Canpotex Limited acquired 1,300 custom railcars from National Steel Car (NSC) in Hamilton, Ontario, Canada. These new custom railcars from NSC will be added to Canpotex’s fleet of existing railcars, increasing the total fleet to 8,000 cars by June 2023. The railcars will be used to help transport potash to overseas customers by delivering potash from land-locked Saskatchewan to three main terminals on the East and West coast of North America.
“This acquisition of railcars demonstrates Canpotex’s commitment to investing in our world-class supply chain and in global food security,” said Gord McKenzie, president and CEO of Canpotex. “By adding capacity within our railcar fleet, we have greater flexibility in shipping options. This increased railcar capacity ensures our potash is reliably delivered to our customers overseas, ultimately helping the world’s farmers grow higher-yielding crops on each acre of land.”
The new railcars from National Steel Car, valued at more than$155 million dollars, are a continued evolution of Canpotex’s custom design which is meant to maximize productivity, enhance safety, and minimize maintenance. One notable feature on the new railcars is the enhanced steering system that reduces overall fuel consumption, maintenance, and enhances safety.
“We are proud to supply Canpotex with these custom railcars that are manufactured right here in Hamilton, Ontario, at the largest ‘single site’ railcar plant in North America,” said Gregory J. Aziz, chairman and CEO of NSC. “With NSC’s commitment to engineering excellence and innovation, we are confident that these quality railcars will help Canpotex deliver on its reputation as a reliable supplier of high-quality potash.”
Over the past 20 years, Canpotex has invested more than $3 billion in its highly integrated and sophisticated supply chain. In addition to its fleet of railcars, which allow it to operate some of the longest, heaviest unit trains in North America, Canpotex also operates three North American terminals in Vancouver, Saint John, and Portland. As well, Canpotex has a state-of-the-art railcar maintenance facility near Lanigan, Saskatchewan which allows it to maintain its fleet of railcars, enhancing its railcar delivery system through increased performance and operational efficiencies.