Now, tonight, Don sends me the connecting dot: BNSF announces a $326 million plan to upgrade rail infrastructure in Minnesota. The Grand Forks Herald is reporting:
BNSF Railway Company allocated the $326 million as part of its $6 billion capital expenditure program for 2015. Maintenance and expansion of key routes in the state are part of the company’s effort to respond to increased rail congestion in the state.
Projects will include nearly 270 miles of track surfacing and replacement of 125 miles of track.
Commuter rail traffic that operates on the BNSF network of rail, such as Northstar and Amtrak, should experience less frequent delays as a result of expanded routes and traffic control projects. She also said the company is adding locomotives and staff to help address increasing demand from shippers from all sectors.
2015 will be the third year in a row the company has broken its all-time capital expenditure budget.
Expansion has become necessary due to a spike in crude oil rail shipments. According to the Association of American Railroads, the amount of crude oil terminated carloads -- cars which were unloaded -- in the U.S. increased nearly sixfold from 2011 to 2013, from just less than 75,000 to nearly 450,000. McBeth said Minnesota has experienced a “significant” increase in rail traffic due to oil drilling in North Dakota’s Bakken oilfields.
The dots really
do connect. By the time TransCanada talked to the press about CBR, one
knows that TransCanada had already been in talks with BNSF. Or least was watching what BNSF was planning.
It's
also possible that BNSF knows that the Keystone XL is dead in the
water. BNSF would know that from a) reading the tea leaves -- even I can
guess the Keystone XL is likely dead under this administration; and/or
b) Warren Buffett called up President Obama to chat the other day.
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