1. Union Pacific Rail Welding Facility Project AAPA Presentation - November 2014

2. West Complex – Project Vicinity Map

3. Project Summary   The Union Pacific Railroad (UPRR) is developing approximately 38 acres as their rail welding facility on the Port’s West Complex.   The UPRR will develop the site with 17,000 feet of rail, a rail storage yard, a welding and inspection building, and a 200-foot span gantry crane.   The UPRR will bring in rail by ship (120,000 tons per year, 5 to 7 ships per year) from Japan in 480 foot (150 meters) lengths. The 1 st ship is expected in early December 2014.

4. Project Summary   The rail will be transported from the dock by rail car to the welding facility.   The rails will be welded together to create a 1,440 foot solid rail length.   The 1,440 foot rail lengths would then be shipped out on special rail cars to various project sites across the west and mid-western United States.

5. Project Site Plan

6. Nippon Steel & Sumitomo Metal Corp. Long rail being produced and handled at the Nippon Steel & Sumitomo Metal Corp. facility at Yawata Works in Japan.

7. Sumitomo’s Long Rail Transport Ship The “Pacific Spike” was completed in August 2014. The ship is approximately 190 meters (623 feet) in total length, with a deadweight tonnage of 23,000 tons, and is outfitted with a 155 meter (508 feet) cargo hold and three cranes.

8. Union Pacific’s Rail Storage Structure

10. Union Pacific’s Rail Welding Building

11. Union Pacific’s Long-Rail Train

12. Union Pacific Long-Rail Train

13. Project Benefits Job Creation – 8 to 10 full-time employees with an average annual salary of $60,000. Est. 30 indirect jobs, 75 construction jobs. Taxes – Property tax revenue to the County/City is estimated at $460,000 annually. This project will afford the Port of Stockton the distinction of being the only Port in the world handling 150-meter rail!