The first shipment of coal under a new seven-year logistics contract between ScottishPower and Clydeport was landed at Hunterston on the Ayrshire coast at the weekend for rail delivery to Longannet power station in Fife.

The Pacific Navigator unloaded around 160,000 tonnes of coal from South Africa, the first batch of a total of around three million tonnes a year destined for Scotland's biggest coal-fired power station. The contract, worth more than £70m, follows on from a previous deal between ScottishPower and Clydeport, now part of Peel Holdings.

Charles Berry, ScottishPower's Executive Director, UK, said: "This is an excellent deal for ScottishPower and provides a robust solution for our coal supply. By entering into a longer term deal, we have been able to unlock significant value for our generation business through reduced costs and more efficient operations".

Margaret Mackay, Operations Director of Clydeport said: "This is one of the longest contracts of its kind ever seen in the UK and underlines our commitment to providing long-term, innovative and extremely competitive services to our customers. It significantly strengthens Hunterston's dominant position as the UK's foremost facility for coal imports and is tremendous news for Clydeport."