The planned fleet reduction, which includes a 12% cut to its wagon fleet, will be booked as a pre-tax estimated $A130-150 million asset impairment for this half year but is expected to yield longer-lasting operational efficiencies.

Separately Aurizon plans to write off another $47 million in pre-tax impairments relating to strategic projects such as the terminated Surat Basin rail joint venture in Queensland since Glencore Xstrata shelved its Wandoan greenfield coal project.

The impairments also include the reduction of Aurizon’s options for Galilee Basin rail development since the Queensland government prioritised GVK Hancock’s rail plans there over other proposals.

The rail operator, which coal and iron ore haulage growth for the five months ending in November, also revealed it had clocked up an 248 voluntary redundancies since July.

“This means that since initial public offering, more than 2000 people have left the company, a reduction of more than 20%,” Aurizon said.

“As part of the next step in our transformation journey we are reshaping our operations and fleet for significant productivity and efficiency improvements to deliver better value to shareholders,” Aurizon CEO Lance Hockridge said.

“The safe and disciplined execution of our transformation programs and operating plan, with a heavy focus on productivity, will deliver our financial and operational targets.”