BNSF Railway (BNSF) is planning to invest $80m in Arizona and $65m in New Mexico for railway maintenance, capacity improvements and expansion projects in 2012.
Track maintenance programme in Arizona will include 377 miles of track surfacing and undercutting work, as well as the replacement of 26 miles of rail and around 233,000 ties.
Part of the investment will also be used to improve a US government-mandated positive train control (PTC) system.
BNSF chairman and chief executive officer Matthew Rose said: "BNSF's investments will improve our ability to provide rail freight services to Arizona businesses and communities, and will expand opportunities to create more jobs and growth for the Arizona economy."
The company's capacity improvements in New Mexico include expansion of rail sidings to increase rail capacity and signal upgrades.
BNSF will also carry out 560 miles of track surfacing and undercutting work, as well as replace 22 miles of rail track and 142,000 ties.
Investments in Arizona and New Mexico are part of the company's $3.9bn capital investment programme for 2012, out of which around $2.1bn will be spent on improvements on the railway's core network and related assets.
The company is also planning to invest $1.1bn on locomotives, freight cars and other equipment acquisitions.
About $300m will be invested in federally-mandated PTC technology and $400m towards terminal, line and intermodal expansion and efficiency projects.
Image: BNSF's investments in Arizona and New Mexico, US, will improve its ability to provide rail freight services. Photo: courtesy of Railfan Jack.