railway network will be used to transport more than 4.5m tonnes of quarrying materials from Bin Lahej Crushers’ Tawyeen-Fujairah site to Etihad Rail distribution and export terminals across the country. This will account for approximately 9% of the total annual aggregate flow that the rail network will transport from the Northern Emirates once Stage Three of the project – a 279km section designed for the transportation of bulk commodities – is operational.
“The agreement with Etihad Rail will allow us to better serve our customers’ evolving business needs by providing faster and more reliable transit, and allowing us greater capacity to carry larger quantities at a single time,” commented Mohammed Saleh Mohammed Bin Lahej.
“Rail will also lower our overall transport costs, improving the company’s operational efficiency significantly,” he explained.
Once completed, Etihad Rail – the UAE’s national railway network – will span 1,200km across the Emirates. It will also form a vital part of the GCC Railway Network, linking the UAE to Saudi Arabia and Oman.
