Photo: A2A Rail

By Troy Gillard

"CRUCIAL STEP"

Alberta-Alaska rail project granted presidential permit

Sep 30, 2020 | 10:17 AM

It’s a decision that could open up a new export route to Asia for Alberta’s struggling oil sands producers.

U.S. President Donald Trump has issued a presidential permit for the Calgary-based Alaska – Alberta Railway Corporation (A2A Rail) to lay track across the border between Alaska and Canada.

The permit is described as a “crucial step” for the $22 billion rail line to become a reality.

A2A Rail officials say construction could begin as early as this year and be completed by 2025. It would then be operational in 2026.

The 2570-kilometre rail line will run from Fort McMurray through the Northwest Territories and Yukon to the Delta Junction in Alaska, where it will connect with existing rail and continue on to ports near Anchorage.

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Cargo that would be transported on the line would include oil, grain, potash and ore, container goods as well as passengers.

“This is a world-class infrastructure project that will generate thousands of jobs for American and Canadian workers, provide a new, more efficient route for trans-Pacific shipping and link Alaska to North American transportation networks,” said A2A Founder and Chairman Sean McCoshen.

“We estimate that this rail line could unlock $60 billion in additional cumulative GDP through 2040 and create more than 28,000 jobs. In addition, A2A will lift household incomes by an average of 40% in the communities we pass through in Northwestern Canada and Alaska.”

The next steps for the project will include Indigenous engagement, environmental impact assessments, and obtaining the required regulatory approvals in both the U.S. and Canada.

(RD News Now)