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OmniTRAX Inc. plans to spend $3.5 million to upgrade the Hudson Bay Railway Co.'s locomotive fleet, according to a newspaper article posted on OmniTRAX's Web site.

The short-line holding company recently unveiled the first of 10 new reconditioned, higher-horsepower Electro-Motive SD50M locomotives in The Pas, Manitoba. The rest of the units will be placed in service during the next month.

The new environmentally friendly locomotives will replace older Alco units originally owned by Canadian Pacific Railway, some of which are about 30 years old. The 810-mile Hudson Bay Railway's fleet will number 32 units after the 10 reconditioned locomotives enter service.