BNSF: $4.2B in 2024 Economic Development
Written by Marybeth Luczak, Executive Editor
(Photograph Courtesy of BNSF)
Investments in new or expanded facilities by BNSF customers in 2024 reached more than $4.2 billion, the Class I railroad reported March 25.
“Significant investments were made from supply chain partners and customers, including CJ Logistics America, Hudson Asphalt Terminal (HAT), and Bakersfield Renewable Fuels (BKRF),” in developments supporting various intermodal, industrial, and agricultural commodities in communities across the BNSF network, according to the railroad.
Highlights include:
- CJ Logistics America expanded its operations with the construction of a new 1.1 million square-foot warehouse near the BNSF Logistics Park Chicago in Elwood, Ill. This facility is part of a $457 million investment by the Korea Ocean Business Corporation and is CJ Logistics’ second location in the village, according to BNSF. The new facility is expected to create 170 new jobs and is part of CJ Logistics’ long-term growth strategy. “It will enable the company to expand its services from a central location and promote cross-border trade in partnership with the Korean business,” BNSF reported.
- HAT invested $25 million to open an asphalt storage and distribution facility at BNSF’s Logistics Center in Hudson, Colo. “By locating at the logistics center, HAT was able to quickly take advantage of increased market demands, breaking ground in October 2023 and receiving its first car 10 months later,” BNSF said. “As the newest addition to the Cenovus network, HAT serves as the exclusive operator for the shipment of Cenovus liquid asphalt, specifically for hot mix producers, shingle manufacturers, and emulsion producers in Colorado. Designed and constructed by ECF, Inc., the terminal has a storage capacity of more than 280,000 barrels, features 20 heated railcar spots, and includes two loading racks with scales. This setup efficiently positions HAT to serve the Colorado market and surrounding states.” The project has created 10 jobs.
- BKRF acquired a former petroleum refinery in Bakersfield, Calif., and repurposed it to receive a variety of oilseed commodities, including camelina oil, for the production of renewable diesel targeted at the California market. “The BKRF facility has undergone significant rail infrastructure enhancements, including rehabilitating existing tracks, adding a crossover, and extending track lines to improve operational efficiency, with one track designated for BNSF to spot cars and another for pulling,” BNSF reported. The BKRF facility is equipped to handle an initial volume of 450-500 railcars per month. Carload service with tank car equipment began late last year.
As a result of these and other customer investments in 2024, BNSF projects supported the creation of more than 1,000 new jobs in local communities, the railroad noted.
Additionally, BNSF said that last year’s investments were the largest that its customers and local economic development organizations had made in the past six years. Investments in 2023 totaled more than $4.1 billion.
“Partnering closely with our customers to develop tailor-made rail solutions is important to us,” said Chris Danos, Assistant Vice President of Economic Development at BNSF. “Doing so optimizes our supply chains and helps drive long-term growth. At BNSF, we’re committed to delivering sustainable solutions for our customers that enhance efficiency, reduce logistics costs, and meet the evolving demands of the transportation industry.”
