Acadian Railway Update

Here is the latest news from Peter Swire, the promoter of the Acadian Railway:

"Based on confidential submissions from area shippers and our own assessment of the likelihood of migrating from road to rail on a shipper by shipper basis, it is probable that shipments could be as high as 100 cars per day. The volume is across a broad spectrum of former rail shippers now relegated to road transport; small road oriented shippers and two (and maybe three) new bulk commodity businesses being courted to locate within the Acadian Peninsula. Forty percent of the traffic is inbound and could reach parity in about 10 years. The peat traffic, while significant, will hold a reducing share of total loads as the line develops."

"Assuming these levels, the locomotive of choice will be the EMD SD 70 ACe. Two new units will be ordered. We do have pricing which is reasonable. We still need to develop a logo for the line. I would like to see a logo which, if possible, incorporates the both the spirit of the people and the hard working nature of local business leaders."

"As mentioned previously, we will be purchasing new rolling stock the bulk of which will be jumbo boxcars to meet the needs of two larger shippers. These cars will be utilized in both directions leaving very little empty movements. The balance of the rolling stock will be an assortment of flats and gondolas."

"The EA [Environmental Assessment] planning process will begin shortly and we expect their draft report by the end of the summer. It is this process that will determine which route that we should make application to construct."

"As things would happen, the rail contractor of choice is also the one the tore the line out nearly 20 years earlier. In discussions with them, we have agreed on using CWR the entire length including the sidings. The switches will more than likely be № 12 so that the line speed can be kept up. The size of ties is still being discussed vis-à-vis the soil stability. The contractors draft quote should be ready by the end of the month."

"Before the end of the summer, I fully expect the financing package to be in place on terms which are commercially attractive."

"We have identified potential traffic for the NBEC line which we will share with them in the not too distance future. We have had some productive discussions for some short-haul movements between NBEC and our firm that make sense for the shipper and the carrier alike."