Powder River Basin Joint Line Booms

U.S. COAL REVIEW December 11, 2006

Joint Line Roars with Record November, Keeps Utilities Flush

Average daily Joint Line Train Loadings set a record in November. The blistering pace certainly is contributing to the inability of coal producers throughout the country to knock buyers off their comfortable inventory perch.

Burlington Northern Santa Fe and Union Pacific loaded a record average of 67.1 trains per day on the Joint Line in Wyoming in November. The previous record of 66.5 trains per day was set in June of this year.

In fact, as winter energy needs near a peak, Union Pacific is moving record trainloads of coal from Wyoming 's Southern Powder River Basin and coal-producing mines in Colorado and Utah .

During November, Union Pacific moved 20 million tons of coal from the SPRB and Colorado and Utah , a rise of nearly eight percent over November 2005. During the month, the railroad posted its third best average daily performance in the SPRB, averaging35.7 trains per day.

The movement of Colorado and Utah coal recorded its best daily train numbers of the year in November, averaging 11.6 trains per day.

Union Pacific also set train size records during the months of October and November. UP trains moving coal out of the SPRB averaged 15,135 tons each - an increase of 200 tons over last years annual average. A new wheel-changing process at Bailey Yard in North Platte , Nebraska , helped UP achieve the increased tonnage record. The enhancement has the potential to increase train tonnage out of the SPRB by more than 750,000 tons next year with no additional train starts.

“These records and process improvements are just two more examples of how committed Union Pacific employees are to meeting our customer’s needs,” said Jim Young, president and CEO. "Every day our employees are on the job to meet the demand for coal, and we will continue to

Nothing newsworthy here…anybody who gets trackside frequently these days can tell this is true simply by counting coal cars and comparing the count with last years count…much higher, and it won’t be slowing down for as long as we and our children and grandchildren, etc., etc., etc. are living on this earth.

Don’t bet the barn on that one!

  • Coal supplies are finite. Sooner or later, they will run out.
  • It’s entirely possible that a mad scientist and a sane engineer will team up to create a device to convert mass directly to energy. Then your neighborhood utility will be able to power up half a state for a month on one cat-box load of used kitty litter.

Remember, back in 1890, the major pollution problem in New York City (and other metropolitan areas) was the accumulation of horse droppings in the streets. Times and technology have changed, and will continue to change at an ever-increasing pace.

Chuck (modeling Central Japan in September, 1964 - including a colliery)

True, the coal will run out some day, but based on current estimates (demand growth factored in) it will not for about 150 years (give or take) and so nobody living on this earty today or their children and likely grandchildren need to worry too much.

Isn’t there a thread stating that RRd’s can’t keep up with demand for coal? How does this article bode with that one? [%-)]

That thread is now about deregulation and California water rights. FM makes it happen.

If coal trains are at an all-time high, you get this thread. If demand for coal is even higher, you get the other thread. Both threads are basically factual.


Thats kinda my problem; I understand both threads and both arguements, at least to me, carry some water. Could it be both?

Could it be both? It is both!!! I’m not sure why you see a paradox. The amount of coal being shipped is at record levels. The demand for coal is at record levels. Even though shipments are up, they are not up high enough to keep up with demand.

If it’s “they are not ‘up’ high enough to keep up with demand,” then which one is it? See the ‘paradox’? Glass half full or glass half empty?

PRB coal deliveries are running at about 86% of current demand.

Is that just a temporary number, as demand is at its peak level as powerplants stockpile for winter ?

The additions planned by the railroads for 2007 will put their capacity to the point of being able handle 100% of the orders at the current level. Of course if the mines accept purchase contracts or spot orders for for total quantities greater than the new capacity figure of over 400 million tons, I guess the capacity shortage continues.

Of course the DME is poised to come to the rescue as soon as they get the loan! Right?