Oregon Public Broadcasting

Federal railway regulators Thursday set the price for a key piece of railroad between Eugene and Coos Bay. The Port of Coos Bay has said it would consider buying the rail, at the right price. Ethan Lindsey reports.

Will the Port of Coos Bay pay $16.6 million for 111-miles of railroad track between the coast and the Willamette Valley?

The line was a critical connection for companies shipping lumber and other products from Eugene, but was shut down by the previous owners.

But even though the Port signaled an interest in the past, it’s not a sure thing, says spokesman Martin Callery.

Martin Callery: “More and more, you are seeing forest products manufacturers and others cut back in their operations, given the slowdown in the U.S. and international economies. Those are all things that we have to look at, being prudent in our financial risk-taking, if you want to portray it that way. But, all these things will play into a final decision.”

Federal regulators didn’t give the Coos Bay Port much time to contemplate. The Port must make a decision by December 1st, and close the deal by February 18th.