UP tests cross-border coal export opportunity through Port of Guaymas

Working with leading coal producer Peabody and U.S. and Mexican partners, Union Pacific Railroad has supported test shipments to evaluate the feasibility of exporting U.S. coal through the Port of Guaymas, Mexico.

Coal from Peabody’s North Antelope Mine in Wyoming’s Powder River Basin moved across UP’s network before interchanging with Mexican railroad Ferromex in Nogales, Arizona, to Guaymas. From there, it was loaded onto vessels bound for Asia, with the first shipment headed to Vietnam, UP officials said in a press release.

The effort comes as the industry explores additional export capacity beyond U.S. West Coast terminals, officials said.

“This effort shows how Union Pacific can connect U.S. production to global markets through a cross-border supply chain,” said Kelli Sweet, UP's director of marketing and sales. “If market conditions support it, this creates another viable export option for customers.”

The initiative required close coordination among government stakeholders, rail partners and port operators, along with significant collaboration across UP teams. With multiple test trains completed and a vessel loaded, UP and its partners are evaluating potential next steps, UP officials said.