Canadian railroad giant CN and Jacksonville, FL-based rail operator CSX Transportation, have signed a long-term agreement for CN to haul CSX traffic directly to and from Sarnia, Ontario, over CSX track into Buffalo, NY, and Toledo, OH.
“Under this agreement, CSX retains a vital commercial presence in Sarnia – a major petrochemical production region – while using CN’s trains and network for efficient long-haul transportation of our Sarnia traffic to the rest of the CSX network in the U.S.,” said Dean Piacente, CSX’s vp-chemicals and fertilizer.
“CSX traffic is a welcome addition to our network in Ontario, Michigan and Ohio, increasing freight densities and improving economies of scale,” added Keith Creel, senior vp for CN’s Eastern Canada Region. “CN has the crews, locomotives and routes to provide solid, time-sensitive service to CSX and its Sarnia customers.”
CN is also going to transport long-haul CSX traffic destined for Canadian Pacific Railway Ltd. (CPR) to London, Ontario, for interchange with CPR. This traffic is currently interchanged between CSX and CPR at Chatham, the companies said.
CSX also noted that it’s going to retain track and continue to serve its customers in Sarnia, maintaining operations on 27 miles of its line between Sarnia and Wallaceburg, Ontario. However, CSX will discontinue about 26 miles of track between Wallaceburg and Chatham. CN is going to purchase 12.5 miles of CSX track between Chatham and Blenheim, Ontario, acquiring control of tracks connecting CN’s network to its Windsor yards and the Detroit-Windsor rail tunnel.