Mexico amends KCSM's rail concession

Mexico's transport and communications ministry (SCT) has amended the concession title held by private rail operator Kansas City Southern de Mexico (KCSM).

Based on the amendment, which was published in the official gazette Thursday, the Mexican section of the Matamoros-Brownsville rail bypass, located in the northern border state of Tamaulipas, is now also included in the firm's concession.

Other infrastructure forming part of the bypass, such as a 20,000m yard, and administrative, customs inspection, and maintenance workshop buildings also became part of the concession.

The construction of the 10.9km rail bypass was agreed between federal and state authorities back in 2010 in order to relocate the former rail line that connected the two aforementioned border cities.

The works were carried out via an agreement between the SCT and KCSM, and were completed in July 2015.

The amendment also removes the operation of Matamoros' former rail yard and the Mexican section of the Matamoros-Brownsville bi-national rail bridge from the concession. Control over those two assets has been returned to the Mexican government.

The 50-year concession to operate the Noreste rail network was awarded in 1996 to Transportacion Ferroviaria Mexicana (TFM), which was later bought by KCSM. The title has been subsequently amended three times, in 2001, 2006, and 2013.