Genesee & Wyoming Canada Inc. (G&W Canada) on Sept. 11 reported that subsidiary Alberta Heartland Railway (AHR) has entered into various agreements with Gasia Energy Corp., including a long-term lease of more than 50 acres at Gasia’s planned energy complex in Strathcona County, Alberta, where the railroad intends to construct and operate a multi-service rail terminal.
Located east of the North Saskatchewan River on Highway 830 between Highway 15 and Township Road 560, the proposed terminal is near several large industrial facilities within the Alberta Industrial Heartland and contiguous to Canadian Pacific Kansas City and CN rail lines, according to G&W Canada. Once fully built, the terminal will offer multiple loop tracks, storage for up to 1,200 railcars, and railcar-to-truck transloading.
“After launching Red Deer Railway, our first short line in western Canada, late last year and securing a rail switching contract at the Heartland Petrochemical Complex earlier this year, shippers in the Alberta Industrial Heartland are recognizing G&W Canada’s broad logistics expertise and our commitment to safe, reliable, and efficient rail service,” said Michael Miller, CEO of Genesee & Wyoming Inc., parent company of G&W Canada. “As the global energy market remains critical for economic growth, Gasia and other shippers can reach customers overseas and throughout Canada and the rest of North America with AHR’s connection to the full North American freight-rail network.”
“Gasia is pleased to be partnering with AHR and to be its anchor tenant for loading bitumen and other products from the Gasia Homestead Diluent Recovery Unit (DRU) Project,” Gasia CEO Samer Salameh said. “The Homestead DRU will allow Canadian producers to deliver heavy crude throughout North America safely and efficiently using rail, and the AHR loading facility will provide an exceptional opportunity to transload and transport undiluted bitumen (Neatbit™) with access to both CPKC and CN Class I rail systems.”
According to G&W Canada, construction of both AHR’s terminal and Gasia’s DRU is expected to be carried out in multiple phases, contingent upon the receipt of various approvals.
G&W Canada reported that the proposed terminal and related freight operation would expand its footprint to include 11 short lines spanning more than 1,000 miles across five provinces, independent railcar and locomotive repair operations, and a contract rail services business.
Separately, Cando Rail & Terminals will use a recently closed C$100 million loan from Canada Infrastructure Bank to double the capacity of its CN-served Sturgeon Terminal in Alberta.
