Investments in Huron Central Railway

Written by Ontario Newsroom on 25 September 2010

Algoma-Manitoulin MPP Mike Brown

GOVERNMENTS OF ONTARIO AND CANADA INVEST IN HURON CENTRAL RAILWAY

From wikipedia.org

Sault Ste. Marie, ON – Mike Brown, MPP, Algoma-Manitoulin, is pleased that the Government of Canada has matched the previously-announced Provincial share of $15 million by its investment today in the Huron Central Railway.

Mike Brown, MPP, Algoma-Manitoulin said “The Government of Ontario is pleased to be joined by the Government of Canada in this significant investment in efficient rail transportation. The rail link helps maintain the competitive edge of Essar Steel Algoma, Domtar Espanola, and other shippers and therefore our communities and jobs along the Highway 17 corridor.”

Many communities, both small and large, as well as local manufacturers and businesses served by the Huron Central Railway can depend on the continuation of rail service between Sault Ste. Marie and Sudbury.

Dean Del Mastro, Member of Parliament for Peterborough, today announced the Government of Canada will set aside funding for up to one-half of the total eligible project costs, to a maximum federal contribution of $15 million for rehabilitation and improvements to the Huron Central Railway.

Mario Brault, President of Huron Central Railway, stated: “We are pleased and excited with this announcement today. I am extremely proud of the confidence this government puts in our company and I am very happy for employees and for the communities that we serve. We also commend the efforts of the City of Sault Ste. Marie and our major customers and particularly Essar Steel Algoma and Domtar who worked very hard to make this outcome possible.”

“We are very pleased that the Government of Canada is committing this investment to the Huron Central Railway which is critical to our business,” said Michel Jean, Vice-President of Logistics and Production Planning at Domtar. “We appreciate this support which will contribute to the improvement of the rail infrastructure so we can safely transport products and meet our customers’ needs. This is great news for our Espanola mill, our employees and the community.”

“The services of HCR are critical and essential to Essar Steel Algoma delivering its products to market in a timely and cost effective manner,” added Armando Plastino, CEO of Essar Steel Algoma. “We are pleased to have partnered with all the relevant stakeholders and with HCR in arriving at a permanent solution to the difficult economics facing the rail line. With today’s federal government announcement, all the pieces required to ensure a permanent solution are in place and we can look forward with certainty to an ongoing and mutually beneficial business relationship with the rail company.”