New Watco-operated short line expands multimodal capabilities at Oklahoma port
6/10/2024
By Jeff Stagl, Managing Editor
The recent launch of a new short line in Oklahoma marked the introduction of rail for an inland port and the 46th short-line operation for Watco.
On June 5, officials from Tulsa Ports, Watco, and state and local governments dedicated the Verdigris Southern Railroad at the Tulsa Port of Inola in northeastern Oklahoma. The 4.4-mile short line — which is owned by the port authority and operated by Watco — connects the port to Union Pacific Railroad.
Tulsa Ports oversees ports in Catoosa and Inola near Tulsa on the Verdigris River, which is a tributary of the Arkansas and Mississippi rivers. The two ports are one of the largest multimodal shipping complexes and industrial parks in the central United States.
OmniTRAX Inc.’s Port of Catoosa Industrial Railroad is the exclusive rail partner for the Tulsa Port of Catoosa — which was established in 1971 — and interchanges with UP, BNSF Railway Co., Canadian Pacific Kansas City and Watco’s South Kansas & Oklahoma Railroad.
On June 5, officials from Tulsa Ports, Watco, and state and local governments dedicated the 4.4-mile short line. Tulsa Ports
Tulsa Ports recently completed a multiyear project that expanded and improved shipping capabilities for an industrial park at the Inola port. The project included the construction of a rail spur for the Verdigris Southern Railroad.
The Tulsa Port of Inola opened in 2019 after the Public Service Co. of Oklahoma (PSO) entrusted Tulsa Ports with the future development of the site through a land transfer involving about 2,200 acres in Inola. The completion of the rail spur was a key component in the port’s agreement with PSO to acquire and develop the land for future economic growth.
The Verdigris Southern Railroad now offers improved transportation options for the industrial park’s current tenant — Italian-based tissue paper manufacturer Sofidel America Corp. — as well as future tenants interested in locating near the Inola port, Tulsa Ports officials say.
"The railroad represents a significant advancement in our multimodal shipping capabilities at the Port of Inola," says Executive Director David Yarbrough. "The introduction of this railway system will open new avenues of growth and opportunity for the Port of Inola, its companies and our region.”
Track construction was completed on March 29 and the first delivery on the Verdigris Southern Railroad to the port occurred on April 10. The short line delivered seven box cars of raw materials — mostly compressed wood pulp that originated near Kamloops, British Columbia — to Sofidel America in the industrial park.
A sign on display during the dedication event shows the rail spur and the more than 1,100 acres that are ready for development at the Tulsa Port of Inola. Tulsa Ports
Watco’s goal for the Verdigris Southern Railroad is to provide service five days a week. Sofidel America is a new customer, so there’s been a learning curve, said Watco Sales Director Casey Harbour in the short-line holding company’s June newsletter.
“They’ve been happy with the results so far and plan to transition more of their suppliers over to rail,” he said.
The Verdigris Southern Railroad also potentially could handle Sofidel America’s outbound shipments of toilet paper, facial tissue and paper towels, Harbour said. Plus, the port has more than 1,100 acres ready for development offering both truck and barge access that pose traffic growth opportunities for the short line.
“We can’t wait to continue to grow with the current customer, Tulsa Ports and new customers as they arrive,” said Harbour.
The Verdigris Southern Railroad promises to enhance the efficiency and reach of Oklahoma’s shipping infrastructure, paving the way for more companies to locate at the industrial park, says Oklahoma Department of Transportation Executive Director Tim Gatz.
“Transportation is multimodal. What you see [in Inola] is the convergence of water, rail, highway, county roads and a lot of partners working together,” he says. “This is about investing in Oklahoma for future generations.”