BNSF Announces its Annual Economic Development Results
15 Jun, 2015
BNSF Railway Company (BNSF) continues to play an important role in providing supply chain solutions that move customers’ products to meet consumer demand. Despite the tight capacity on its rail network last year, BNSF was able to help its customers continue to grow their businesses. In 2014, BNSF worked with its customers and state and local economic development organizations to build or expand 138 rail facilities in communities across its network. BNSF customers invested close to $1.5 billion in these projects, which marks the fourth consecutive year they spent more than $1 billion in rail projects to support growth in their business. These investments are expected to generate more than 1,200 new jobs in local communities.
“The rail industry as a whole is an indicator of the health of the economy. The diversity of expansion our customers achieved in 2014 is a confirmation of the economic development potential of rail and the value proposition offered by BNSF’s freight rail services,” said Steve Bobb, BNSF executive vice president and chief marketing officer.
Agriculture economic development projects undertaken by BNSF’s customers in 2014 included facilities in Colorado, North Dakota, South Dakota, Minnesota, Montana, Nebraska, Texas, Washington and Wisconsin. A total of 13 of the 138 rail facility projects were completed and began shipping and receiving agricultural products. These agricultural projects represent an investment of approximately $158 million by our customers in long-term facilities that support BNSF’s network.
In response to the continued demand for crude oil from the Bakken, Niobrara, and Permian Basin U.S. shale formations, BNSF also worked with customers in locating and completing 11 crude oil terminals in California, New Mexico, Texas, Utah, Washington and Wyoming. These terminal and expansion investments exceeded more than $350 million.
Highlights of supply chain solutions BNSF helped its customers achieve in 2014 include:
· Completion of BNSF’s Logistics Center in Sweetwater, Texas, which supports customers across several industries, such as agriculture, sand, pipe and aggregate. As part of this project BNSF invested $28 million to replace existing track and add 40,000 feet of new track at the site.
· Creation of a Bison Rail and West Electronics Inc. Transload rail operation in Poplar, Mont. Located on the Fort Peck Reservation, this project turned a once unused section of train tracks into a shipping port owned and operated by the Tribes. The Bison Rail is a rail spur off the BNSF mainline that connects to a 2,600-foot track extension.
· Installation of a railroad unloading track capable of storing a million gallons of propane to resupply the existing 1.5 million gallon terminal facility in Benson, Minn. This facility is owned by Alliance Midstream LLC, an affiliate of Dooley's Petroleum Inc., a Murdock based company. The construction of this terminal proved critical in providing timely propane delivery while ensuring storage to adequately supply home heating and serve agricultural needs this past fall and winter.
BNSF Railway is one of North America’s leading freight transportation companies operating on 32,500 route miles of track in 28 states, and also operates in three Canadian provinces. BNSF is one of the top transporters of consumer goods, grain and agricultural products, low-sulfur coal, and industrial goods such as petroleum, chemicals, housing materials, food and beverages. BNSF’s shipments help feed, clothe, supply, and power American homes and businesses every day. BNSF and its employees have developed one of the most technologically advanced, and efficient railroads in the industry. We work continuously to improve the value of the safety, service, energy, and environmental benefits we provide to our customers and the communities we serve. You can learn more about BNSF at www.BNSF.com .