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Rail News: Short Lines & Regionals
9/23/2011
Rail News: Short Lines & Regionals
Big Sky Rail becomes Saskatchewan's newest short line
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Yesterday, Saskatchewan Highways and Infrastructure Minister Jim Reiter officially opened Big Sky Rail, the 12th short line to operate in the province.
Big Sky Rail will receive a $5.6 million interest-free provincial loan toward the purchase of 220 miles of track from CN between Laporte and near Macrorie, and between Beechy and Delisle, said Reiter in a prepared statement. The short line assumed operations of the two track segments from CN in early September. Formal purchase agreements and land title transfers are expected to be finalized later this year.
“The creation of Big Sky Rail has been a great team effort with CN, Mobil Grain, West Central Road & Rail and the government of Saskatchewan,” said Big Sky Rail President and Mobil Grain President Sheldon Affleck.
Mobil Grain Ltd., which has been hauling grain cars on the segments since Sept. 6, will market and ship all crops on the lines. West Central Road & Rail, which owns five grain-loading facilities along the lines, will retain an equity position in Big Sky Rail.
“We believe this new short line, under a competitive rate and service structure, will enhance our current operations and open doors to new business opportunities,” said West Central Road & Rail President and Chief Executive Officer Rob Lobdell.
West Central Road & Rail and Big Sky Rail, with support from the provincial government, have the local expertise to source grain that CN will move to markets across North America and around the world, said CN Western Region Senior Vice President Mike Cory.
Big Sky Rail will receive a $5.6 million interest-free provincial loan toward the purchase of 220 miles of track from CN between Laporte and near Macrorie, and between Beechy and Delisle, said Reiter in a prepared statement. The short line assumed operations of the two track segments from CN in early September. Formal purchase agreements and land title transfers are expected to be finalized later this year.
“The creation of Big Sky Rail has been a great team effort with CN, Mobil Grain, West Central Road & Rail and the government of Saskatchewan,” said Big Sky Rail President and Mobil Grain President Sheldon Affleck.
Mobil Grain Ltd., which has been hauling grain cars on the segments since Sept. 6, will market and ship all crops on the lines. West Central Road & Rail, which owns five grain-loading facilities along the lines, will retain an equity position in Big Sky Rail.
“We believe this new short line, under a competitive rate and service structure, will enhance our current operations and open doors to new business opportunities,” said West Central Road & Rail President and Chief Executive Officer Rob Lobdell.
West Central Road & Rail and Big Sky Rail, with support from the provincial government, have the local expertise to source grain that CN will move to markets across North America and around the world, said CN Western Region Senior Vice President Mike Cory.
