National Steel Car to build 700 potash railcars

The $70 million Canpotex deal for the custom-built units will optimize the shipping tonnage.

SASKATOON — Canpotex has selected Hamilton, Ont.’s National Steel Car of to manufacture 700 new railcars to transport Saskatchewan potash to coastal ports, in a deal worth $70 million.

The railcars are custom-designed in Canada to conform ‎to the specific properties of potash, which has allowed Canpotex to optimize the number of tonnes per railcar as well as maximizing the number of railcars per unit train‎. Canpotex says the cars have increased overall train efficiencies by more than 90%, reduced greenhouse gases and enhanced capacities.

Since 1999, Canpotex has spent more than $500 million with National Steel Ca to build 7,000 railcars.

Canpotex currently ships more than 10 million tonnes of potash, Canada’s largest mineral export, per year, representing $3 billion in annual exports.

Operating since 1972, Canpotex is an offshore potash marketing and export company owned by the three Saskatchewan potash-producing companies: Agrium Inc.; Mosaic Canada Crop Nutrition, LP, a subsidiary of The Mosaic Company; and Potash Corporation of Saskatchewan Inc.

National Steel Car, based in Hamilton, Ont., is a manufacturer of railroad freight and tank cars.

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