Union Pacific expansion chugging into Odessa

ODESSA – Work continues on the Union Pacific rail expansion with construction on two rails expected to begin this month. The $14 million investment for the two new tracks will be part of an unloading facility located just south of the Odessa rail yard.

The expansion is part of Union Pacific’s ongoing effort to expand its services in the Permian Basin in response to unprecedented growth in the area, according to Raquel Espinoza with Union Pacific.

In first quarter 2009 the rail yard received 402,000 carloads of industrial and chemical material. In 1Q 2012 that number increased to 531,000.

In 2012, six new tracks were built in Odessa, taking the number of rails from five to 11. The two new tracks are expected to be completed by August and would increase the number of tracks to 13.

They will be used primarily to ship and unload pipes used in the oil industry and more lines may be added in the future based on demand.

A $17 million parallel line connecting east Odessa and west Midland was also completed in fall 2012.

Union Pacific hired about 29 employees in 2009, 35 employees in 2012 and eight employees in January 2013. They are also interviewing for about ten positions right now but do not have projections for the number of employees hired to support the new unloading facility.