Canadian National announces capex plans for lines in Ontario and Manitoba

Written by David C. Lester, Managing Editor
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A CN train derailment this weekend is believed to be caused by a washout.
CN

Canadian National announced capital investments of C$350 million in Ontario and C$95 million in Manitoba.

Ontario

CN has announced plans to invest approximately C$350 million in Ontario in 2021 as part of CN’s C$3 billion capital investment plan across its network. In Ontario, CN’s investment will focus on technology, capacity, and infrastructure maintenance to enhance safety and the fluidity of its network.

“Our consistent and proactive infrastructure investment strategy and the essential work of our employees and supply chain partners are what enable CN to keep the economy moving safely and smoothly year after year. Safety is a core value at CN and we will continue to invest in our track and in technology to support our overall network capacity and provide our customers with safe and reliable service. As we look to the future, we are excited about the opportunity to do even more for our customers, employees, communities and shareholders through our end-to-end, pro-competitive combination with Kansas City Southern, which will connect North America and build the premier railway for the 21st Century.”

  • Derek Taylor, Vice-President, Eastern Region at CN

“Our government salutes CN for its commitment to rail safety and the fluidity of its network while minimizing pollution. We will continue to support green projects that keep Canadians safe, stimulate the economy, and ensure that our rail network remains one of the most efficient and secure rail transportation systems in the world. This announcement will help create good middle-class jobs and help move goods efficiently to market, and people to their destinations.”

  • The Honourable Omar Alghabra, Minister of Transport, Government of Canada

“CN’s continued investment into its rail infrastructure is good news for Ontario. Rail service is critical to many Ontario supply chains.  CN is an important freight transportation company that moves goods needed by Ontarians.”

  • The Honourable Caroline Mulroney, Minister of Transportation, Government of Ontario

Maintenance program highlights include:

  • Replacing 67 miles of rail;
  • Installing approximately 176,000 new railroad ties;
  • Rebuilding 85 road crossing surfaces; and
  • Maintenance work on bridges, culverts, signal systems, and other track infrastructure

Ontario in numbers:

  • Capital investments: More than $1.4 billion in the last five years
  • Employees: approximately 4,000
  • Railroad route miles operated: 2,546
  • Community partnerships: $3.7 million in 2020
  • Local spending: $2.3 billion in 2020
  • Cash taxes paid: $131 million in 2020

Manitoba

CN announces plans to invest approximately C$95 million in Manitoba in 2021 as part of CN’s C$3 billion capital investment plan across its network. In Manitoba, CN’s investment will focus on technology, and infrastructure maintenance to enhance safety and the fluidity of its network.

“Our consistent and proactive infrastructure investment strategy and the essential work of our employees and supply chain partners are what enable CN to keep the economy moving safely and smoothly year after year. Safety is a core value at CN and we will continue to invest in our track and in technology to support our overall network capacity and provide our customers with safe and reliable service. As we look to the future, we are excited about the opportunity to do even more for our customers, employees, communities and shareholders through our end-to-end, pro-competitive combination with Kansas City Southern, which will connect North America and build the premier railway for the 21st Century.”

   –   James Thompson, Vice-President, Western Region at CN

“Our government salutes CN for its commitment to rail safety and the fluidity of its network while minimizing pollution. We will continue to support green projects that keep Canadians safe, stimulate the economy, and ensure that our rail network remains one of the most efficient and secure rail transportation systems in the world. This announcement will help create good middle-class jobs and help move goods efficiently to market, and people to their destinations.”

   –   The Honourable Omar Alghabra, Minister of Transport, Government of Canada

“Our government recognizes the importance of railways in the province’s economic development. Railways provide highly-skilled jobs, they provide a means for Manitobans to deliver their products to the global marketplace, and are key transport links for many Manitobans. We are committed to furthering railway safety and continue to work collaboratively with organizations and industry partners to ensure safe and reliable infrastructure for the movement of essential goods.”

   –   The Honourable Ron Schuler, Minister of Infrastructure, Government of Manitoba

Maintenance program highlights include:

  • Replacing 29 miles of rail;
  • Installing approximately 118,000 new railroad ties;
  • Rebuilding 17 road crossing surfaces; and
  • Maintenance work on bridges, culverts, signal systems, and other track infrastructure

Manitoba in numbers:

  • Capital investments: More than $610 million in the last five years
  • Employees: approximately 2,400
  • Railroad route miles operated: 864
  • Community partnerships: $536,000 in 2020
  • Local spending: $759 million in 2020
  • Cash taxes paid: $37 million in 2020

Additional CN comments

CN’s overall investment plan reflects CN’s determination to play an important role in the economic recovery and to be part of the climate solution. By creating a more fluid and more efficient network, we encourage the use of rail for long haul transportation, leading to reduced emissions. CN is one of only three Canadian companies listed on CDP’s prestigious Climate A List. To learn more on how CN is building for a sustainable future please visit www.delivering-responsibly.cn.ca/.

The proposed end-to-end merger between CN and Kansas City Southern will create a transportation network across North America, enhancing competition, spurring economic growth and delivering benefits to the local communities in which both railroads operate. The transaction will provide an enhanced platform for growth, capital investment, and job creation. Together with KCS, CN’s industry-leading commitment to science-based climate targets and a faster, safer network will result in a cleaner connected continent.

To learn more about the CN-KCS combination, please visit www.connectedcontinent.com.

Categories: Ballast, Ties, Rail, Class 1, Freight, Intermodal, ON Track Maintenance, Railroad News, Track Construction, Track Maintenance, Track Structure
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