Advanced Lubrication Specialties president Greg Julian told Lube Report that it is undertaking a $750,000 project to upgrade the rail site in the back of the Bensalem, Pa.-based companys blending facility.

The primary benefit for us is that it provides a much more environmentally friendly atmosphere, Julian said. It allows us to contain all of our rail car storage, number one. And number two, its a better working environment for both the rail employees as well as our employees, in terms of lugging hoses around and making connections. The rail-related improvements that the grant will help pay for are expected to be completed by the third quarter of this year, according to Julian.

About three years ago, the company began a $6 million expansion to enhance its blending operations and increase capacity. According to Advanced Lubrications Web site, the expansion aims to increase the facility to more than 115,000 square feet, 100 blending and storage tanks, and more than 1.2 million gallons of storage. A rail upgrade increased its capacity to 10 railcars.

In 2005, the company received a $143,000 state grant towards track rehabilitation and rail replacement, and construction of a concrete spill containment pad for expansion of the oil blending facility. Julian said the company also received money from the state last year to assist in upgrading a rail line connection to its spur.

Pennsylvanias Rail Freight Assistance Program is an annual grant program that provides financial assistance for investment in rail freight infrastructure. All proposed projects receive a site evaluation to confirm the validity of the project and estimated costs. If the application is selected for funding, the applicant must agree to use the state funded project facilities for rail service and achieve 50 percent of estimated car loadings for a period of at least five years from the date of the completion of the project.