The Oregon International Port of Coos Bay in the United States has partnered with the Missouri-based development firm, NorthPoint Development, to construct a multimodal container facility on the North Spit.
The port and NorthPoint have entered into a Memorandum of Understanding (MOU) for the project, with the intention of finalising negotiations and signing a contract by the end of the calendar year.
The two partners estimate that the facility, once fully constructed, will move over 1 million forty-foot containers annually in and outbound through the Port of Coos Bay via the Coos Bay Rail Line.
The rail spur on the North Spit will be extended to the project site and infrastructure improvements throughout the line will be completed to accommodate double stack container movements, according to a statement.
It is anticipated that the construction of this facility will will create hundreds of jobs on Oregon’s coast, which will boost Coos Bay’s local economy and provide support to rebuild the economic base for the region, according to the chairman of the transportation and infrastructure committee, Peter DeFazio, who noted, “I recently secured US$32 million in the 2022 funding bill to support maintenance and improvements of the Coos Bay North Jetty. The more than US$50 million I worked to obtain for the purchase and rehabilitation of the Coos Bay rail line also helped to make this possible.”
Construction of the facility and railroad improvements will result in a significant investment in the community and are currently an estimated US$1 billion.
“This is a project that has the potential to diversify the region’s economy and create employment opportunities both for the existing workforce and for future generations,” said John Burns, CEO of the port.
NorthPoint views the Coos Bay harbor as an opportunity to create a gateway that will alleviate congestion throughout the west coast and improve the movement of goods in and out of the United States and international markets.
“The Coos Bay Harbor offers an innovative solution to an ever-growing global challenge,” pointed out Chad Meyer, President and Founding Partner of NorthPoint. “We have an opportunity to enhance the economy of the region while improving the logistics system as a whole.”
The new terminal will promote expedited turn time and eliminate anchoring for maritime vessels, a shipping option greatly needed in the marketplace, according to an announcement.
Currently, the majority of imports and exports moving in and out of Oregon travel by truck via the ports of Seattle/Tacoma and Oakland. This adds to the total delivered cost of products and commodities, roadway congestion, and increased greenhouse gas emissions.
“Utilising the Coos Bay Rail Line to transport containers instead of trucks will reduce overall emissions up to 75%,” said the Port of Coos Bay in its announcement.
The port also continues collaboration with the US Army Corps of Engineers and other regulatory agencies on the Channel Modification Project, which will deepen and widen the federally authorised channel aiming to remain competitive in the global marketplace as ocean carriers continue to use larger ships.
