Market Overview

Canadian Pacific To Build New Transload Terminal In Montreal

Share:
Canadian Pacific To Build New Transload Terminal In Montreal

Canadian Pacific (NYSE: CP) plans to construct a new multi-commodity transload terminal near Montreal as part of its wider plans to reach eastern markets that are not very rail accessible.

CP will work with TYT Group, a freight transportation service provider headquartered in Quebec, to develop transload services and logistics offerings to customers in eastern Canada, including urban areas and those without direct access to rail. TYT Group will operate the terminal, which will be located nearby CP's Côte Saint-Luc yard in Montreal.

The railway said construction will take place in several phases on land already owned by CP. For phase 1, which is scheduled to be completed by June 2020, CP will build a 118,000-square foot rail-served facility that will receive, unload, carry and deliver rail traffic while also having  opportunities for indoor or outdoor transloading. Inside the facility will be track infrastructure to support over 18 railcars. Meanwhile, on the outside, more than 4,000 feet of existing and adjacent track will surround the facility. The facility's layout will be constructed in such a way that will allow for future expansions, the railway said.

The yard is also located nearby Highways 13, 20, 40 and 520, and it is within proximity to the Port of Montreal.

"With a great supply chain enabler like TYT Group, this project enhances our footprint in the Montreal area by building capacity and expanding our ability to provide customers with value beyond rail, through trucking and transload services," said John Brooks, CP's chief marketing officer.

CP's announcement comes as the company is seeking transloading opportunities and ways to utilize its real estate assets in a way that boosts the railway's capacity and market presence. Interest in the Port of Montreal has also grown as the port handles increasing volumes brought about by a Canadian trade agreement with the European Union.

"We continue to leverage our strategic land holdings and invest in transloads across the network to create additional connections, improve service and provide our customers with new end markets," Brooks said.

The announcement also comes as CP just yesterday said it would be acquiring the Central Maine & Quebec Railway short line as a means to establish a coast-to-coast network in Canada.

Image Sourced from Pixabay

Posted-In: Canadian Pacific Railway Freight FreightwavesNews Commodities Global Markets General

 

Related Articles (CP)

View Comments and Join the Discussion!

Fighting FOMO And Finding Profit In Consistency

Senators Want Trump To Halt Export License Approvals For Huawei