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Rail News: Canadian National Railway - CN

CN and Coalspur Mines ink transportation, rail line pacts

CN and Coalspur Mines Ltd. have reached a seven-year agreement involving the transportation of thermal coal from Coalspur Mines' Vista Coal project in Alberta to Ridley Terminals Inc. at the Port of Prince Rupert, British Columbia, as well as a pact regarding the construction of a rail line to serve the new mine.

The transportation agreement — which covers up 12 million tons of coal annually — expires on Dec. 31, 2019. CN will supply equipment to move the coal to the export terminal.

CN and Coalspur Mines plan to build a four-mile rail line to enable the Class I to access a loading site at the mine. Subject to regulatory approval, construction could begin in the third quarter and conclude in early 2015.

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More News from 3/27/2013