Page 51 - Case Study Annual 2018

LAA Bronze Award
Mandlazini Back of Port
facility alleviates congestion
The establishment of the Mandlazini Back of Port facility in Richards Bay has reduced logistic
challenges in the supply chain and created opportunities to improve effi ciency and reduce costs.
The challenge
Richards Bay is one of the main harbours
that facilitates bulk mineral cargo handling
onto vessels for overseas export, however, ‘in
port storage’ has been an issue due to space
constraints. A solution was needed whereby
the extra loading and berthing capacity of the
port could be used, but without storing the
material on site.
Various commodities are exported
through the dry bulk terminal (DBT), which
puts pressure on the DBT and decreases
its efficiencies as well as turn-around times
of trains. Chrome ore demand for export is
growing, and there are capacity limitations.
The solution
To solve this problem, Unathisiyanda Logistic
Services (ULS) developed the Mandlazini Back
of Port facility with Transnet. ULS staffed the
project with 21 employees from the Richards
Bay area, used local Richards Bay suppliers
and invested R43m in the project.
Instead of material being placed on the
ground at the port, it is brought by rail to the
BOP operation, where it is stockpiled until
there is sufficient cargo for loading onto a
vessel. The facility was placed strategically
at a Transnet siding to enable full loads of
product to be transported in bulk trains to the
facility.
The Logistics News Case Study Annual 2018
The development of the off-site area was
commissioned at the end of 2017. By the
end of March 2018, 39,150 tons of chrome
were railed to the Mandlazini Back of Port
facility, taking 1,151 trucks off the road, and
12,300 tons were exported. This volume was
diverted to the site for pre-assembly of future
shipments, and did not move directly to the
port due to port congestion.
It is expected that turn-around of rail
wagons will improve by over 10 percent,
having a significant impact on costs and
capacity available. Currently, 16,400 tons
of manganese have been railed to the
Mandlazini facility.
Close co-operation between exporter,
shipping lines, Transnet Freight Rail and
Transnet Port Terminals was key to the
success of the project.
The way forward
Plans are already underway to utilise other
areas for similar facilities. The teams will
continue to refine the planning and tracking
daily activities to ensure that they maximise
the use of space and resources.
The next phase of the project is the
development of a shuttle service from
Mandlazini via lowbed rail wagons to the
port to increase efficiencies from the current
trucking operation to the vessels. •
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