Different Hoppers in Muskegon

[Mr. Tops]

Inbound Z627 brought in a string of about 19-20 CSX 245xxx series covered hoppers. Looks like Conrail Jon caught them coming in on the head-end of Q335: http://railroadfan.com/gallery/displayi ... pos=-50405

I am going to assume these are going to be used for Nugent, as there are only 4 hoppers at the Henry Street Yard. 19 loads went out on Thursday night!

Here is a shot (not mine) of one of the hoppers that is in Muskegon: http://www.rrpicturearchives.net/showPi ... ?id=128285

Here's what I could see (all CSXT reporting marks):

245211
245753
245764
245958
245185
245834
245519
245222
245492
245497
245723
245149
245641
245285

This is significant because Nugent has always gotten 2-bay "shorty" covered hoppers (AAR type C111) with under 3000 cu ft capacity, whereas these are longer, 3-bay hoppers (AAR type C113) with 4000-5000 cu ft capacity. I should note that in the past, Nugent gotten similar cars, as SIRX hoppers of similar size and style were inter-mixed with the CSX hoppers for several years in the late-90's/early-2000's.

[SD80MAC]

I wondered what all those were for.

[AARR]

I get the impression from Bob's message they're for sand service. Although there's an elevator in Fremont that could use them too

[Mr. Tops]

Don, I will keep track of these hoppers to see if they're brought up to the Henry Street Yard (for Nugent). As you mention, there is Fremont Co-op, and Bayer Crop Science just south of Berry Jct that get hoppers. Although usually not CSX cars and definately not that many at a time. I think these were previously used for phosphate service or something of the like as many of them are very dirty with light colored muck. This would go along with the additional sand leaving Nugent (being trucked down from Ludington).

But as I said, I will keep track of them as I am not 100% positive; only speculating right now...

[AARR]

I don't think it would be Bayer since I thought they receive loads in and it sounds like the new hoppers are empties.

[Raildudes dad]

I saw the same cars yesterday after a funeral in Muskegon. I'm going to guess the sand from Ludington. MMRR wouldn't long term lease cars for a customer that will probably be a short term customer.

[muskegonrr]

Those are Nugent Sand cars. CSX is increasing the size of the Nugent pool for the increase in sand from Sargent Sand in Ludington. Those cars the first of many to be added. I heard numbers around 100-150 additional cars for the pool.

[AARR]

Wonder what the story is that MQT didn't get the sand business from Ludington

[rob]

no place to dry the sand and load cars.

Rob

[Mike H]

Don,
Trucking the sand to Muskegon is just short-term. Sargent wants to get some market presence and having Nugent wash, dry, & separate the sand is a very inexpensive way to enter the market.

Sargent has some big plans for the future and a sand plant/railcar loading facility in Ludington is part of those plans. In transportation costs alone, I know that is costing Sargent $1,000 to $2,000 more per cars to ship out of Muskegon. Sargent is shipping a little more 2,600 cars this fall/winter and at that rate it will cost them at least $2.6 Million dollars more by loading in Muskegon!

Next year there are rumors that Sargent might triple the number of cars shipped. For the $7.8 million that they will loose by shipping to Muskegon next year it is very easy to justify building a sand plant in Ludington. For $7.8 Million you can have the Cadillac of sand plants!

Of course, I have had a number of railfans tell me that Marquette Rail probably will not be around next year. So maybe those guys know something that I don't know & someone else will be moving the sand. I guess we will just have to wait & see what happens.

So who is betting on Marquette Rail & who is not? Let’s see who wins! HAHA
Mike H

[GreatLakesRailfan]

Of course, I have had a number of railfans tell me that Marquette Rail probably will not be around next year.

Have you really? Apparently those railfans don't post on here, I don't recall seeing anything negative about you guys on this site, or any other that comes to mind. I'd gotten the impression MQT was pretty healthy and becoming even stronger. Guess I'll have to make a trip over to the west side of the state to see the mighty MQT before it's too late...

[AARR]

Thanks for the insights, Mike. I enjoy reading about the behind the scenes stuff of business decisions. Good luck getting the business into Muskegon and on MQT.

I haven't heard anything about MQT not being around in a year. But even if that were the case, someone will be running the railroad and probably most if not all of the employees will still be there even if it's under different ownership/management.

[sd70accsxt700]

Yea Mike H, been hearing the same thing at work, from people from GR. I keep saying where do you hear that.

[Mike H]

No worries, Marquette is not going anywhere! We are still making money and the guys got some bad information, (I suspect came from a former employee) but yes the guys do post on this board from time to time. I thought it was actually funny after I got over the shock of what they were saying!

PCA is slow right now, but the rest of our customers are doing very well. We have been fortunate with some unexpected traffic this year that has helped offset the PCA shortage. We have a new customer coming on-line this fall/winter in Manistee that will be a nice addition. Morton has started shipping bulk cars for a short-term order which could turn into a regular thing if all goes well.

The double door boxcars for Dow are a nice addition to make up for the lack of CSX supplied bulkhead boxcars. Our boxcars do not have bulkheads which allow Dow & Cal-Chlor to get more skids in the car. They played the loading pattern and are now getting even more skids in the car then we figured they would be able to load! It just makes us that much more truck competitive and I love it!

The way things are going I expect Van's & Michigan Rail & Storage to be expanding in the next year or two. Both customers are almost always getting more cars than they can handle. Talk about a great problem to have!

There are a few other potential customers that we might be adding, but as always it is nothing that we will talk about until the track is put in.

To give you an idea how Marquette is going let me put it like this: I am 23 and I am confident that Marquette Rail will be around when I am ready to retire!

Mike H

[AARR]

Thanks for the updates, Mike.

[mikerm19]

Go Mighty Marquette!