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CN investing $20 million in New Brunswick rail infrastructure; forest products ‘a significant part’ of traffic

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CN investing $20 million in New Brunswick rail infrastructure; forest products ‘a significant part’ of traffic

July 07, 2020 - 19:51
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MONCTON, New Brunswick, July 6, 2020 (Globe Newswire) -CN announced today that it plans to invest approximately $20 million (CAD) across New Brunswick in 2020. The program will focus on rebuilding and strengthening bridges, the replacement of rail and ties, rebuilding road crossing surfaces as well as maintenance work on culverts, signal systems and other track infrastructure.

“We take our essential role in the North American economy seriously and these investments in New Brunswick are a key part of our strategy to support growth. The Company remains committed to help enable supply chains that fuel New Brunswick’s growth as we are a critical part of getting everyday goods to markets and consumers. Safety is a core value at CN and by investing in the maintenance and expansion of our track and capacity, we are providing customers with a safe and reliable solution at a time when fluid supply chains are more critical than ever.”
- Derek Taylor, Vice-President, Eastern Region at CN

“Remaining committed to supporting Canadian businesses, our government continues to invest in Canada’s economy to encourage economic growth. We are pleased to see companies such as CN do their share by investing in improving safety, growing its capacity and enabling trade through a safe and reliable rail network. CN’s investments in maintaining and upgrading its existing network will have a direct beneficial impact on the movement of goods across New Brunswick and into the Eastern Canadian trade gateway, supporting the economy and jobs.”
- The Honourable Marc Garneau, Minister of Transport, Government of Canada

“I am encouraged by CN’s planned capital investments to enhance its rail network in New Brunswick. With the modernization of the Saint John port and the expansion and diversification work going on at the Port of Belledune, it is even more critical to have a supporting rail system to fully optimize our transportation infrastructure.” 
- The Honourable Bill Oliver,Minister of Transportation and Infrastructure, Government of New Brunswick

The Company’s investments will create greater capacity, which supports reductions in its customer’s transportation supply chain GHG emissions, by encouraging the use of rail for long haul needs. This reduces emissions, traffic congestion, accidents and burdens on public transportation infrastructure as one freight train can replace over 300 trucks from roads. Moving freight by rail instead of truck reduces GHG emissions by 75%. The Company will continue to deploy important safety enhancing technologies such as the Autonomous Track Inspection Program, and Automated Inspection Portals.

Maintenance program highlights include:

  • Replacement of 8 miles of rail
  • Installation of approximately 10,000 new railroad ties
  • Rebuilds of 5 road crossing surfaces
  • Maintenance work on bridges, culverts, signal systems, and other track infrastructure

New Brunswick in numbers:

  • Capital investments: approximately $140 million in the last five years
  • Employees: approximately 320
  • Railroad route miles operated: 596
  • Community partnerships: $279,000 in 2019
  • Local spending: $59 million in 2019
  • Cash taxes paid: $17 million in 2019

Forest products make up a significant part of the traffic originating or terminating in the province of New Brunswick. CN also handles consumer goods and other intermodal traffic through its terminal in Moncton. Other CN facilities in Moncton include a major rail classification yard as well as an automotive distribution centre and a CargoFlo bulk handling facility. CN’s network extends to the ports of Belledune and Saint John, where the Company has another CargoFlo bulk handling facility.