BNSF To Invest Almost $200 Million In Railway in Minnesota, North Dakota

Earlier this year I suggested that the railroads would likely increase CAPEX for maintenance and more rail. Not everyone agreed, suggesting that coal and grain shipments greatly exceeded anything coming out of the oil patch. So, it was with interest to see this story today:

BNSF Railway (BNSF) is planning to invest $100m in Minnesota and $86m in North Dakota for railway maintenance, capacity improvements and expansion projects in 2012.

This is what I wrote May 25, 2012:

a) the industry can't build tank cars fast enough
b) the rails were not meant to handle this much traffic; there will be need for more tracks and lot more maintenance

The BNSF story (second link above):

Under the project, BNSF will upgrade rail sidings to increase speed, as well as improve a US government-mandated positive train control (PTC) system.

The investment will also be used for a track maintenance programme in Minnesota, which will include 1,817 miles of surfacing and undercutting work, as well as the replacement of 42 miles of rail and 325,000 ties.

Anyway, go to the link. It's absolutely incredible all that BNSF will be doing to improve the system. 

I found it interesting the amount that will be spent in Minnesota.

Williston Wireline has the story and that's where I found it.