THE Argentine province of Salta has reintroduced regional services on the Belgrano Cargas metre-gauge line between the provincial capital Salta and General Güemes, 45km to the east.

BRAZILIAN bus operator EMTU says CAF has submitted the best proposal for a contract to supply 22 LRVs for the planned light rail line from São Vicente Barreiros Terminal to Valongo in Santos.

Rumo Logistics, a subsidiary of Brazil's Cosan group, has placed two orders worth a total of Reais 41m ($US 20m) for 200 sugar and ethanol wagons. The acquisition is part of Rumo's Reais 1.3 billion strategy to boost rail-borne sugar and grain volumes to 11 million tonnes by 2014.

FOLLOWING a five-year international arbitration hearing, Railroad Development Corporation (RDC), United States, has prevailed in its struggle with the Republic of Guatemala over the operation of the country's railway, Fegua, by its Guatemalan affiliate, FVG.

BRADO Logistics has signed two agreements that will support the expansion of its intermodal freight business in Brazil and Argentina.

BRAZILIAN mining giant Vale has been granted environmental licenses for its huge $US 19.5bn project (called S11D) to develop a new iron-ore mine at Serra Sul to the south of its existing Carajás mine and associated rail and port links.

THE government of the Brazilian state of Bahia launched the tendering process on June 21 for the construction, operation, and maintenance of Salvador Metro Line 2, together with an extension of Line 1.

BRAZIL'S policy of awarding concessions for the operation of defined networks or individual lines is set to change as the government plans to allow several operators to access four new lines that will be built in the south of the country.

AFTER 13 years of delay, Metrofor launched limited trial services on the first section of Fortaleza's Metro South Line on June 15.

PROGRESS Rail subsidiary EMD began locomotive assembly in Brazil at the end of May with the launch of production at its plant in Sete Lagoas in the state of Minas Gerais.