One-year deal signed to maintain Cape Breton Rail Line

A one-year preservation agreement has been signed between province and Cape Breton and Central Nova Scotia Railway Ltd. to maintain the existing rail line between St. Peter's Junction, near Port Hawkesbury, and Sydney.

The Nova Scotia government says the company will not apply to abandon a portion of the rail line, and the province will reimburse valid expenses up to $60,000 a month.

Repairs or improvements of the rail line will not be reimbursed, but expenses directly attributed to the line such as salaries, insurance, security and building maintenance will be covered.

The rail line between St. Peter's Junction and Truro is not affected by this agreement.