CN to invest $310 million in Ontario assets

CN unveiled its capital investment plan for Ontario. (Photo: CN)

Canadian railway CN (NYSE: CNI) expects to spend C$310 million in capital improvements across the Province of Ontario in 2020. (The Canadian dollar is currently valued at US$0.73.) 

The investment is on top of nearly C$1 billion in project and maintenance funding for CN’s facilities and assets in British Columbia, Alberta and Quebec

The funding improvements will go towards intermodal facilities, the replacement of rail and ties, and the maintenance of bridges, level crossings, culverts, signal systems and other track infrastructure, CN announced on Tuesday, June 30.

CN has spent approximately C$1.4 billion in capital investments in the province over the last five years. The railway operates 2,541 route miles in the province.

Maintenance projects in Ontario include replacing more than 60 miles of rail; installing approximately 195,000 new railroad ties; rebuilding 86 road crossing surfaces; and other maintenance work on bridges, culverts, signal systems and other track infrastructure.

CN is also using its capital investment funds to continue to deploy safety-enhancing technologies such as autonomous track inspection and automated inspection portals. 

The railway’s Ontario facilities include the MacMillan Yard, which CN says is its largest classification facility and only hump yard in eastern Canada; an intermodal terminal in Brampton; and distribution facilities for automobiles, forest products and metals in the Toronto area. CN also has a logistics park and two CargoFlo bulk handling facilities in the Toronto area, as well distribution centers for commodities such as forest products, metals and automotive parts in Brockville, Atikokan and Windsor.

CN said it is still proposing to build the C$250 million Milton Logistics Hub in the province. The project is currently undergoing an independent environmental assessment and regulatory review. 

Click here for more FreightWaves articles by Joanna Marsh.

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Canadian National eyes growth opportunities in intermodal, crude-by-rail

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Joanna Marsh

Joanna is a Washington, DC-based writer covering the freight railroad industry. She has worked for Argus Media as a contributing reporter for Argus Rail Business and as a market reporter for Argus Coal Daily.