Railroad Expansion | Video

Amy Fox | 10/11/2012

A few years ago, railways were a dying trend but now there`s a light at the end of the tunnel for railway companies in western North Dakota.

"Our velocity is at an all time record high in terms of our ability to move cars in a quick basis, dwelling times are down. Business is improving," said Industrial Products Vice President of Marketing Denis Smith.

As Smith explains, nothing could have prepared railway companies, like Burlington Northern Santa Fe, for the Bakken oil boom.

"We didn`t forecast or our customers didn`t know business would be better."

Every day, BSNF Railway transports one million barrels of oil throughout the Williston Basin and the Bakken field.

"Production there came on a lot faster than we thought," said Smith. "We`ve been able to gain more market shares verses pipeline, which was a pleasant surprise for us and the markets have been very good and production has been very higher than we all thought."

With more routes throughout western North Dakota in response to the oil boom, more employees are needed to be hired, which is something BSNF Railways is hoping to expand and grow from.

"We`re in a sweet spot in terms of being able to take it to a market that pipelines can`t get to and that`s been the rationale for the growth of railroads here in the Williston Basin."

BSNF is looking forward to expanding and updating its services one box car at a time.

Farm crops are still the number one thing being transported by train right now. But, with the oil boom projected to go on for at least another decade, oil is becoming a close second.

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