The Alabama Port Authority is to construct a new inland intermodal transfer facility in Montgomery, Alabama.
The port authority’s Board of Directors recently approved a $2.042 million purchase of 272 acres in the state capital for this new facility.
The project seeks to extend the intermodal rail services from the authority’s container intermodal terminal at the Port of Mobile and in turn support Alabama’s regional growth in manufacturing, retail, distribution, and agribusiness sectors.
“This project will provide our shippers with cost-competitive transportation services to and from one of the nation’s fastest growth containerised cargo gateways,” said John C. Driscoll, Director and Chief Executive Officer for the Alabama Port Authority.
Once construction is complete, the facility is set to be serviced by CSX Transportation (CSXT) Intermodal.
The project reestablishes regularly scheduled CSXT Intermodal rail services at the Port of Mobile. The terminal operator will contribute up to $12.5 million towards infrastructure improvements at the facility.
“This is another great example of how successful partnerships can help foster creative solutions for CSX customers. These infrastructure investments will provide the opportunity to grow our business in the region,” said Tom Tisa, Head of Business Development for CSX.
Phase one of the facility is estimated to cost around $54 million and could take up to two years to complete. This will connect inland Alabama shippers to the seaport’s intermodal container transfer facility at Mobile.
The Montgomery facility extends the container intermodal assets at the seaport to public and private investments inside Alabama. One example of these kinds of investments is the South Alabama Mega Site where CSX is currently investing $6 million into rail spur infrastructure to accommodate large scale, advanced manufacturers.
“Alabama’s economy is rebounding stronger than ever, and our port is doing record business. So, I am thrilled to see us working to connect areas like Montgomery with our gateway to the world,” said Governor Kay Ivey.
“Truly, Alabama’s economy will be running on all cylinders with the addition of this CSX Transportation Intermodal. I look forward to the continued growth that is sure to follow.”
Overall, the project is set to generate 2,618 direct and indirect jobs, bringing in $340 million in business revenues and over $14.2 million in state and local taxes.
The Alabama Port Authority also recently began the deepening and widening of the Mobile Ship Channel, as part of the $365.7 million Mobile Harbor project with the US Army Corps of Engineers due to be completed by 2025.
It said the Bar, Bay and River channels will be deepened by 50ft, with additional depths for wave allowances and advanced maintenance. The project also includes the widening of the Bay Channel by 100ft for three nautical miles to accommodate two-way vessel traffic and other safety improvements.
