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1/8/2013


Rail News: Short Lines & Regionals
Farmrail set traffic record in 2012



Farmrail System Inc. registered record traffic in 2012 primarily because of increased horizontal-drilling activity in the Anadarko Basin oil fields. A large oil and natural gas reserve, the basin covers parts of Colorado, Kansas, Oklahoma and Texas.

"Predictably, inbound frac sand again was the leading commodity, following three decades dominated by wheat," Farmrail officials said in a news item posted on the company's website. "Outbound crude oil, which began moving in 2011, was second and could take the lead [this] year as production ramps up from newly drilled wells."

Farmrail serves as a lessee-operator for the Oklahoma Department of Transportation, managing an 82-mile line between Weatherford and Erick, and an additional 89-mile line between Westhom and Elmer. The company's Grainbelt Corp. subsidiary manages a 176-mile line between Enid and Frederick.

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