LAYOUT

In 1935 the Alberta Government was looking for a way to stimulate growth in the Province. Two transcontinental railroads crossed the province, but they were both more interested in reaching the West Coast then they were in developing Alberta..

This was before the time oil was discovered and the Province’s economy was based on rural communities and farming. Just coming through the dustbowl of the thirties the province did not have a lot of money to offer the developers, but hatched a land grant scheme to entice private money into developing the Province.

So in 1935 the Yellowhead Grant was offered to any enterprising individual who wanted to develop industry in the province. The grant in question gave title to two sections(72 sq miles) of any land that the railroad opened up. In addition to this, any waterways crossed by the railroad also gave them title to two sections of every township that the tributary drained into the Athabasca River

So in 1935 Daniel John Thompson (Descendent of the explorer, David) formed the Yellowhead Railway Co. DJ Thompson, having intimate knowledge of the region obtained by his passion of exploration, knew the wealth that this grant would bring him.

In the 23 years since the formation of the Railroad, both the Province and the Railroad have prospered. Large coal deposits on the eastern slopes of the Rockies generated instant traffic for the YHR. With contracts in place they supplied and hauled coal to the CNR. In addition to the coal, the land granted to the railroad had significant stands of timber. The big news occurred in 1947 with the discovery of oil in Leduc area of Alberta. Although this did not affect the railroad directly, it did get the company geologists wondering if the trend continued north up the east slope of the Rockies and in to Yellowhead held lands. The hunt for oil was on.

So that brings us to 1958, the YHR has prospered, and the land granted to the railroad is starting to pay big dividends as both natural gas and oil plays have been discovered on Yellowhead land. This is bringing in large sums of cash and the railroad is eagerly looking for ways to reduce it’s taxable income. The three-colored paint scheme of the road is just one of the ways the railroad is keeping money out of the taxman’s hand.

D.J. Thompson, affectionately known as Jack to all who work for him, has done very well with his railroad. The railroad helped him build a land and resource base that guarantees the company’s fortunes. Jack jokes that the railroad has become a hole to pour money into, much to the delight of  the maintenance foreman.