CN and Teck Resources Limited announced a long-term rail agreement for shipping of steelmaking coal from Teck’s four B.C. operations between Kamloops and Neptune Terminals, and other west coast ports. The agreement runs from April 2021 to December 2026, and will enable Teck to significantly increase shipment volumes through an expanded Neptune Terminals. The agreement also provides for investments by CN of more than $125 million to enhance rail infrastructure and support increased shipment volumes to Neptune.
“This agreement and the associated infrastructure investment will provide us with rail capacity to match the major upgrades underway now at Neptune Terminals,” said Don Lindsay, President and CEO of Teck. “We expect this will lower our total transportation costs and improve overall rail and terminal performance.”
“CN is proud to be playing such a significant role in moving the steelmaking coal from Kamloops to the last mile at Neptune Terminals on Vancouver’s north shore,” said JJ Ruest, President and Chief Executive Officer of CN. “This significant volume commitment from Teck is further proof of CN’s ability to serve our customers into Canada’s trade gateway on the west coast. The terms of this agreement are confidential.
Headquartered in Vancouver, Teck is Canada’s largest diversified resource company committed to responsible mining and mineral development with major business units focused on copper, steelmaking coal, zinc and energy. Operations are conducted in Canada, the U.S., Chile and Peru.