Link to the World: How Manitoba Is Rebuilding a Northern Trade Route

Interactive Transcript

spk_0 Little old Manitoba is having a big moment, a wealth of critical minerals, a clean energy

spk_0 grid, access to tidewater, a direct trade road to Europe, and hardworking people.

spk_0 I think we're about to surprise a lot of people across Canada.

spk_0 That's Premier Wab Knu, and he's right.

spk_0 Manitoba is having a moment.

spk_0 The world is changing fast, supply chains are shifting, and Canada is realizing that sovereignty

spk_0 isn't just about borders.

spk_0 It's how we get what we produce to the rest of the world.

spk_0 Canada is at a critical moment for our economy and for our shared future.

spk_0 In a time of terrorists in nation-building projects, Manitoba is leading the way.

spk_0 We might just have a national unity project as well.

spk_0 In this moment, we're going to be a game-changing.

spk_0 When we build Manitoba, we not only make our province stronger,

spk_0 we make all of Canada stronger.

spk_0 As the world redraws its trade maps, Manitoba is positioning itself as Canada's third coast,

spk_0 connecting the prairies to global markets through the north.

spk_0 It's a story of resilience, reconciliation, and reorientation for the country's economy.

spk_0 Here at the heart of the continent, we're building the critical infrastructure that connects our

spk_0 country and brings our gates to the world.

spk_0 But we can't do it alone.

spk_0 Together with Indigenous nations, with businesses and with all levels of government,

spk_0 we can deliver more good jobs and a stronger economy for all of us.

spk_0 Little old Manitoba, making big things happen.

spk_0 I'm John Stockhouse. Welcome to Disruptors, the Canada Project.

spk_0 This season, we're crisscrossing the country to meet the leaders and innovators

spk_0 making bold moves at a pivotal moment for all of Canada, and in the process,

spk_0 creating a blueprint for a stronger, more competitive nation.

spk_0 Today's destination is Manitoba, the heart of the continent, where a new trade corridor

spk_0 is taking shape on the edge of the Arctic.

spk_0 The port of Churchill has long been imagined as Canada's Northern Gateway.

spk_0 Now it's being rebuilt by Indigenous and Northern communities to give our

spk_0 exporters something they've never had before, a third coast to serve as a gateway to the world.

spk_0 We'll meet Chris Avery of the Arctic Gateway Group, and Grant Barkman of decision works to

spk_0 explore how in drone-powered innovation have restored a critical Northern rail link,

spk_0 unlocking the port of Churchill and giving Canada flexibility, independence,

spk_0 and a Northern trade route to the world. This Northern route depends on the Arctic Gateway Group,

spk_0 led by Chris Avery, who's working with Indigenous and Northern communities to reconnect Canada

spk_0 to the world through the North. Let me start with the Arctic Gateway Group. Tell us a bit about it

spk_0 and the ambition. The Arctic Gateway Group owns and operates the Hudson Bay Railway, the port of

spk_0 Churchill, in the Churchill Marine Tank Farm. We in turn are owned by one North, which is a consortium

spk_0 of 29 First Nations and 12 Northern Manitoba communities, so largely Indigenous owned.

spk_0 The port of Churchill is a gateway for the vast resources of Western Canada to global markets in

spk_0 Europe, Middle East, Africa, South America, even Latin America.

spk_0 Churchill has been a dream of many visionaries for generations as a gateway. What's different now

spk_0 that will allow you to do what others before you have not been able to achieve?

spk_0 In a year where President Trump is applying tariffs to Canadian goods and talking about Canada's

spk_0 51st day and Canada needing to look to diversify its trade, become a global energy superpower,

spk_0 and really assert our sovereignty in the North. Churchill now once again has become a strategic

spk_0 asset for Canada. Take a deeper Chris into the tech transformation in infrastructure. You've got

spk_0 three legs of the challenge here, the rail across some pretty rugged terrain to get all the goods to

spk_0 the coast and the port itself and then of course the water between Churchill and those markets that

spk_0 you reference that go pretty far north. So multiple challenges on each of those fronts.

spk_0 How is technology helping you? Both 50% of Canada's geography has permafrosts present and as a result

spk_0 much of our linear infrastructure, whether it's roads or railways or pipelines go through permafrosts

spk_0 and we are actually very adept at dealing with this. So more specifically for the Hudson Bay Railway,

spk_0 we utilize great technology to help us understand what's happening in the ground. So for example,

spk_0 we have ground penetrating radars that are mounted onto our locomotives. It has locomotives that

spk_0 traveling over our tracks. It's gathering data on what's happening in the ground underneath the tracks.

spk_0 You know how frozen is it? How stable is the ground underneath? We also use drone technology that

spk_0 wasn't available before to us. To fly over the tracks and really measure the geometries of the track

spk_0 and look at how level the track is and look and identify where there may be problems. So whether you

spk_0 have overflowing rivers or ponds or beaver dams that are causing trouble away from the railway

spk_0 tracks, the drones are able to fly over and identify where they might be as shoes as well.

spk_0 Keeping that railway open through permafrost and floods isn't easy but it's vital. And now technology

spk_0 is giving northern operators the tools to predict and prevent problems before they happen.

spk_0 One of the innovators helping Arctic Gateway do just that is a Manitoba-based company that's

spk_0 taken drone inspection to a whole new level. Meet Grant Barkman. He's the president and director of

spk_0 flight operations for decision works. We started decision works almost 20 years ago with the primary idea

spk_0 in mind that if people spend too much time making decisions, it slows the process of innovation down,

spk_0 it slows the process of project completion down, effective decision making, meaning having all the

spk_0 right information at hand drives positive change faster and ultimately leads to greater efficiency

spk_0 in the work processes that decisions are driving. To reach Churchill, there's really only one way in.

spk_0 By rail. The Hudson Bay Railway runs almost a thousand kilometers north from the Pau. Transporting

spk_0 goods by rail in the north isn't easy. Musqueg and permafrost mean that the ground under the rail line

spk_0 is literally shifting. Grant and his team at decision works were brought in to help the railway

spk_0 tackle a challenge unique to this remote line. Grant and the team came up with a solution called

spk_0 Track Sense. It's a unique rail infrastructure monitoring platform. They've built a rail line

spk_0 essentially on top of a shifting foundation. It's constantly shifting foundation. So the rail line

spk_0 itself does need to move. It needs to move laterally. It needs to move vertically. They came to us and

spk_0 said our biggest issue is that we work in the remotest environments in northern Manitoba and we

spk_0 have to continually monitor our rail from a safety perspective. Is there anything you can do to address

spk_0 that issue? Track Sense provides them with a toolkit that allows them to do the same level of

spk_0 inspections in some cases even better quality inspections than they do today and do it very,

spk_0 very efficiently without disrupting any of the rail traffic that's generating revenue. When

spk_0 a railway operator like Hudson Bay Railway puts their crews out on the track to do manual inspection,

spk_0 they can't be running revenue earning stock at the same time. So capturing that same inspection

spk_0 data with a drone flying over the track, it provides them with not only the quality of inspections,

spk_0 but it also facilitates them earning revenue at the same time by running stock underneath us.

spk_0 Monitoring the line in such a remote location is challenging, but Grant says Track Sense uses the

spk_0 drones and predictive analytics to interpret images and complex data, spotting problems before

spk_0 they become disasters. Early indications, for example, of overland flooding, understanding water

spk_0 flow patterns and water basin data and so on were able to predict well ahead of impacts affecting

spk_0 the railway infrastructure. We're able to predict the likelihood of a flooding event that could cause

spk_0 a major disruption to the infrastructure and therefore derailments or worse. So that's an area

spk_0 that we are very dedicated to working on, predictive capabilities wherever possible. Water overland

spk_0 flooding is probably the most significant predictive issue that we are looking to resolve and looking

spk_0 to solve for all infrastructure owners, whether it be railways, highways or whatever. The other area

spk_0 is forest fire risk. So we are able to identify the relative risk of forest fire based on the

spk_0 forest fire fuel conditions that exist within any particular area. This is also a very significant

spk_0 predictor of future events. So if we can see a high risk area of forest fuel, we can also

spk_0 monitor that area more continuously, identifying early identification of fires that can be responded

spk_0 quickly before they become out of control. So that's another very significant area. So hydrology

spk_0 and forest fire are the two biggest areas. The other one is just around trending and trend analysis

spk_0 on track itself. So there are what we call areas of interest that are perennial problem spots

spk_0 that move regularly based on seasonality based on temperature based on water flow patterns, etc.

spk_0 So being able to more continuously monitor those areas, seeing trends developing and then

spk_0 responding to those trends before they become significant issues, before they cause actual

spk_0 events like derailments and so on, predictably and proactively. And these are some of our ongoing

spk_0 goals at track sense and working with partners to go even beyond that to say at a more macro level,

spk_0 let's look at the combination of all of these events and drive out a risk model, if you will,

spk_0 for the entire network and say where's our highest risk of potential issue. Let's proactively

spk_0 direct our limited crew resource or limited human resource to those highest risk areas.

spk_0 I think looking at it holistically is probably the next major step that we're going to take as we

spk_0 start to pull all these different incidents into track sense, analyze them for relative risk

spk_0 and start presenting those back to the railway owners to say, here's how you can proactively

spk_0 invest your maintenance budget, your maintenance dollars, your maintenance resources to drive

spk_0 the highest value in reducing risk within your railway network in general. I think that's where we're

spk_0 going and AI, generative AI and predictive AI is a very significant part of that.

spk_0 As you heard, these high tech drones are now mapping, measuring and predicting risks,

spk_0 turning large amounts of raw data into real-time decisions in the most remote areas.

spk_0 More data, more analysis, faster turnaround time. And that shift just isn't about safety,

spk_0 it's about keeping Canada's northern lifelines open year round. And the array of high tech drones

spk_0 grant and as team use are pretty impressive. Vertical takeoff and landing fixed wing drones,

spk_0 which is a specialized area of drone tech. Wingtra is the orange drone that you see,

spk_0 it's what they call a tail-sitter drone, it takes off and lands vertically, but transitions to

spk_0 horizontal flight. Very much like SpaceX, the SpaceX maneuvers, it's a very cool drone to fly,

spk_0 and it's orange because orange is the color we can see the furthest as humans, it's a very advanced

spk_0 survey and mapping drone. We also fly drones from a company called Quantum. Quantum has vertical

spk_0 takeoff and landing drones, but they take off and land in a horizontal orientation with tilt rotors

spk_0 or tilt propellers, so they take off vertically and then tilt the rotors forward to transition to

spk_0 horizontal flight. Five to ten years out, you have to wonder what will have changed in how we operate

spk_0 northern rail from a control room. Here's grants prediction. Long range beyond visual line

spk_0 of sight operations, and you know we've been actively involved in that for a number of years,

spk_0 now the regulation has changed or it is just about to change such that we can fly much longer

spk_0 range flights. From a central point, we don't necessarily have to even have pilots on the ground,

spk_0 in all of these locations where drones are being utilized, we can fly them from a central point

spk_0 anywhere that we're network connected. Effectively, we can operate drones remotely. So that's a very

spk_0 significant change. Now you combine that with some of the other technologies coming along, like

spk_0 drone in a box solutions, where you can put a drone in a location that itself recharges itself,

spk_0 it downloads its data or uploads its data depending on what you're doing, whether you're flight

spk_0 planning or collecting the data from a flight. So it has an independence and you can launch that

spk_0 again remotely. So we're going to see drone swarming becoming much more part of the strategy here,

spk_0 drone swarming, meaning multiple drones doing multiple jobs at the same time, but control from a

spk_0 single point. So it's going to become a much more efficient technology over the next five years,

spk_0 and then coupled of course with the advancements in AI, the advancements in real time, object detection

spk_0 and AI, you know, along with onboard compute capability on the drone itself. Visionaries like grant

spk_0 and its team at decision works have taken a legacy piece of infrastructure and reinvigorated it

spk_0 through a combination of predictive analytics and drone technology. It's a novel combination,

spk_0 but is Canada ready to scale this up? Canada is leading in so many areas within the drone industry

spk_0 globally. We have some innovation in this country that is way beyond what people are seeing today,

spk_0 and a lot of that again is back to regulations holding them back. Canada is already leading in a

spk_0 number of very key areas and can maintain that leadership position through smart investments,

spk_0 through leveraged investments through collaboration and government and regulators can play a very

spk_0 significant role in facilitating those kinds of collaborations. The wheels of government just move

spk_0 so slowly when it comes to approving new technology and new innovation.

spk_0 Manitoba is proving how technology can make some of the toughest infrastructure in the world

spk_0 smarter, safer and more connected if Canada can learn from this. If we can embrace new technologies

spk_0 with open arms and apply them across the North in a way that works closely with indigenous communities.

spk_0 Imagine what that could unlock for Canada's economy, idea of the North, 3.0.

spk_0 Here's Chris Avery again from Arctic Gateway Group.

spk_0 What Churchill allows us to do is to diversify our trade beyond any one partner. So certainly

spk_0 when President Trump came into power and terrorists were levied against Canadian goods and

spk_0 there were talks of 51st date, you know, it really amplified the need for us as a nation to

spk_0 diversify our trade and give ourselves optionalities. Another port option aside from the ports and

spk_0 the borders that we have today. So I think that's a really important thing is the part of Churchill

spk_0 and the Hudson Bay Railway allows us to diversify our trade. Right now it's a US but if it's not the US

spk_0 today it could be something in Asia tomorrow or in another part of the world another time. So having

spk_0 that diversity of options for Canadian trade just makes a ton of sense. Credit to Premier Canoe

spk_0 in Manitoba and Prime Minister Karni for having visions of Manitoba truly being a maritime province.

spk_0 And I think if you look ahead 10 years from now you'll see the growth of Churchill and Northern

spk_0 Manitoba truly as a gateway to other markets including Europe, Middle East, Africa, South America.

spk_0 In a gateway for the vast resources we have in Western Canada and Alberta and Saskatchewan

spk_0 and in Manitoba and really leverage those resources for the good of the country.

spk_0 With better data and stronger rail Churchill isn't just a port, it's a proving ground for a new kind

spk_0 of Canadian infrastructure and of course none of it would be happening without participation and

spk_0 ownership by Northern First Nations. You mentioned the role of government and also there's

spk_0 a foundational role for First Nations and Indigenous communities. Walk us through the capital

spk_0 structure and the ownership model that you've been developing and what that may signal for other

spk_0 communities and provinces across the country that are looking to bring in all sorts of new

spk_0 capital to finance these sorts of projects. Maybe to answer that question I might take a step back.

spk_0 This set of infrastructure with the port, the railway, the airport, you know it's a great set of

spk_0 infrastructure to facilitate our trade and also help us assert our sovereignty in the north.

spk_0 And more recently given the geopolitical situation with the US it has become even more important.

spk_0 And this set of assets was you know back in 96 was sold to American interests and the American

spk_0 interest owned the asset but really didn't invest properly into the asset and it was neglected

spk_0 for decades. And that accumulated into the railway washing out in 2017 and it was washed out for

spk_0 18 months essentially cutting off the northern communities and northern Manitoba. In central

spk_0 Nunavit which depended on Churchill for a lot of its supplies. So it was at that time that Canada

spk_0 bought the infrastructure in partnership with the Arctic Gateway Group which is the Indigenous

spk_0 owned organization to take the ownership back from the Americans. So right now Arctic Gateway

spk_0 Group as I said is owned by one north which is a consortium of 29 First Nations and 12 northern

spk_0 Manitoba communities and it's a unique form of indigenous economic reconciliation that you really

spk_0 don't see anywhere else in Canada. In fact we were up recently at the First Nations major project

spk_0 coalition in Toronto. Large organizations were talking about how they were looking for Indigenous

spk_0 participation in their projects and you know when we got up we served talked about how we're already

spk_0 Indigenous owned. We're not a joint venture we're not partly or percentage owned by First Nations

spk_0 we're largely Indigenous owned. And Churchill's revival is about more than infrastructure it's

spk_0 really economic reconciliation in action led by Indigenous communities unlocking new opportunities

spk_0 for all of Canada. What lets you move quickly now? We're an operating port and operating railway

spk_0 in a set of infrastructure that already exists whether you're talking about the town site

spk_0 that can handle a large population to an airport to the port and the railway itself. We've shipped

spk_0 10,000 tons of critical minerals recently we have a number of vessels coming in to supply the

spk_0 Nunavut region in the central Kibalik region in Nunavut and we expect to have agricultural products

spk_0 moving through the port this year. So this is very much a set of assets that already exist today

spk_0 and now we can move at speed to really fully leverage it for the benefits of today and to address

spk_0 issues of our times today. As the ships return to Hudson Bay Churchill is once again showing how

spk_0 Northern infrastructure can move at the speed of opportunity. When you think about the year or years

spk_0 ahead what will be the biggest challenges? Some conversations that people have that says in three

spk_0 and a half more years when President Trump is no longer in office we don't have to worry about

spk_0 so maybe some of the fears that I have is not seizing the moment and making sure that we're prepared

spk_0 for the future and believing that things will come back to the way they were after three and a half

spk_0 years and so on. We will always be very strong trading partners with the US but fundamentally as

spk_0 the Prime Minister has said and the Premier has said the relationship has changed and then as I

spk_0 said we have a trade deal with the US that may last or that may not last we don't know and then

spk_0 if it's not the US it could be something in Asia or other parts of the world. So having this

spk_0 optionality and having diversity of trade is really important for Canada. Chris you've just nailed

spk_0 the very purpose of our podcast series that's looking at this phenomenal moment of economic transition

spk_0 and the whole excitement around build baby build which really should be labeled innovate baby

spk_0 because that's exactly what we have to do. Nowhere more than in the North and the far North as you

spk_0 just explained we can do that with rail. How is technology then transforming the port side of the

spk_0 operations and what you'll be developing in Churchill? I mean the port itself is almost over 80 years

spk_0 old and it was a port of strategic importance for Canada back in the day when agriculture products

spk_0 were our primary exports and of course that's change agricultural products is still a big part

spk_0 of our export other things have overtaken it and maybe in the meantime the port has been under

spk_0 utilized the set of infrastructure that we have in Canada the port the railway that connects to

spk_0 the port to the rest of North America and airport with a 9200 foot runway in a town infrastructure

spk_0 that's capable of supporting a lot more than its supports today this whole set of infrastructure

spk_0 is now under utilized but it's now a strategic asset for our day and time today.

spk_0 The port of Churchill and the Hudson Bay Railway isn't just about reopening a port it's

spk_0 about reopening possibilities from drones to data to indigenous partnerships the port of Churchill

spk_0 is redefining what it means to build a resilient nation one that trades on its own terms and connects

spk_0 every coast. Churchill isn't just Manitoba's story it's part of Canada's next chapter in sovereignty

spk_0 and trade the rail line to Hudson Bay has weathered floods, frosts, foreign ownership and decades of

spk_0 neglect but today it stands as a reminder of what we can achieve when we bet on ourselves and each

spk_0 other as the world re-thinks trade energy and sovereignty Canada's third coast right here in

spk_0 Manitoba signals how Canada can adapt by thinking bigger reaching farther and looking north

spk_0 this has been another episode of Disruptors the Canada Project an RBC podcast if you want to hear

spk_0 our complete series on Canadian innovators who are helping Canada chart a new course subscribe to

spk_0 Disruptors wherever you get your podcasts and better yet give us a five star rating you can

spk_0 also find the complete Canada project at rbc.com slash thought leadership i'm john stackhouse thanks

spk_0 for listening

Link to the World: How Manitoba Is Rebuilding a Northern Trade Route

Interactive Transcript

Topics Covered

Related Episodes

Out on a Limb | Nov 2nd | Hillhurst United Church

How Do You Respond to Jesus? John 5:16–47 :Daily Devotional, Daily Bible Study

Episode 240: Otto Aerospace CEO Paul Touw talks teardrop, laminar flow, and Phantom 3500

Burnout, Breakthroughs, and the Power of Getting Back Outdoors | Gun Talk Hunt

Share Episode