Thursday, December 10, 2009

UP marks milestone for Pipeline Express Service

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Union Pacific says its Pipeline Express service has reached a milestone by delivering its 25,000th rail car of customerproduct since being formed in 2005.


Pipeline Express serves the steel pipeline industry for oil and gas producers with truck-competitive transit times and a rail network that aligns well geographically with new pipeline projects. Pipeline Express has grown from moving approximately 1,700 rail cars in its first year to nearly 8,000 for its customers through year-end 2008.

“By offering the best value proposition to the natural gas industry, Union Pacific has emerged as the clear transportation choice,” said Greg Shimonek, senior business director for the railroad’s Pipeline Express service. “Our carloads tell the story.”

Natural gas reserves are expected to grow 39 percent from 2007 levels by the end of 2009, according to the Energy Information Administration. Having invested nearly $17 billion in its rail network since 2005, Union Pacific says it is ready to serve that growth. “We have the industry’s largest fleet of 89-foot flat cars capable of hauling 100 tons of pipe,” Shimonek said.  

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