On Friday. OmniTrax Canada accepted a letter of intent from a group of Northern Manitoba First Nations for the purchase of its Manitoba assets, which could include the Port of Churchill and Hudson Bay Railway.

This triggers a 45-day due diligence period in which both parties will work together to ensure that a purchase becomes a reality.

OmniTrax president of Canadian operations Merv Tweed thinks this will be a natural fit for ownership with the way the rail line services northern communities.

"The people that are being served along the line — I think — deserve the opportunity to be a part of the ownership and a part of the management," he says. "I think the solution was always there, and I think we've come forward with a pretty positive idea."

OmniTrax has agreed to work with the Northern Manitoba First Nations for a number of years going forward to ensure a smooth transition. Tweed is very confident the deal will go through.

"I think it's something the people in Northern Manitoba have been waiting for, and I think they realize now is their time and we're going to move forward as quickly as we can," he says.

OmniTrax says it will also approach the government to participate in the process to support the purchaser and ensure the success of the transaction.