Canadian Pacific Kansas City Limited (CPKC) and Teck Resources Limited have entered into a long-term rail agreement to transport steelmaking coal from Teck’s four operations in southeastern British Columbia.
As part of their commitment to building green transportation corridors, CPKC and Teck will work together to develop a unique pilot program that integrates CPKC’s hydrogen locomotives into Teck’s steelmaking coal supply chain. This initiative is expected to reduce greenhouse gas emissions, and testing will begin in early 2024.
The partnership between CPKC and Teck is geared towards achieving net-zero greenhouse gas emissions by 2050, in line with both companies’ climate action strategies. Furthermore, the agreement aims to increase the resiliency of the Canadian supply chain with investment in infrastructure and technology, from origin through to destination.
Teck’s CEO, Jonathan Price, expressed excitement about the partnership, saying, “This collaboration with CPKC to pioneer hydrogen locomotive technology supports our climate action strategy and our objective of achieving net zero by 2050.” Meanwhile, Keith Creel, CPKC President and CEO, added, “CPKC is proud to work with organizations such as Teck that share our passion to be leaders for a sustainable future as we look to take the next step in the development of our innovative hydrogen locomotive program.”
The pilot program between CPKC and Teck is an exciting development that showcases the potential of hydrogen-powered locomotives as a solution for reducing emissions in the transportation sector. Furthermore, the collaboration is expected to enhance supply-chain reliability while supporting the transportation of high-quality Canadian steelmaking coal to global customers.
While the hydrogen locomotive program offers a promising solution for decarbonizing rail transport, there are potential challenges that must be overcome. For instance, hydrogen locomotives require a reliable supply of hydrogen, which is not yet widely available. Additionally, the technology is still in the early stages of development, and there may be additional costs associated with implementing it.
Despite these challenges, CPKC and Teck’s commitment to developing green transportation corridors is a significant step towards reducing greenhouse gas emissions and achieving a sustainable future.