US-based freight railroad operator BNSF Railway Company is set to invest $3.57bn on railway networks this year.
The latest plan includes a maintenance budget of nearly $2.47bn, which will be used to maintain the company’s core network and associated assets.
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The maintenance projects to be carried out this year include replacement and upgrading rail and track infrastructures such as ballast and rail ties. Overall, it will include around 12,000 miles of track surfacing and/or undercutting work, as well as replacing 535 miles of rail and nearly 2.3 million rail ties.
A portion of the budget will also be used to refurbish its rolling stock.
Additionally, around $760m has been allocated for expansion and efficiency projects. Most of BASF’s planned expansion projects are on the Northern and Southern Transcon routes.
The expansion projects include connecting Southern California with Chicago and the Pacific Northwest to Upper Midwest.
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By GlobalDataThe remaining $340m of this year’s investment will be used to procure freight cars, locomotives and other rail equipment.
BASF president and CEO Carl Ice said: “Our rail network is in excellent shape and its condition is a direct result of our continued capital investments.
“We work tirelessly to provide the level of service our customers expect and to position ourselves well for future growth opportunities.”
Since 2000, BASF has invested around $65bn in its network. Last year, the company announced an investment programme of $3.3bn.
As one of the largest freight transportation companies in North America, BNSF operates around 32,500 route miles across 28 US states. It also operates in three Canadian provinces.
