GLOBAL RAILWAY ENGINEERING (Pty) Ltd. GRE has extensive experience in bogie design and especially in the concept of Self-Steering. Rowlen and Linden have worked with Dr Scheffel during the development phase of the Scheffel Bogie. Some of the original patents carry Rowlen’s name GRE design Self Steering bogies for all gauges and axle loads (e.g. 37.5t/axle and 1600 gauge for Brazil)

SCHEFFEL BOGIE PRODUCES SAVINGS & CARBON CREDITS Using 30 years of experience in South Africa, GRE can now calculate the savings for any line. Carbon Credits is a new form of currency which is the fastest growing financial business in the world right now. This is a new opportunity for GRE, as the Self-Steering bogie has now qualified for Carbon Credits.

Railway Design Engineer Global Railway Engineering By: Linden Bradfield Railway Design Engineer Global Railway Engineering Email: linden@globalgroups.org Mobile: +27 83 269 1243 Tel: +27 11 230 1900 [You can leave this page out if you like. But maybe you shouldn’t, because you can always blame me if you cannot answer a tricky question around something I have said. - up to you]

INTRODUCTION PRINCIPLE OF SELF-STEERING Pure Rolling - Radially aligned Axles Flange steering - Axles held parallel 2. A SPECIFIC EXAMPLE Using TFR’s 30 years experience with Self-Steering Bogies Simulation - $avings Converting this to Carbon Credit value 3. CONCLUSION We briefly discuss the very basics of Self-Steering as apposed to Flange- Steering In South Africa the Self-Steering Bogie has been running for over 30 years. Approximately 90% of all SA freight is moved on Scheffel Bogies. Over the years information on Rail, Wheel and Fuel savings, Higher Stability, improved Derailment Stability, etc has been established. GRE has used Transwerk Freight Rail (TFR) experience and compiled a simulation package which translates into “Bottom Line” savings and pay-back. GRE has now also been successful in getting the Self Steering Bogie accepted for Carbon Credits by the Carbon Fund. This has great advantage from both a Financial point of view (the client can sell the CC’s to the bank); as well as Political Advantage - as the client can show that government that their selection is reducing the country’s Carbon Footpring. 3. Conclusion: [this you might do best at structuring to meet your understanding of your client - mine was just to show that we have a politically correct “Green “ bogie

SELF-STEERING BOGIE BASIC PRINCIPLE

Self Steering Bogie This video clip helps one to see just how different the Self-Steering bogie is from a normal Non-Steering bogie. The Bolster, Side Frames, Brake Beams and Wheelsets are very similar. But the STEERING MECHANISM is the big difference. ( see all the red parts) This is made up of the Shear Pads, Adaptor SubFrames and Cross Anchors.

- showing Steering Components in RED “Steering Mechanism” Adaptor Sub-Frame & Cross-Anchors Shear Pads “Steering Mechanism” is actually a misnomer, as Steering is done by the wheel tread conicity. The Mechanism actually provides stability, prevents Hunting and the Shear Pads allow the Wheelsets to take up Radial Positions to provide “Pure Rolling”. Self Steering Bogie - showing Steering Components in RED

Axles Radially Aligned Axles Rigidly Paralell RADIAL ALIGNMENT Axles held rigidly parallel “Pure Rolling – Steer” Axles Radially Aligned “Flange – Steer” (Sliding/Grinding) Axles Rigidly Paralell Axles point towards centre of curve When a single Wheelset is rolled through a curve, it can do so without making flange contact. The wheelset rolls Freely – called “Pure Rolling”. But the axle must be Radially Aligned (pointing towards the centre of curvature) for this to occur, otherwise the flange will strike the rail and grind to a halt. The Self Steering bogie uses the radially aligned principle and both axles always point towards the centre of curvature and wheels are in “Pure Rolling”. The axles of a conventional Non-Steering Bogie are held rigidly parallel and cannot take up the Radial Position. Neither axle can point towards the centre of curvature. On entering the curve, the flange of the leading wheel strikes the outer rail and all wheels go into a sliding motion. The nett force at each contact point between rail and wheel is shown as µQ. The components of these forces can be seen to produce a rotation of the bogie in the reverse direction, increasing the Angle of Attack. This creates even higher Flange force. The flange grinds against the rail with force P and the treads Slide over the rail crown with force µQ. The result is high wear to rail and wheel in curves. Note: If a bogie is called a “Steering Bogie” but the axles are held parallel, then this is NOT a Self-Steering Bogie. The wheel wear for such a bogie (No-Steering) is high and flange Grinding wear and tread Sliding wear is obvious. However for a Scheffel bogie and for the same ton km, shows very little wear on the tread and virtually zero flange wear. Note: Pure Rolling can only be obtained if the axles are allowed to be Radially positioned. [In reality creep forces are generated by the Shear Pad spring stiffness and near-radial positions are obtained] Note: Axles that are held rigidly parallel cannot point towards the centre of curvature and must use their flanges to steer. These bogies are NOT self-steering.

TFR’s EXPERIENCE OVER LAST 30 YRS TFR experience over the last 30 years clearly shows one of the major advantages of using a Scheffel Bogie. Fig.1 shows the wheel wear after only 38 000km on a non-steering bogie. High Flange wear is observed. Fig.2 in contrast shows the wear on a Scheffel Bogie under identical conditions but after 500 000km. No flange wear and slight tread wear is observed 2. Acknowledgements to Dr Frohling and the paper from which this is taken Acknowledgement: Dr R D Fröhling “Strategies to control wheel profile wear” Transwerk Freight Rail, South Africa (TFR)

WHEEL WEAR Acknowledgement: In an attempt to understand the wear distribution Dr Frohling simulated wear rate over the wheel tread for a Steering Bogie (Soft Suspension – Black Trace) and compared it with a bogie that has the axles held parrallel with a Stiff Suspension (Non-Steering bogie – Green Trace). Overall, the wear rate of the non-steering bogie is seen to be significantly higher. At the flange throat, the Steering Bogie is zero. The paper from which this is taken. By dividing the one into the other a Wear Rate Factor is obtained. At the flange throat it can be observed that steering bogie is infinitely better and in the tread area about 5.5 times better. Acknowledgement: Dr R D Fröhling “Strategies to control wheel profile wear” “Wear Rate Factor” compares rate of wear of a non-steering to a self-steering bogie over wheel tread. Over Taping Line regeon WRF=5.5 and at Flange WRF tends to infinity.

RESULTING FROM FLANGE-STEERING RAIL WEAR RESULTING FROM FLANGE-STEERING Wear Angle Although we focus on wheel wear, the greatest losses when using non-steering bogies, lies in Rail wear. The flange “Grinding” away at the outer rail in curves, rapidly wears away the rail inner face. Typically the outer rail will last 70 million gross tons. Whereas for a Scheffel bogie the outer rail is found to last in the order of 3 billion gross tons (some 40 times longer) The Inner Rail wear pattern confirms the sliding theory. As the wheelset is pushed across its sliding motion drags the rail crown over towards the inside of the curve forming the conclusive lip.

ADVANTAGES OF SELF-STEERING Increased wheel life ( x 5.5) Increased rail life ( x 40) Higher stability and speeds (10%) Higher Derailment Stability - Flange related derailments eliminated (100%) Reduced fuel consumption (4 - 5%) Higher availability of rolling stock (lower maintenance) - (9%) 1 and 2. are as discussed The Scheffel bogie is designed to be stable to up to speeds in excess of 120km/h. This allows trains to be operated at higher speeds, which in turn reduces turn-around-times and hence also the required fleet size An advantage of “Off-Flange” steering (near pure rolling) is that all flange related derailments are eliminated. For some countries where track conditions are not too good, this can be the greatest advantage of them all. Self Steering bogies have lower rolling resistance in curves and hence use less fuel. On lines with many sharp curves this figure can increase significantly The Scheffel Bogie is very low in maintenance and because the wheels only get machined 1/5th of the frequency of non-steering bogies, the wagons are more available (typically 98 - 99%). This also results in fewer wagons needed to convey the same tonnages. There are many other advantages that can result from the above. These include smaller locomotive fleet, extended life of track (even when track is in bad state), fewer crossing loops needed, smaller maintenance staff, etc.

SHOWING FINANCIAL ADVANTAGE OF QUANTIFYING $AVINGS Applying to Ermelo – Richards Bay: PAYBACK MODEL SHOWING FINANCIAL ADVANTAGE OF SELF STEERING BOGIE over STANDARD 3-PIECE BOGIE CAPEX OPEX FLEET $35m WHEELS $25m RAILS $65m FUEL $5m DERAILMENTS $13m TOTAL $35m (3%) $108m (39%) Using the TFR figures established form 30 years of experience on the Ermelo-Richards Bay Coal line; and comparing the savings that have been generated by using Scheffel Bogies rather than Non-Steering conventional bogies: The fleet required (wagons and locomotives) is reduced, creating a Capex saving of $35 million. The Scheffel bogie is typically 20% more expensive than the conventional bogie and yet this saving was obtained. An annual saving in Opex of $108 million is made up of $25M for wheels, $65M for rails, $5M on Fuel and a conservative $13M on derailment avoidance. 2. The graph shows accumulated savings starting with the initial (once off) saving of $35M and increasing at $108M per year. If the bogie life is taken as 30 years (as evidenced so far in SA) the total savings for this specific line is $3.24billion.

CARBON CREDITS The Scheffel Self Steering Bogie has recently been acknowledged as being Carbon Credit – worthy. Typical value on Ermelo – Richards Bay line is: ANNUAL SAVING STEEL (t/y) DIESEL (litre) CARBON CREDITS WHEELS 17 744 - RAIL 21 115 DERAILMENTS 1296 FUEL 8 497 059 22851 TOTAL 40155 63 012 Carbon Credits is a new and exciting way to earn money while improving the world’s Green-House Gases. The Scheffel Bogie can be shown to reduce Carbon Dioxide emissions when compared to a conventional bogie. Again using the Ermelo line and the fact that for every ton of steel not consumed one earns 1 carbon credit and for every litre of fuel saved 1.6kg of carbon dioxide eliminated, a value of Carbon Credits can be calculated From a savings of steel (Rail, wheels and wagons) and fuel, a total of 63 000 Carbon Credits can be sold per year [this will vary from one situation to another and will have to be verified in each case].

YEAR 1 2 3 4 5 6 7 - - - - - - - - 30 CC x1000 42 63 Had this been a registered Carbon Credit project it would have yielded approximately 1 869 354 CC’s or $60 338 461 Looking at this over the life of the bogie, there is a continued income for the next 30 years. This amounts to a reduction of 1.89million tons of Carbon Dioxide into the atmosphere and an income of $60million dollars. Note: Carbon Credits can only be sold if the project is registered at inception. GRE can assist the client in this regard.

SOURCES 1. USA Energy Information Admin. (Fuel & Energy Source Codes & Emission Coefficients): To produce 1 ton steel emits 1 ton of CO2; which = 1 CC Burning 1 litre diesel emits 2.69 kg CO2 2. Roger Emblom: - “Simulation of wheel & Rail wear profile evolution – wear modeling and validation” Rail wear rate (vs tangent track) 3. Dr R D Fröhling “Strategies to control wheel profile wear” 4. Dr H Scheffel - various 5. R von Gericke - various Curve Rad Wear Factor 800 m 20 300 m 120 Calculations for Savings and Carbon Credits have been guided by the following sources.

DO WE FIND SCHEFFEL BOGIES? WHERE IN THE WORLD DO WE FIND SCHEFFEL BOGIES? Russia South Africa Sweden United States of America Zambia Zimbabwe Australia Austria Brazil China Ghana India Mozambique These are some of the countries that have Scheffel Bogies. But none so dominantly as South Africa. We believe that this is going to change.

CONCLUSION With Carbon Credits …. The concept of the Scheffel Self-Steering Bogie has matured 30 years of experience in South Africa builds confidence Savings are now proven Carbon Credits are an exciting addition to value added In the present economic downturn, the Scheffel Bogie can turn an uneconomical venture into a “cash-cow” We believe that the Scheffel Bogie has come of age and we can expect the market to swing strongly in this direction This is more than any another bogie It is a whole lot more than you see. GRE has turned this bogie GREEN