Officials with the Alberta Government, Town of Coaldale and NewCold announce funding for a rail project in Coaldale, July 25, 2025. (Photo: Lethbridge News Now)

By David Opinko

Nearly $3.5 million grant to support rail expansion in Coaldale

Jul 25, 2025 | 12:32 PM

Coaldale’s industrial sector is growing, and a new investment will help to support further developments.

The Alberta Government has announced a grant of $3.475 million under its Strategic Transportation Infrastructure Program (STIP) for an industrial rail extension project.

The $8 million initiative is funded by the province, Town of Coaldale and NewCold, and will result in the construction of a rail spur linking the industrial park to the main CPKC rail line.

NewCold, a global leader in cold food storage and logistics, opened its new $222 million facility in the northern end of Coaldale in late June.

Devin Dreeshen, Minister of Transportation and Economic Corridors, says this will go a long way in growing the town’s and the region’s economies.

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“This new state-of-the-art, automated, 150,000-square-foot facility with 13 stories… is an important investment here in Alberta,” says Dreeshen. “This spur line, for this announcement today, will give businesses ready access to export their products with ease and security, either domestically or internationally.”

Mayor Jack Van Rijn says NewCold’s facility is one of the most significant industrial infrastructure investments in Coaldale’s history.

Taber-Warner MLA Grant Hunter adds that he has been working for the last year to develop southern Alberta as a powerful agri-food corridor, and this rail project and the NewCold facility are major pieces to that puzzle.

Derek Bedke, NewCold’s Area Site Manager, says a lot of their logistical needs can be satisfied with the location of their new building, adding that the Town of Coaldale and Alberta Government have gone out of their way to make this development happen.

“The reason why Coadale was chosen is because there’s a lot of agriculture action in this area, a lot of food that needs to be frozen and shipped to customers throughout all of North America. That’s what brings NewCold to the party,” says Bedke.

This is the first time that the province’s STIP program has funded a railway project. Dreeshen hopes that more will be approved in the months and years ahead.