Transnet Freight Rail (TFR) and global leader in packaging and paper manufacturing Mondi South Africa have entered into a private sector participation (PSP) pilot project to improve efficiencies in the rail operations that service the business.
TFR currently transports Mondi’s inland-grown timber to the company’s Richards Bay mill for processing.
“The pilot project seeks to explore sustainable rail solutions to address current operational challenges,” TFR and Mondi announced in a joint statement on Friday.
“The project is still exploratory by nature and its outcomes and next steps are yet to be determined.”
The statement noted that the recent viewpoints and comments a Mondi employee had posed on social media about the project were “regrettable and do not represent Mondi’s view”.
Mondi posted revenues of €8.9 billion (R178bn) in 2022 and underlying Ebitda (earnings before interest taxation, depreciation and amortisation) of €36bn from continuing operations. The company employs 22 000 people worldwide and is a premium listing on the London Stock Exchange (MNDI), where the Group is a FTSE100 constituent, while it also has a secondary listing on the JSE Limited (MNP).
