Watco is buying 650 miLes of lines in northern WI, Upper MI and the former Algoma Central lines in Ontario.
This post is just to kick off any discussion.
I seen that eraly this morning on CN’s web site.
Here’s a map they released earlier in the year, on the proposed divestiture:
I’ll be watching this. I think it still needs final approval from the Surface Transportation Board.
Mike.
Disjointed property to acquire.
Wisconsin Central redux.
(Before they grant this one, maybe they ought to clean-up the mess from the last go round? WsDOT/CNW/WC-Soo/FRV/GB&W? )
To me this makes more sense than the state working with CN to improve service. I think WATCO with it’s lower costs will do much better than CN operating these lines and potentially meet the states goal of bringing back some of the logging trains. Never heard what happened to the state proposal to buy new log carrying cars for CN. I suspect if that is still on the table then they should shift the purchase of the new logging cars to WATCO as they would probably get heavier use and more turns with WATCO.
It looks like the deal includes the Agawa Canyon Tour Train. Does Watco have any other passenger operations?
[quote user="nanaimo73"]
It looks like the deal includes the Agawa Canyon Tour Train. Does Watco have any other passenger operations?
[/quote]
Like many other functions in this past year (+)? COVID 19 as taken its toll. WATCO and the “Heart of the Heartlands” Railroad Club used to run fan trips here in Kansas; they utilized a set of uin-powered RDC cars that were based out of the Club’s Museum at Corona, Ks. At one time they utilized SP #745 on fan trips out of the Pittsburg, Ks area {in co-operaton with the LASTA Club/ Louisiana Steam Ttrain Assoc.); pulling several days of trips, dring a local celebration, Little Balkan Days. http://heartlandstrainclub.org/
WATCO"S Corporate Hq. is in Pittsburg; and the Webb Family have been heavily supportive of both the Museum aty Corona, and the Raiolroad Club.
My guess, would be, if the opportunity to operate the Agawa Canyon Passenger Train happens; WATCO would be supportive (?).
P.S. [#welcome]
It is good to see you back posting here on this FORUM, again. Dale [swg][bow]
I see from the map that one of the lines involved goes to Ashland WI from the south. I didn’t know Ashland still had a rail line. What is there for traffic in the area?
Murphy, the line to Ashland is intact but out of service right now. There used to be an ore dock there, loading ore from the Gogebic Range that is slightly to the east in northern WI and the western tip of Upper Michigan. Ashland was home to the Soo Line’s only 2-10-0 which was used to push ore jennies up to the dock to dump. It is on display in downtown Ashland.
One well-hidden fact in WI and MN is there is a bounty of precious metals in the northern regions of both states - metals that are used even in electric cars and other such products. But these minerals have been declared “off limits” and any attempt to access them is fiercly-opposed by various groups. So production of these necessary minerals happens elsewhere, almost all outside the US.
if somehow there were ever mineral mining allowed in the future in that region, the line to Ashland would become very important again.
Yep, and the press release specifically mentions that Watco will be operating the Agawa Canyon train (though not likely this year yet due to COVID restrictions in Ontario).
The announcement also mentions a “Memorandum of Understanding” with the local Cree first nation, which has been trying to re-organize local flag-stop passenger service to remote communities along the ACR line, which last ran in July 2015.
And naturally, Ontario as well. It’s all sort of geologically similar.
The Algoma Central used to serve iron mines near Wawa, although these closed in favour of higher grade ore from Michigan/Wisconsin. There is always the possibility of development there though, although major new exploitation of iron ore reserves doesn’t seem immediately likely. There are gold mines in the area too, but these are far too small for rail operations.
And there’s that big chromite deposit in northern Ontario they’ve been talking about exploiting for oh the last 2 decades or so… Supposedly this will start to be developed in the next five years or so and a chromite smelter built in Sault Ste. Marie which provide Watco with some new traffic between Oba and the Sault, although it’s a few years off yet.
The Canadian Shield which dips into the upper Midwest is a motherlode of minerals.
While sitting home recuperating from some minor side effects of the Moderna vaccine, I took the time to use Google Maps to view the various line segments that Watco is purchasing from CN in Michigan and Wisconsin.
Following is a list of major customers on the line segments. Please note, this is not a comprehensive list and I may have some wrong, particularly in Appleton and North Milwaukee where there is not necessarily a clear logical point where Watco ownership starts. As best I could I only tried to include businesses with what appeared to be active sidings.
Munising Line
Munising has a large Neenah Paper facility
Between Munising and Newberry there are three areas that look like pulp log loadouts that are no longer used
Newberry has an active pulp log loadout, a large Louisiana Pacific mill, and a Northern Hardwoods facility
Wisconsin Valley Line
Park Falls - the current end of active track - has a large paper mill
Fifield has a large active pulp log loadout
Phillips has an active Business Paper Systems facilty
Prentice has an active pulp log loading operation and Biever Sawmill
Rhinelander has a large unidentified manufacturer, Lake Shore Systems facility, and Ahlstrom Munksjo paper mill
Tomahawk has the Tomahawk Railway Warehouse, a large Packaging Corporation of America facility, and an active co-op
Medford Line
Medford has the Medford Co-op and Weathershield Windows
Dorchester has Dorchester Co-op and Northwest Hardwoods
Colby has Packaging Corporation of America
New London Line
Manawa is the end of track and has a Sturm Foods plant
New London has Granite Valley Forest Products, Amcor Flexibles North America and Perfecseal plants
Greenville has United Co-op
I’m surprised that CN isn’t getting rid of more track than they are. I would think they would jettison everything north of Wausau and Green Bay.
I am also suspicious of WATCO’s plan to operate the Agawa Canyon passenger train. As discussed in an earlier thread in this forum, there is little or no business on the ex-AC&HB between Sault Ste. Marie and Oba. As locals used to quip that AC&HB really stood for “All Curves and High Bridges”, it’s an expensive piece of railroad to maintain, and the seasonal tourist passenger service likely doesn’t cover the cost.
Despite the fact that it’s been almost a decade since the Soo Line ore dock in Ashland was dismantled, the high school sports teams are still “The Oredockers.” But then, just down highway 13 is Mellen High School, who are still the “Granite Diggers” and the Black Granite quarries have been dormant for years.
i recall turning south off US Highway 2 in the 1960s onto Wisconsin highway 13 and crossing thirteen railroad tracks in downtown Ashland: Northern Pacific, Soo Line, and Chicago and North Western. Today: Not one.
Wisconsin lifted the moratorium on sulfide mining 3 years ago, and there are at least 4 projects in the pipeline. Michigan has an operating Nickel-sulfide mine, and the concentrate is hauled by CN. Michigan is also in the process of permitting a zinc mine.
There is also Timber Products Company on the Forest Center spur north of the line between Munising and Shingleton.