UP/CSXT RailChem to improve safety

Omaha-Union Pacific Railroad and CSX Transportation have jointly launched RailChem Connect, described as a coordinated rail service for the expedited transport of chemicals – including anhydrous ammonia – between the Texas Gulf Coast region and the Southeast. The announcement from both companies says RailChem is the result of increased coordination and re-designed interline service by the two railroads for their chemical market customers. The service allows shipments to bypass smaller rail yards for expedited transit between major hubs. “Our RailChem Connect service will allow Union Pacific and CSXT to safely and efficiently transport more than 1,000 carloads annually of chemicals Americans use every day, including anhydrous ammonia,” UP spokesman Tom Lange explained. However, according to UP Vice President for Chemicals Diane Duren, the impact of the UP/CSXT arrangement on anhydrous ammonia initially will not be significant. “We don’t tend to move a lot of ammonia (between the Southwest and Southeast),” Duren told Green Markets. “There would be a fairly small amount because there tends to be adequate supply already in place.” Duren added that future arrangements relating to RailChem will be more significant for ammonia shipments. The joint announcement declared that RailChem Connect involves increased operations coordination between the railroads. The effort is designed to increase the reliability of east- and west-bound service between Union Pacific-served chemical markets such as Houston, southern Texas, and Louisiana, and CSXT-served consumption markets in the southeastern states. RailChem Connect offers more consistent transit times, faster equipment turns, and a shorter route than previously available for chemical shipments in this corridor. “Our teams are coordinating efforts to focus on an improved service product for chemicals customers by reducing transit times and tightening the variability in our delivery, significantly improving reliability for customers,” Duren said.