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Alpenglow and CC&L Infrastructure acquire Texas rail terminal

Orange Rail will join Alpenglow’s Gulf Coast terminal portfolio

Alpenglow Rail has acquired Orange Rail's Texas terminal. (Photo: Jim Allen/FreightWaves)

Denver-based terminal operator Alpenglow Rail has partnered with infrastructure investment firm Connor, Clark & Lunn Infrastructure (CC&L Infrastructure) to acquire Orange Rail, a newly constructed rail terminal in Orange, Texas. 

The terminal has access to Union Pacific (NYSE: UNP) and BNSF (NYSE: BRK.B), and it serves a “diverse base of blue-chip rail customers,” according to Alpenglow. The facility consists of a loop track that can handle 120-car unit trains, and it has approximately 600 railcar storage spots. The terminal is located on 130 acres of land and is “strategically located” between two refinery and petrochemical centers, Beaumont, Texas, and Lake Charles, Louisiana, Alpenglow said.

“We are very excited to add Orange Rail to our USA Rail portfolio,” said Alpenglow CEO Rich Montgomery. “At USA Rail we serve many of the same customers that will benefit from the acquisition of Orange Rail. This provides excellent optionality for our customer base to execute a single agreement with USA Rail while handling their rail needs across multiple terminals and markets. Uniquely positioned to serve core Gulf Coast petrochemical and industrial centers, our new terminal in Orange is truly one of the most versatile rail terminals in the region.”

Construction of the first phase of the facility of Orange Rail, a subsidiary of Houston-based LJA Engineering, was completed last summer.

“In the near future, [Orange Rail] will be able to handle unit trains, store more than 1,200 railcars, provide truck to rail or rail to truck transloading services, and offer railcar cleaning and repair to our customers. LJA did an excellent job designing and building this facility,” Montgomery said.

Alpenglow says the Orange Rail acquisition is part of an ongoing effort between Alpenglow and CC&L Infrastructure to develop and operate a portfolio of rail businesses across North America. Orange Rail will join Alpenglow’s USA Rail Terminals, which consists of rail terminals in Port Arthur, Texas, and Baton Rouge, Louisiana. 

“This transaction has strengthened the LJA and Alpenglow relationship,” LJA Infrastructure President Mike Baker said. “We engineered and constructed both Orange Rail and USA Rail Terminals’ most recent terminal in Port Arthur. We were pleased to reach an agreement with Alpenglow and look forward to working with them on future opportunities.”

Alpenglow and CC&L Infrastructure also own and operate VIP Rail, which consists of two railcar storage, switching, transloading and railcar cleaning terminals in Sarnia, Ontario. CSX (NASDAQ: CSX) and CN (NYSE: CNI) serve the terminals. 

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Joanna Marsh

Joanna is a Washington, DC-based writer covering the freight railroad industry. She has worked for Argus Media as a contributing reporter for Argus Rail Business and as a market reporter for Argus Coal Daily.