FORT McMURRAY, Alta. (Jan. 31, 2005) — There will be no public ownership of a proposed rail and road link between Edmonton and the province’s thriving oilsands region, Alberta Premier Ralph Klein says.

Klein confirmed that the province has no interest in owning or operating the rail extension that is part of the $2.6-billion “integrated transportation solution” plan, Canadian Press reports. However, the government will consider right-of-ways for the land.

The proposal also includes widening of Hwy. 63; a new ring-road and railway around Fort McMurray; and a bridge across the Athabasca river.

In September 2004, a feasibility study commissioned by the Alberta government stated the plan had “substantial merit.” The study also said the project would expand shipping options by improving surface transportation links for the massive amounts of heavy machinery, equipment, and supplies to the rapidly growing oilsands region. Currently most goods are trucked into Fort McMurray and the oilsands along Hwy. 63, creating bottlenecks just north of Edmonton.

There are currently two short-haul railroads that operate north of Edmonton, but neither run all the way to Fort McMurray and do not have the capacity to handle the massive amount of freight expected over the next several decades.

Janice Schroeder of Alberta Economic Development told CP that Klein was not announcing the end of government’s involvement in the project.

The government has been asked to contribute $300 million, and Schroeder said a decision on the matter is expected some time in the spring.

If approved, construction for the project could start this year and be completed in 2008 or 2009.