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CN unveils new Moncton-Halifax intermodal rail service

Transport
TSX:CNR
22 May 2020 11:15 (EDT)
The Canadian National Railway Company - President and CEO, JJ Ruest

Source: CN

Canadian railway company, CN (TSX:CNR) has unveiled a new intermodal rail service between Moncton, New Brunswick, and Halifax, Nova Scotia.

Headquartered in Montreal, the company is Canada’s largest railway operator, both in terms of revenue and the size of its network. In its first quarter of 2020, CN reported total revenue of C$3.55 billion.

In association with the Halifax Port Authority, various stakeholders, ocean carriers and customers, CN will now provide integrated solutions via its Moncton yard. The initiative is designed to reduce short-haul trucking in Halifax and promote greater efficiency within broader supply chains.

JJ Ruest, President and CEO of CN, said the intermodal service will play a key role in overall integrated solutions, driving value and supporting growth in the wider Atlantic area.

“We are pleased to be moving forward with this initiative that will benefit all of our partners and customers,” he said. 

CN plays a key role in the North American economy, transporting over $250 billion worth of goods every year for a wide variety of industries.

President and CEO of the Halifax Port Authority, Captain Allan Gray also commented on the new service.

“The CN Intermodal Ramp in Moncton continues to have a positive impact on truck traffic as containers are loaded and unloaded onto rail at that point as opposed to being trucked to and from Halifax.

“Expanding the existing CN Intermodal Ramp in Moncton is showing positive results during this initial development phase, and we will continue working with CN, terminal operators and ocean carriers to find new ways of developing a more sustainable supply chain,” he said.

The progress related to CN’s network comes after disruptions earlier this year, when local communities established blockades in protest of the Coastal GasLink pipeline.

The proposed Coastal GasLink pipeline stretches 670 kilometres across British Columbia and is intended to ship natural gas from north-eastern parts of the province to the coast. 

These blockades have now been resolved, but not without significant impact to CN’s financial performance.

CN (CNR) is up 0.99 per cent and is trading at $115.61 per share at 12:27pm EDT.

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