The Oklahoma Department of Transportation formally signed an agreement to receive $6.75 million from the Transportation Investments Generating Economic Recovery (TIGER) III program to rehabilitate 49 miles of state-owned rail line between Elk City and Sayre, OK, in the Anadarko Basin, according to U.S. Transportation Secretary Ray LaHood.
The Federal Railroad Administration announced in December that ODOT was awarded the funding.
Farmrail, a short line that serves the region, will benefit from track improvements that are expected to reduce transportation costs in bringing crude oil and gas to market quicker. The railroad has made recent investments in equipment to keep up with more outbound crude and inbound frack sand trains coming from the Basin.
The track rehabilitation will allow for speeds up to 25 miles per hour with fewer restrictions on the number of cars per train.