Expanding into Canada
US-based Watco has started to manage rail operations in Canada. The company recently began to supervise the operations of Stewart Southern Railway, a US short line railroad that runs from Regina to Stoughton in southeast Saskatchewan (Canada). The railway has 130 km of track and handles commodities such as grain, peas, lentils, and potash.
In most cases, Watco leases or purchases the rail lines that it operates. However, Stewart Southern Railway is owned by a third party so Watco only operates the line. Watco sees a lot of potential for the line, including the shipment of canola oil, a popular product in Idaho (USA). (ben)