The federal and Manitoba governments have jointly allocated a $60 million grant to the Arctic Gateway Group for development projects in Churchill, Manitoba.
This funding will be utilized to complete the ongoing work on the Hudson Bay Railway, initiate the redevelopment of the Port of Churchill, and provide further support to the communities and sectors of the economy dependent on the operations of the Arctic Gateway Group. The Arctic Gateway Group is a collaborative effort involving 41 First Nation and Bayline communities in Manitoba.
The Hudson Bay Railway, owned and operated by the Arctic Gateway Group, serves as the primary year-round transportation route for both passenger and freight traffic to access numerous northern Manitoba communities. The rail line plays a crucial role in supporting supply chains, local food security, and regional connectivity.
This investment builds upon previous commitments made by the Government of Canada and Manitoba to restore essential rail service to Churchill and surrounding areas. The Hudson Bay Railway serves as a lifeline for remote and Indigenous communities, connecting them to the Port of Churchill, the sole deep-water Arctic port integrated into the North American surface transportation network. The Port is strategically positioned for importing and exporting commodities, critical minerals, and natural resource products via Arctic routes to global markets.
Manitoba’s Minister of Transportation and Infrastructure, Lisa Naylor, stated, “Investing in transportation services in northern Manitoba is a priority for our government, and we’re pleased to partner with Indigenous Nations and the federal government to ensure the Hudson Bay Railway remains a safe and reliable transportation route. This investment will create jobs, advance our critical mineral strategy, and contribute to our net-zero targets.”
In 2018, the federal government committed to repairing and maintaining the Hudson Bay Railway, leading to the establishment of the Arctic Gateway Group and the acquisition of the railway, Port of Churchill, and Marine Tank Farm. A collaborative effort between the Government of Canada and the Province of Manitoba in 2022 further ensured the operational continuity of the railway for all its beneficiaries.
Significant maintenance and repair work has been undertaken on the railway over the past two construction seasons. This includes the replacement of over 8.9 percent (166,000) of rail ties, resurfacing of two million feet (610 kilometers) of track, upgrades and repairs to over 10 bridges, and the installation of fresh ballast rock on 23 percent of the track between The Pas and Churchill, Manitoba.
The Hudson Bay Railway and Port of Churchill play crucial roles in facilitating northern economic development and reconciliation in partnership with Indigenous Peoples, serving as gateways to the Arctic and essential national assets.
Mike Spence, Mayor of Churchill and Chair of the Arctic Gateway Group Board of Directors, stated, “The government partnerships we have established allow us to invest in and upgrade the Hudson Bay Railway, achieving higher levels of service and reliability. Additionally, we can focus on expansion and opportunities through the redevelopment of the Port of Churchill.”
As an Indigenous and community-owned company, the Arctic Gateway Group is committed to enhancing the northern infrastructure corridor and continuing partnerships with industry stakeholders, strategic partners in the Kivalliq region of Nunavut, and governments to promote regional development and prosperity.
Since 2021, the Arctic Gateway Group has experienced a significant increase in re-supply exports through the Port, enabling the announcement of twice-weekly freight services starting in the spring. Strategic partnerships with the Kivalliq region of Nunavut continue to progress.
In 2023, the Port of Churchill welcomed its first cruise ship in decades, bringing hundreds of international tourists and additional economic benefits to the region. The Arctic Gateway Group anticipates the arrival of more cruise ships during the 2024 and 2025 seasons.
Recently, the Arctic Gateway Group announced an agreement with Hudbay Minerals Inc. for the re-establishment of a critical minerals supply route, with zinc concentrate shipments scheduled to commence from the Port in 2024.
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