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Yesterday, Saskatchewan Highways and Infrastructure Minister Don McMorris officially opened the Long Creek Railroad (LCRR), the province's 13th short line.

The Saskatchewan government provided LCRR an $800,000 interest-free loan to help fund the purchase of a 41-mile line from Canadian Pacific.

The province has supported the purchase of short lines by local community groups, stakeholders or governments by offering loans and advice, Saskatchewan officials said in a prepared statement. In addition, the ministry has provided loan assistance toward the purchase of existing track when supported by a viable business plan, they said.

"To ensure Saskatchewan continues to grow, our government is proud to play a supporting role in growing an export-based economy through investments like short-line rail," said McMorris. "Short-line railways provide shippers with another option to move goods and reduce truck traffic on our highways."

LCRR has developed a business plan that will focus on providing rail service to existing and future agribusiness and producer shippers, as well as the oil industry, said LCRR President Glenn Pederson.

"We're confident we'll be able to move goods to port using a cost-effective approach," he said.

CP plans to  work with LCRR "as the grain and oil markets grow," said CP General Manager of Gateways and Government Affairs Jason Copping.