Upgrades speed up northern train trip

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This article was published 30/11/2023 (686 days ago), so information in it may no longer be current.

Rail line repairs and upgrades along the Hudson Bay Railway have been completed for the season and the result is a train trip that is about three and half hours faster between Thompson and Churchill than it was the year before.

The Arctic Gateway Group, the entity that owns and operates the Hudson Bay Railway and the Port of Churchill on behalf of a consortium of 41 First Nation and Bayline communities, spent about $40 million on repairs in the past year, a record amount.

The work has meant improved speeds on freight and passenger trains shortening the Thompson to Churchill leg of the trip from 21 hours to 17.5.

As well, the track and infrastructure improvements — with a similar amount of capital expenditure expected next year — mean the company will launch additional service starting in the new year with a second freight train every week from Thompson to Churchill.

“The feeling is that we have turned the corner,” said Michael Woelcke, CEO of Arctic Gateway Group (AGG). “We are excited.’

Woelcke said conversations are ongoing with several different potential partners who have expressed interest in shipping critical minerals and grain as well as the possibility of increasing re-supply shipment to Nunavut communities along the west coast of Hudson Bay.

“There is interest in our business,” he said. “We are trying to respond and provide the opportunities for those communities.”

Whether or not there will be sufficient demand to warrant a second weekly freight service remains to be seen.

Woelcke said, “There is interest in an extra train. We are making an investment to grow our operation. We believe it will be it will taken up positively.”

Woelcke said the installation of 110,209 new track ties, 57,674 feet of new rail and repairs on seven bridges and a number of operation upgrades will allow AGG to operate trains more efficiently, reduce risk and provide more certainty to customers.

While Woelcke is careful not to project unreasonable expectations, he said, “A second weekly freight service means we can ship goods twice a week to the Town of Churchill. You can imagine what that might mean. It will be very positive. I think it will generate business.”

Next year, more capital expenses will be targeted at the Port of Churchill. A full engineering study on the port infrastructure — likely the first one done in 20 years — is expected in the coming weeks, which will give a good indication on the investments that would need to be made at the port.

As well, a business feasibility study is in the works to scope out potential business for the port.

“That will inform us as to what we need to do and what we want to do with the port,” he said. “We expect that will result in us seeking a partner for development.”

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A year ago ,the provincial and federal government committed $147.6 million to AGG to undertake upgrades as well as the operation and maintenance of the Hudson Bay Railway.

Woelcke said plans for next year’s capital expenditure program are still being completed.

But he did say that business discussions are heating up on several fronts. He said there could be news in a matter of weeks on new business that the railroad and port may be able to become engaged in regarding freight resupply with Nunavut communities that still receive a large portion of their supplies via cargo ships out of Montreal.

The AGG and communities along the rail line were encouraged by the show of support from the province in the recent throne speech where the new provincial government stated, “Through meaningful infrastructure investments, we can ensure that Manitoba is a real partner in interprovincial and global trade. With northern Manitobans, our government will invest in trade corridors and ensure the Port of Churchill helps us fulfil our economic potential by making Manitoba a maritime province.”

martin.cash@freepress.mb.ca