MTR Corporation (0066) subsidiary Metro Trains Melbourne was awarded a new seven-year franchise by the Victoria State Government in Australia to operate and maintain the Melbourne train system.
The new franchise will start from November 30 and includes up to a three- year extension option, MTR announced yesterday.
MTM will deliver further enhancements to railway operations, asset maintenance and customer service, such as upgrading 500 CCTV cameras.
It will also add more peak services - over the next seven years, an extra 335 peak services will be added per week, as well as 1,758 inter-peak and weekend services, it said.
The extension of its franchise will also create more than 600 new jobs, including 128 in the first year.
MTM, in which MTR owns a 60 percent stake, has operated the metropolitan train service in Melbourne since 2009. Over the past eight years, it provided an average of 840,000 passenger journeys on weekdays.
The firm has also improved the punctuality from 85.9 percent to 91.8 percent, which has remained above target for the past five years.
As one of the world's leading railway operators, MTR also provides services in mainland China, Britain and Sweden.