INER to haul 24 miles of 36 inch Natural Gas Pipeline

[Notch 8]

On January 25, 2013, Consumers Energy Company (Consumers) filed an application, with
supporting testimony and exhibits, pursuant to 1929 PA 9, MCL 483.101 et seq., requesting a
certificate of public convenience and necessity to construct and operate the Hackman Road to
Lutes Road Pipeline (Line 1200B) in the counties of St. Joseph and Branch, Michigan.
A prehearing conference was held on March 5, 2013 before Administrative Law Judge
Thomas E. Maier. Consumers and the Commission Staff (Staff) participated in the proceedings.
Subsequently, Consumers and the Staff entered into a settlement agreement, attached as Exhibit A.
According to Consumers’ application, the proposed, approximately 24-mile pipeline will be
36 inches in diameter and will be constructed of .532 inch API 5L steel pipe. The Hackman Road
to Lutes Road Pipeline originates at Consumers’ Hackman Road Valve Site in Section 8, T7S,
R9W, Burr Oak Township, St. Joseph County. From the point of origin, the pipeline proceeds in a
generally northeasterly direction to a point of interconnection with Consumers’ Lutes Road Valve
Site in Section 23, T5S, R6W, Girard Township, Branch County. The Line 1200B Hackman Road
to Lutes Road Pipeline will connect the existing portion of the Line 1200B Pipeline, which
currently runs from the White Pigeon Compressor Station to the Hackman Road Valve Site

First load arrived today !

http://www.fwarailfan.net/community/vie ... f=2&t=3338

[AARR]

Thanks for the info, notch 8! I enjoy seeing the new traffic developments of MI short line rr's.

IIRC Klink's also operates the asphalt/bulk liquid transload in Ashley-Hudson. They also have an aggregate trestle for transloading but I don't think that has been used in a while.

[CSX_CO]

Thanks for the info, notch 8! I enjoy seeing the new traffic developments of MI short line rr's.

Hopefully with the small volume, they're making money off the venture.

Practice Safe CSX

[JStryker722]

Thanks for the info, notch 8! I enjoy seeing the new traffic developments of MI short line rr's.

Hopefully with the small volume, they're making money off the venture.

Practice Safe CSX

I imagine 211 loads not normally there any other time is pure money to them,at least to a short line anyway.

[AARR]

Hopefully with the small volume, they're making money off the venture.

I imagine 211 loads not normally there any other time is pure money to them,at least to a short line anyway.

Klinks probably paid for whatever preparation was required to unload, stage, and transload to trucks the pipe. INER probably just has to add the cars on to the daily or every other train that already runs by there.

[CSX_CO]

I imagine 211 loads not normally there any other time is pure money to them,at least to a short line anyway.

Yeah, because Sales and Marketing wouldn't price the service at a loss right?

Practice Safe CSX

[JStryker722]

I imagine 211 loads not normally there any other time is pure money to them,at least to a short line anyway.

Yeah, because Sales and Marketing wouldn't price the service at a loss right?

Practice Safe CSX

I mean that it's extra income this year outside their normal 5000ish cars a year that pays their bills and then some.

[Saturnalia]

I imagine 211 loads not normally there any other time is pure money to them,at least to a short line anyway.

Yeah, because Sales and Marketing wouldn't price the service at a loss right?

Practice Safe CSX

I mean that it's extra income this year outside their normal 5000ish cars a year that pays their bills and then some.

That would make for a 4% increase. Might not sound like much, but for a shortline, you can't often afford to run over your pennies...

Do these count as high/wides? IIRC, the pipe for Alto is. Wonder if that would increase the fare?

[Notch 8]

They also have an aggregate trestle for transloading but I don't think that has been used in a while.

They offload and haul anthracite coal on an as needed basis to SDI Butler Steel Mill, The aggregate trestle I belive was built for off load of coke but no sooner as that was installed the Foundry Industry fell on its face. It was used to offload lava rock several years ago but for the most it sits unused.

The Railroad and Klink's is making money.... As they have not gotten where they're today by not being wise...

As for Klink's the offload site is being used as intended. Windmills was an idea to use the site for as well. It should be interesting to see what uses the site is used for.

These loads do not look to be High Wides. also they are staging the cars out on the Main for off loading.

Week before last Klink did have High Wides for off loading and expect that it's for the same project..

http://www.fwarailfan.net/community/vie ... f=7&t=3333

In other happenings on the INER,

Crews are working in Michigan from Quincy to the east where the last rehab ended, busy stuffing ties and hopefully ballast too, Also later this year crew's will be adding a passing track in Reading MI and will be extending the east passing track by 50 cars to the north and the will allow loading 75 car cuts without blocking the main. track and hardware for the extension and new passing track came from the section of track that was lifted between Coldwater and Sturgis MI, This work is being done for the Anderson's

[JoJames]

SDI has been receiving solid trains of coal from CSX this year. I know of at least three that have ran.

[JStryker722]

It's good to see that the Old Road between Coldwater and Sturgis lives on...just a bit of irony that it will see more use in shorter time as an industrial siding than as an mainline lol

[MagnumForce]

SDI has also received unit coal trains from NS this year. I do not believe there is any transloading going on from Ashley to there.

[Notch 8]

SDI has also received unit coal trains from NS this year. I do not believe there is any transloading going on from Ashley to there.

Yes SDI does recieve coal unit trains from CSX and NS.

The INER recieves Reading and Northern (RBMN) hopper cars loaded with Anthracite and this is placed in blue and white "tent" that is located on Klink Trucking property and is trucked to the Butler Indiana Mill on an as needed basis. So YES transloading does take place at Klink's and NO it is not unit trains, but cuts of 6-10 cars at a time.

Anthracite generally costs two to three times as much as regular coal. In June 2008, the wholesale cost of anthracite was US$150/short ton,

Anthracite (Greek aνθρακίτης (anthrakítes), "coal-like," from άνθραξ (ánthrax), coal) is a hard, compact variety of mineral coal that has a high luster. It has the highest carbon content, the fewest impurities, and the highest calorific content of all types of coals, which also include bituminous coal and lignite.

Also Coke is unloaded at Klink's as well but not sure where it is taken to....

[CSX_CO]

The INER recieves Reading and Northern (RBMN) hopper cars loaded with Anthracite and this is placed in blue and white "tent" that is located on Klink Trucking property and is trucked to the Butler Indiana Mill on an as needed basis. So YES transloading does take place at Klink's and NO it is not unit trains, but cuts of 6-10 cars at a time.

Must be getting a really good rate on those cars if SDI is doing it that way. What with NS service SDI Butler directly, and the cars having to get to Montpelier to interchange with INER anyway.

Practice Safe CSX

[AARR]

The INER recieves Reading and Northern (RBMN) hopper cars loaded with Anthracite and this is placed in blue and white "tent" that is located on Klink Trucking property and is trucked to the Butler Indiana Mill on an as needed basis. So YES transloading does take place at Klink's and NO it is not unit trains, but cuts of 6-10 cars at a time.

Must be getting a really good rate on those cars if SDI is doing it that way. What with NS service SDI Butler directly, and the cars having to get to Montpelier to interchange with INER anyway.

To my surprise not that rare that a railroad customer with direct line access to one railroad will transload from another. In MI there are quite a few instances of this. Even major shippers like auto plants will truck their vehicles to a transload and load railcars there rather than directly at the plant. GM has several CN served plants where they do just that.

[Standard Railfan]

That is because CN does not like to haul automobiles.

[Saturnalia]

That is because CN does not like to haul automobiles.

Is there are reason that this is?

[AARR]

That is because CN does not like to haul automobiles.

There is a lot of speculation why but CN still hauls a lot of vehicles even for GM.

It's not just CN served plants either. I see other companies (Chrysler and Ford) vehicles being trucked to different transload terminals even though the assembly plants they come from have direct loading capability and even use them. Ford, for example, loads at several terminals around town (Detroit, Melvindale, New Boston) including at the assembly plants (Dearborn, Flat Rock, and Wayne).

[CSX_CO]

[quote"CSX_CO"]
Must be getting a really good rate on those cars if SDI is doing it that way. What with NS service SDI Butler directly, and the cars having to get to Montpelier to interchange with INER anyway.

To my surprise not that rare that a railroad customer with direct line access to one railroad will transload from another. In MI there are quite a few instances of this. Even major shippers like auto plants will truck their vehicles to a transload and load railcars there rather than directly at the plant. GM has several CN served plants where they do just that.[/quote]

Not really sure I would equate the loading of autos to transloading a car of coal at Ashley. Makes logistics a lot easier if you can eliminate double handling and interchange of cars. ADM has similar policy I'm told. They like dual access, but that opens their markets up, not necessarily to pit the two carriers against each other. I've heard for ADM if the end customer is on CSX, the shipment starts on CSX at the initial point. Eliminates messy interchanges, and trying to keep who has the contract straight.

In the case of the coal car, the NS had to handle it to get to Ashley, IN in the first place, on a line that directly serves the end plant. Again, must be a good enough rate to SDI that the extra interchange fee, transit time, and truck rental is less than direct service from NS. Especially considering SDI has the ability to unload unit trains of coal, so its not like its a facility issue.

Then again, I've heard through the grapevine NS is doing their best to drive off a lot of the smaller 'loose' car stuff like that though. If you're not shipping out 40 cars a week, they don't want to talk to you right now. I guess they're too busy with the steam kettles and huritage to worry about picking up extra business.

Practice Safe CSX

[Y@]

That is because CN does not like to haul automobiles.

Is there are reason that this is?

How about we get this out of the IN thread.