Outeniqua Choo-Tjoe up for sale
17 November 2009
The Outeniqua Choo-Tjoe, Africa's last remaining commercial steam locomotive service, is up for sale.
In an advertisement over the weekend, South African state company Transnet called for expressions of interest from parties wanting to acquire the Outeniqua Choo-Tjoe steam train service. The advert was placed in a George newspaper by the utility's financial adviser, PricewaterhouseCoopers.
The Outeniqua Choo-Tjoe is an iconic heritage steam train service that initially started operating between George and Knysna on a line officially opened in 1928. In 2006, severe storms in the southern Cape caused extensive damage to the George-Knysna railway line, resulting in rail operations being discontinued.
The Outeniqua Choo-Tjoe service is now operated between the Outeniqua Transport Museum in George and the Dias Museum complex in Mossel Bay.
"The assets used in the operation of the service include steam locomotives, carriages, spare parts and supporting equipment and infrastructure," Transnet said in the advertisement.
"It is envisaged that initially the use of the assets will be transferred to the successful private party on a lease-lend basis."
Ultimately, subject to heritage legislation and authorisation, full ownership of the assets would be transferred to the private party.
Interested parties had to be able to demonstrate they had the necessary skills and experience to finance, own, operate and manage heritage steam locomotives and rolling stock, or similar heritage and/or tourism assets.
"It is anticipated that the private party will pay an access charge to Transnet for the use of the George-Mossel Bay railway line," Transnet said.
A separate call for expressions of interest would be issued regarding the George to Knysna route, whereby proposals from interested parties will be invited.
Sapa
