British Steel will supply Network Rail with over 200,000 tonnes (4,000km) of rail with the two-year extension. More than half-a-million tonnes (9,000km) of rail will already have been supplied by British Steel when the companies’ current five-year contract finishes in March next year.
Ron Deelen, British Steel’s chief marketing officer, said: “This is excellent news, not only for British Steel but the millions of people who use the UK’s rail network.
“During the course of the last five years we’ve worked extremely closely with Network Rail, ensuring the on-time delivery of half-a-million tonnes of high-quality rails in lengths of up to 216m.
“Together we’ve helped find solutions to the challenges they face, enabling us to develop and install new products which reduce the need for costly and time-consuming maintenance and replacement works. This allows more traffic with less rail maintenance – major benefits for passengers and freight operators and provides Network Rail with excellent value for money.
“We enjoy an excellent partnership with Network Rail and over the course of the current contract, and the new one, we look forward to further strengthening that and ensuring Britain’s railways remain on the right track.”
Over the last four years, British Steel has delivered 98% of rail to Network Rail on time, in full.
Rob Morton, supply chain operations director, Route Services, Network Rail, said: “We are proud to extend our historic relationship with British Steel for a further two years. It is pleasing to see two British organisations trading for mutual benefit and for the benefit of the wider British economy.”
He concluded: “This new deal is an example of how we continually review our sourcing options to provide the safest network and maximise value for money for the British taxpayer. We look forward to working together closely with British Steel over the coming years, continuing our innovative and constructive partnership.”
