American Crystal Sugar’s new bulk-sugar storage facility will mean plenty of business for BNSF Railway.
The $40 million facility in Montgomery, Illinois features a 26,000-square-foot storage dome and a 17,000 square-foot transfer facility.
Key to the facility is 5,500 feet of track space for BNSF trains hauling sugar to and from the facility.
The new facility enables American Crystal Sugar to store product closer to its customers in the Midwest, and according to BNSF, has the capacity to store 60,000 metric tons of sugar, and nearly twice that much will be transferred to customers each year.
© 2016 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.