Coal Network Update for Friday, August 4, 2023

OPERATIONAL PERFORMANCE
BNSF operating teams are focused on improving network fluidity following several service interruptions across the network. We experienced a derailment last night on our Staples Subdivision in Minnesota, which runs between the Twin Cities and Dilworth, approximately 55 miles east of Fargo. Both main line tracks in this location are currently out of service. Engineering teams and equipment are at the scene. Service is expected to be restored to the first main track this evening and to the second main track by tomorrow afternoon. Trains are being re-routed as much as possible to minimize the impact of this disruption, but customers with shipments designated to move through this area should expect ongoing delays into next week.

As reported, we experienced some train delays earlier this week due to an incident Monday night near Lubbock, TX. The main track, which runs between Sweetwater and the Texas/New Mexico border, was returned to service on Tuesday and train flows have normalized.

While frequent severe weather has also caused some negative impacts on services during the past couple of weeks, average car velocity increased versus the prior week but remains slightly below the average for June. Terminal dwell also improved slightly versus the previous week, while our local service compliance measure continues to hold at about 90 percent. Total volume increased by over four percent.

CAPITAL EXPANSION UPDATE
In late 2022, BNSF Teams completed a multi-year project to build a second mainline bridge span across Lake Pend Oreille in Sandpoint, Idaho. Since then, trains have run in both directions on the new bridge, as BNSF teams performed track maintenance work on an existing bridge adjacent to the new bridge. The maintenance is nearing completion, and this weekend, we will finish tying the two tracks into their final configurations. Once the project is complete, trains will run on both bridges simultaneously, ultimately reducing congestion and helping freight move more efficiently to and from the Pacific Northwest.

SERVICE EXPECTATIONS FOR THE WEEK AHEAD
Hot and dry conditions will remain in place across much of the South and Desert Southwest, with some locations likely to experience record-high temperatures. BNSF teams will continue to closely monitor track and infrastructure for any heat-related impacts and take the appropriate precautions to operate safely. Significant rainfall is possible in the Plains as a storm system moves in this weekend. For the rest of the BNSF network, no major service interruptions due to weather are anticipated at this time.