Société ferroviaire du Nord Québécois has selected Canarail, a leading Canadian railway engineering consulting firm, to lead the first phase of a feasibility study of a new 310-km-long railway from Sept-Îles to the Labrador Trough in Quebec. Canarail will act as the prime contractor for the study, which will cover technical, economic and financial aspects of the project.

The railway, if built, will be the third railway into the Labrador Trough. The final report is expected at the end of 2015.

Société ferroviaire du Nord Québécois is a recently formed partnership between the Quebec government and industry with specific responsibility to manage implementation of the feasibility study. Champion Iron and Adriana Resources are mining companies that are participating in the partnership. The Quebec government has set aside a maximum of C$20 million from its Plan Nord Fund to contribute to the study.

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