Canadian construction firm picked for $1B Mazatlán, Durango, to Winnipeg, Canada rail link project

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Caxxor Group wants to build a transcontinental rail corridor from Mazatlán, Durango, to Winnipeg, Canada

Engage Construction Management and Consulting Inc. has been selected for the Canadian piece of a $1 billion infrastructure project connecting Mexico’s Pacific Coast to Winnipeg, Canada.

The United States-Mexico-Canada Agreement (USMCA) Corridor, also known as the Northern Corridor project or TMEC Corridor, is an infrastructure project aimed at allowing Mexico to integrate into the rail and logistics systems of Canada and the United States. 

Mexico-based Caxxor Group, the project developer, said Engage Construction was selected for its track record throughout Canada.

“Engage has the same dynamic character as [Caxxor], a committed company that will do everything necessary to make this project a success in Canada,” Sergio Tanguma, Caxxor’s managing partner for Canada, said in a release.

Engage Construction Management and Consulting Inc., founded in 2012, is based in Alberta, Canada. The company has mainly operated in the oil and gas sector.

“Caxxor recognizes there are significant clean energy and infrastructure opportunities here and Engage is positioned to leverage our network and proven business model to ensure these opportunities become fully developed,” Kevin Kuly, Engage’s founder and president, said in a release.

The Caxxor Group announced the USMCA Corridor project in October 2020. The proposed new trade route would require building a logistics terminal in Winnipeg, Canada, and expanding the shipyard at the Port of Mazatlán in Mexico. The new logistics terminals would handle containers, automobiles, bulk commodities, and petroleum products. 

The project would also require the construction of 54 miles of rail lines in Mexico to go with the more than 146,000 miles of existing railroad infrastructure that runs through the U.S., Mexico, and Canada.

The USMCA Corridor rail link would travel through Laredo, Texas. Laredo’s outbound domestic intermodal volume (ORAILDOM.LRD) is above year-ago levels but has fallen 29% since March 10. 

(Chart: FreightWaves SONAR. Using a seven-day moving average, domestic loaded intermodal container volume outbound from Laredo is shown for 2021 and 2020 in blue and purple, respectively.)

Caxxor officials said the corridor would begin at the Port of Mazatlán, Durango and connect to Monterrey, Mexico, and cross the U.S.-Mexico border in Laredo, then traverse Dallas, Tulsa, Chicago and end in Winnipeg.

The aim is to increase transcontinental competitiveness through rail connectivity across North America as well as reduce freight costs and transport times, officials said.

Source: freightwaves.com

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