Friday, June 1, 2012

BNSF Plans $120 Million in California Rail Improvements

BNSF Railway announced May 29 that it plans to spend $120 million on rail capacity improvement and maintenance projects within California.

BNSF says it plans to install an automated gate system at its Hobart Intermodal Facility in the Los Angeles area to increase the velocity of container/trailer processing, plus continue its California track maintenance program, which includes 786 miles of track surfacing and undercutting work, the replacement of 40 miles of rail and about 377,000 ties.

Signal upgrades for federally mandated positive train control are also included in the plan.
“BNSF’s investments will improve our ability to provide rail freight services to California businesses and communities and will expand opportunities to create more jobs and growth for the California economy,” BNSF Chair and CEO Matthew Rose said in a statement announcing the move.

The planned capital investments in California are part of BNSF's total 2012 capital commitment of $3.9 billion, the largest portion of which is spending $2.1 billion on the railway’s core network and related assets. BNSF also says it plans to spend more than $1 billion on locomotive, freight car and other equipment acquisitions.

The program also includes about $300 million for federally mandated positive train control and $400 million for terminal, line and intermodal expansion and efficiency projects, according to the railway.