Omnitrax appealing federal order to repair Churchill's severed railway

Omnitrax Canada will appeal the federalorder to repair its railway to the northern Manitobaport of Churchill.

The Canadian Transportation Agency ordered the Denver-based company to begin repairs on the Hudson Bay Railway by July 3 andfile monthly progress reports beginning in August until the work is complete. The decision was released last week.

Omnitraxreiterated on Mondaythat they cannot afford therepairs, estimated between $40 million and $60 million in cost. They've held that position since the company assessed the damage caused by unforeseen flooding in spring 2017. The railway has been closed ever since.

SergioSabatini, president of the Hudson Bay Railway,said they'vealready posted a tender for contractorsto repair the line.

Theyremaincommitted toselling the onlyland link between the south andChurchill and other remote northern communities.An agreement in principle was reached in May.

"We are continuing to work closely with the team from Fairfax Financial to conclude the sale of theHBRand begin repairs to the line as soon as possible, and we remain hopeful that can happen soon," said the statement.

If the Canadian Transportation Agency'sdecision is not overturned or the sale not completed in time, Omnitraxsaid itis prepared to startrepairs.

The appeal will be heard by a federal court.