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Wednesday, February 8, 2023

Union Pacific Railroad begins construction of $400m rail facility in New Mexico

Union Pacific Railroad has announced the construction commencement of an all-new rail facility just outside Santa Teresa.

The company plans to invest $400 million toward the total cost of a project that is expected to add $500 million to the New Mexico economy.

The 2,200 acre rail facility site is located just west of the Santa Teresa Airport and will include fueling facilities, crew change buildings, locomotive inspection tracks, an intermodal ramp and a switching yard.

Set along the historic railroad corridor known as the ‘Sunset Route,’ this project is projected to bring 3,000 jobs to the area during construction from 2011-2015, while basing 600 permanent jobs in the Santa Teresa area upon completion, giving southern New Mexico an inland port that will serve as a strategic focal point for goods movement.

“Union Pacific committed $400 million to this project because this new facility will allow us to continue to enhance the premium service we offer our customers,” said Union Pacific chairman and chief executive officer Jim Young.

“This investment will bring new job opportunities to southern New Mexico and it will also provide economic benefits to the region, serving as a stronghold for commerce and goods movement in the state.”

Once complete, the facility will be 11.5 miles long and one mile wide, will include 200 miles of railroad track and 26 buildings for yard operations.

Previous Union Pacific projects like this one in Santa Teresa have stimulated millions of square feet of additional industrial-related development within five to ten miles of the rail site including warehouses, distribution, and storage facilities.


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