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SHORTLINE RAIL GRANTS ANNOUNCED

Released on July 3, 2008

The Government of Saskatchewan announced today the first-ever series of provincial grants for shortline rail infrastructure projects to help that sector of the transportation system keep pace with the current economic momentum.

Through a new cost-sharing provincial program with Saskatchewan shortline rail companies, the province will invest $500,000. With the province's grants and shortline rail companies' contributions combined, this sector will see a total infrastructure investment this fiscal year of $1 million.

"Shortline rail is important because it helps link Saskatchewan's export-based economy to provincial, national and worldwide markets," Highways and Infrastructure Minister Wayne Elhard said. "It also provides shippers with another effective transportation option, supports economic development in rural Saskatchewan and contributes to reducing truck-traffic congestion, related greenhouse gases and road wear."

Provincial grants will be distributed in the following amounts:

• Carlton Trail Railway will receive almost $200,000
• Great Western Railway Ltd. will get about $150,000
• Southern Rails Cooperative will be given about $85,000
• Arborfield Thunder Rail will obtain almost $30,000
• Fife Lake Railway Ltd. will be receiving about $20,000
• Red Coat Road and Railway will acquire more than $10,000

Infrastructure projects include improvements on ballasts, which is the gravel between and under railroad ties, bridge repairs, upgrading of switch components and other work that stabilizes track.

Saskatchewan currently has eight shortline railways covering 1,411 kilometres, which are regulated by the province. These provincial shortlines connect to the rail lines of national railways, which are regulated by the federal government.

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For more information, contact:

Dan Palmer
Highways and Infrastructure
Regina
Phone: 306-787-4805
Email: dan.palmer@gov.sk.ca

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