Canadian freight car manufacturer National Steel Car has secured a $70m contract from Canpotex to build 700 new railcars specially designed to transport Saskatchewan potash to coastal ports.
Since 1999, Canpotex has invested more than $500m to build more than 7,000 railcars with National Steel Car.
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The railcars are custom-designed in Canada by National Steel Car in collaboration with Canpotex to conform to the specific properties of potash.
The new design has allowed Canpotex to optimise the number of tonnes for each railcar, as well as increase the number of railcars on each unit train.
With these rail cars, Canpotex has increased overall train efficiencies by more than 90%, resulting in reduced greenhouse gas emissions, in addition to improved capacities within respective rail corridors.
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Canpotex president and CEO Steve Dechka said: "Canpotex’s success is due in part to our 43-year reputation as a reliable supplier of potash.
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By GlobalData"The quality and innovative design of the railcars from National Steel Car will ensure we continue to reliably deliver the potash our global customers need, when they need it.
"Canadians throughout the country benefit from the global export of Saskatchewan potash."
Since 2000, Canpotex has doubled its annual rail shipments without adding an additional train and, consequently, without placing any additional strain on Canada’s rail system.
National Steel Car chairman and CEO Gregory Aziz said: "This order alone will secure approximately seven months of employment for over 400 of our 2,400 employees, and will provide significant additional benefits to our province."
Image: Canpotex Sample Railcar. Photo: courtesy of Canpotex.
