The NSW Government has announced Laing O’Rourke has won the $13-million contract for the construction of a new rail siding at Wumbulgal in the Riverina.

Work is set to begin this month on the project that will deliver a 1500-metre, multi-user rail siding between Griffith and Leeton.

The news comes more than two years after the former state government first announced a project to construct two rail sidings at Wumbulgal at an estimated cost of $19M.

It is unclear how the project scope has changed since it was announced in February 2023 or what was the cause of the delays.

The $13M siding project will allow trains up to 1.5km long to load, park or pass others without disrupting the main line – boosting capacity and improving efficiency on the track section between Coolamon and Griffith.

The upgrade also sets the groundwork for future connection into the proposed Western Riverina Connect (WR Connect) intermodal freight terminal, a project being developed by Griffith and Leeton councils.

Minister for Regional Transport Jenny Aitchison said the work was a major step forward in improving reliability for both freight and passenger services across the region.

“Modern, efficient rail infrastructure like this siding at Wumbulgal means better outcomes for farmers, businesses and communities, and the Minns Labor Government is committed to strengthening regional freight networks now and into the future,” Ms Aitchinson said.

“This investment is part of our wider commitment to regional transport infrastructure – reducing bottlenecks, unlocking economic potential, and supporting jobs and industry across the Riverina.”

Member for Murray Helen Dalton said the siding would not only improve safety but also productivity for the region.

“The Wumbulgal rail siding addresses a key freight bottleneck, cutting grain loading times and stimulating investment in faster loading infrastructure,” Ms Dalton said.

“It’s a major win for Riverina producers and the wider regional economy.

“By improving freight capacity and reducing delays, we’re helping our local agricultural sector thrive – while taking pressure off local roads and improving safety for all motorists.”

It is expected grain handling company, AgConnex, will be a beneficiary of the upgraded siding.

Formerly known as Grainlink, the company has a grain site at Wumbulgal which has rail line access.

When the initial project was announced, former Grainlink managing director Dean Salvestro said the works would improve processes at the Wumbulgal site.

“Currently, it can take up to eight hours during mainline loading of bulk and container trains several days per week,” Mr Salvestro said.

“The new siding will improve capacity and allow loading activities to proceed without impacting other services on the Junee-to-Griffith Line.”