art of the BN merger in 1970. In 1983, BN shut down the Homestake Pass line and embargoed the 26 miles of the former NP line between Whitehall and Butte. After 1983, BN's only access to Butte was by way of its leased Montana Union line from Garrison.
In October 1987, BN leased the former Northern Pacific main line through Helena between Huntley, Montana and Sandpoint, Idaho (587 miles) to Montana Rail Link on a long term lease. MRL also took over the operation of a portion of the former NP Homestake Pass line between Logan and Whitehall (38 miles), with BN retaining the portion between Whitehall and Butte (26 miles), keeping the embargo of the Homestake Pass line in place. Montana Rail Link continues to operate the Logan to Whitehall line.
Montana Western Railway (1986-2003)
August 4, 1986
BN sold the lease operation of UP-owned former Montana Union to a new company called Montana Western Railway, organized for the purpose. The 999-year lease from UP to NP (BN) remained in place. (STB Finance Docket No. 34330; Decided June 20, 2003)
The Montana Western Railway was organized in 1986 by the same group of investors who had organized the Rarus Railway the previous year, 1985, to lease and operate the former Butte, Anaconda & Pacific from the state of Montana.
March 11, 2003
BNSF, as the successor to BN, agreed to buy back Montana Western's rights and interest in the lease. This was part of a settlement that resulted from BNSF increasing its rates to move the rail traffic UP was interchanging at Silver Bow, bound for points along BNSF and Montana Rail Link in Montana. This interchange traffic is usually known as "overhead" or "bridge" traffic. The increased rates ended the movement of bridge traffic over Montana Western and the reduced business resulted in financial problems, and troubles with employees as some were laid off, and others were retained. Those who remained, organized themselves with national rail operating unions. The owners of Montana Western sued BNSF over the increased rates, which essentially forced Montana Western out of business. Montana Western won the law suit and BNSF was forced by the court to relieve Montana Western of its obligation. The agreement between BNSF and Montana Western was dated March 11, 2003. An application for approval of the sale was filed with the federal Surface Transportation Board on March 25, 2003, and the STB's decision took effect on July 23, 2003.
October 27, 2003
BNSF took over formal operation of the old Montana Union, which was still owned by UP and leased to BNSF as a continuation of the original 999-year lease signed in 1898. BNSF's Copper City Subdivision was a stand alone subdivision with their own BNSF timetable. On December 2, 2009, the Copper City Subdivision became part of BNSF's Montana Division with the issuance of timetable No. 8. (Dave Franz, June 21, 2014, message to Altamont Press forum)
The old Montana Union is operated by BNSF as their Copper City Subdivision. Rumors are that BNSF retains its operation of this isolated segment to keep UP away from a direct connection with Montana Rail Link at Garrison. After BNSF took the line back, the Montana Western locomotives were sold to Rarus Railway, which became Patriot Rails' Butte Anaconda & Pacific in 2007.
(All of this summary of current operations, i.e. owned by UP, leased to BNSF, lease retained by BNSF to prevent MRL from connecting with UP, was confirmed during a brief conversation in late July 2014 with Bill Wimmer, retired UP Vice President-Engineering.)
Montana Union Railway -- A Google Map of the Montana Union Railway, owned by UP and leased to BNSF.
Montana Union Locomotives -- A roster listing of the locomotives used by Montana Union Railway.
Maury Klein presents an excellent summary of Montana Union difficulties between Union Pacific, Northern Pacific, the Butte mines, and the Anaconda smelter in Union Pacific, The Birth Of A Railroad, 1862-1893, pages 555-559.
For an excellent history of BA&P, see Wired For Success by Charles V. Mutschler, Washington State University, 2002