CN and Canpotex sign deal

MONTREAL: Canadian National Railway Company has signed a long-term agreement to transport potash for Canpotex.

Taking effect on July 1, 2012, the 10-year deal will see CN haul a portion of Canpotex’s export-destined potash to Neptune Terminals in North Vancouver. CN will use its southern British Columbia line.

Beyond the basic transportation agreement, the two companies will also work together to study the feasibility of building a new potash export gateway terminal in Prince Rupert, British Columbia, serviced by CN’s northern British Columbia line.

CN expects to use 170-car trains on the potash runs.