The new owners of the Hudson Bay Rail line are set to initiate immediate track repairs according to the Canadian government on Friday. The announcement came following a deal in place for purchase of port and railway by a consortium of buyers. The agreement will open up travel and shipping to the remote northern outpost of Churchill, Manitoba, isolated from the rest of the province since May 2017.
Churchill residents have dwindled in numbers from roughly 1,000 people to 700 – 800 since the washout and subsequent nearly $60 million in damage to the rail line linking Churchill to the south. The trail closure has escalated costs for crucial supplies such as food and fuel, which currently is being shipped in on barges or through air transport.
“We’ll have control in the future, and we’ll work toward prosperity,” said Churchill mayor Mike Spence. “This is historic, I don’t think there’s another model out there in Canada that would fit into this equation.
“This is what we hoped and wished for — we are finally there.”
Jim Carr International Trade Diversification Minister thanked area residents for their patience.
“I want Canadians living in northern Manitoba and Nunavut to know that the Government of Canada understands the importance of the line to their daily lives,” he said in a release on Friday.
The deal was delayed numerous times while Omnitrax claimed it wasn’t able to afford to fix the tracks. After hiring an assessment firm, Omnitrax estimated between $40 million and $60 million in repairs to restore light passenger-rail service and take about two months.
“We are racing against time,” said Fairfax Financial president Paul Rivett in a release. The goal for the new owners is to have the rail line operating prior to winter setting in.
“Phase 1 of the project will be to repair the rail line, undertake safety and rehabilitation upgrades to the port and the railway assets. We will commence the repairs and do all we can to restore service expeditiously and safely.”
Manitoba Premier Brian Pallister commended the deal and stated that plans are in place just in case the line cannot be fixed prior to the severe winter sets in.
“We are hopeful the repair of the rail line can occur as soon as possible so that service can be resumed before freeze-up,” he said.
“However, we want to reassure the people of Churchill and the surrounding northern communities that we have already made the financial commitments and logistical arrangements necessary to ensure propane resupply for the winter.”