U.S. Transportation Secretary Ray LaHood has announced the signing of an agreement for the Oklahoma Department of Transportation to receive $6.75 million from the Transportation Investments Generating Economic Recovery (TIGER) III program to rehabilitate 49 miles of state-owned rail line between Elk City and Sayre, Okla., in the Anadarko Basin.

There are few viable options for transporting the oil and gas from this region, and the current rail line cannot meet the current demand.

These improvements will ‘reduce transportation costs and bring the crude oil and gas to market quicker’.

The track rehabilitation will allow for speeds up to 25 miles per hour with fewer restrictions on the number of cars per train.