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For intermodal growth, Union Pacific Railroad is banking on Mexico.

To facilitate anticipated increases in rail traffic to and from Mexico, UP plans to spend $12.3 million this year and $3.5 million in 2002 to boost capacity and improve efficiencies at the railroad’s Port Laredo, Texas, intermodal and rail-yard facility. Enhancements include:

• Constructing an 8,100-foot track and extending another for arriving and departing trains;
• Constructing five 2,500-foot tracks for sorting rail cars by destination;
• Extending a track by 3,200 feet to connect the facility with UP’s mainline;
• Converting 14 switches from manual to power remote operation;
• Constructing a 2,500-foot track to enhance intermodal car-sorting in the yard;
• Resurfacing nearly 25 percent of the pavement where trailers or containers are staged; and
• Constructing a 9,000-foot side track just outside the facility to enable one train to pass another on the mainline.

The project should be complete by first-quarter 2002. UP has invested nearly $40 million in the 530-acre facility since it opened in 1990.