Latest On Uinta Basin Railway Shared At Vernal Chamber Luncheon

by | Jan 26, 2022 | News | 0 comments

A project considered a game changer for the Uinta Basin was the center focus of the Vernal Chamber luncheon on Tuesday. The Uinta Basin Railway is becoming a reality thanks to a public private partnership that includes the Ute Indian Tribe, the 7 County Infrastructure Coalition, Drexel Hamilton, and Rio Grande Pacific. Among the presentations, Uinta Basin Railway Deputy Project Manager Kyle Robe broke down the tentative construction timeline and project details, saying that no project “like this has been done since the 70’s.” It is hoped that construction will begin in January 2023 with the project complete by December 2024 and rail service set to begin in January 2025. The railway will include 85 miles of track, 40 bridges, and 5 tunnels with the longest tunnel stretching 3 miles. Tunnel construction can be accomplished at 25 feet per day with crews tunneling from both sides and meeting in the middle. Construction is anticipated to provide up to 2,000 direct jobs as well as additional employment for local contractors. Once operational, Rio Grande Pacific expects to hire 100 to 150 full-time employees. The railway will be a single track with sidings that accomodate a 2nd train to pass. The railway can accommodate 6 trains per day and each train can carry up to 60,000 barrels of oil per day. The project has a $1.5 billion dollar construction cost and Pam Juliano, Director of Government Affairs for Rio Grande Pacific, emphasized that the entire project is privately funded with zero tax obligation to Uinta Basin citizens. While the $27.9 million dollars needed for the engineering and EIS study was funded through the Community Impact Board, that entire amount will be returned to the CIB once the railway is commercialized. While it is hard to estimate all the ways the railway will affect the local economy, Coalition Director Mike McKee shared that the benefits include $100 million dollars in additional tax and other revenue to local counties as well as the obvious creation of jobs and diversification of the economic base. Being able to connect with the national rail system will provide more competitive pricing on oil and gas, making companies able to operate with greater profit. There will be additional jobs brought to the area with increased production which also creates more need for local well service contractors. For more information on this project, visit www.uintabasinrailway.com


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