SASKATOON, June 18, 2015 /CNW/ - Canpotex has selected National Steel
Car of Hamilton, Ontario, to manufacture 700 new railcars specially
designed to transport Saskatchewan potash to coastal ports. Canpotex's
investment in these additional railcars is valued at $70 million. Since
1999, Canpotex has invested over $500 million to build over 7,000
railcars with National Steel Car.
"Canpotex's success is due in part to our 43-year reputation as a
reliable supplier of potash. The quality and innovative design of the
railcars from National Steel Car will ensure we continue to reliably
deliver the potash our global customers need, when they need it,"
Canpotex President and CEO Steve Dechka noted.
Canpotex's railcars are custom-designed in Canada by National Steel Car
in collaboration with Canpotex to conform to the specific properties
of potash. This innovative design has allowed Canpotex to optimize the
number of tonnes per railcar as well as maximizing the number of
railcars per unit train. The use of these cars by Canpotex has
increased overall train efficiencies by over 90%, resulting in reduced
greenhouse gas emissions as well as enhanced capacities within
respective rail corridors. As a result, since 2000, Canpotex has
doubled its annual rail shipments without adding an additional train
and, consequently, without placing any additional strain on Canada's
Mr. Dechka added, "Canadians throughout the country benefit from the
global export of Saskatchewan potash. We are delighted Canpotex's $70
million investment in railcar capacity will stay in Canada by working
with National Steel Car and their Hamilton employees."
"We are proud of our strong relationship and 20-year history of working
with and producing industry-leading potash cars for Canpotex," stated
Gregory J. Aziz, National Steel Car's Chairman and CEO. "We greatly
appreciate the trust Canpotex has repeatedly placed with our
company. This order alone will secure approximately seven months of
employment for over 400 of our 2,400 employees, and will provide
significant additional benefits to our Province."
Potash is Canada's largest mineral export and Canpotex currently ships
in excess of 10 million tonnes per year, representing approximately $3
billion in annual exports. Once in service, Canpotex's railcars will
transport potash from Saskatchewan to Canpotex port facilities in
Canada and the United States, to meet the needs of Canpotex's customers
in 36 global markets.
Operating continuously since 1972, Canpotex is the exclusive offshore
potash marketing and export company owned by the three Saskatchewan
potash-producing companies: Agrium Inc. (TSX and NYSE: AGU), Mosaic
Canada Crop Nutrition, LP, a subsidiary of The Mosaic Company (NYSE:
MOS), and Potash Corporation of Saskatchewan Inc. (TSX and NYSE: POT).
National Steel Car is proud to call Hamilton home. With over 100 years of excellence in engineering, manufacturing
and continuous commitment to safety and quality, National Steel Car has
earned its reputation as North America's leading railroad freight and tank car manufacturer.
SOURCE Canpotex Limited
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