June 4, 2002

News Release: 3 Year Contract with Canadian Pacific Railway Estimated at Approximately $2.4 million

CALGARY, AB - June 4, 2002 - Global Railway Industries Ltd. - (TSE:GBI): Global Railway Industries Ltd., www.globalrailway.com, ("Global"), a provider of railway maintenance products and service equipment, announced today that the Company's wholly-owned subsidiary Rafna Industries Ltd. ("Rafna") has been awarded a three year contract to supply rail gear and spare parts to the Canadian Pacific Railway ("CPR") and its subsidiaries in Canada and the United States. The contract is effective May 27, 2002 and will run through to December 31, 2004. Estimated total value of this contract over its duration is estimated to be approximately $2,400,000. Rafna is a leader in the design, manufacture, supply and installation of rail gear equipment for the railway industry. Rail gear is hardware equipment, which allows standard road service vehicles to be driven directly on rail lines. The rail gear can be raised and lowered rapidly to convert the service vehicle from highway to rail travel. Rail gear saves operators the need for highly specialized and expensive rail equipment, which obstructs the bypass of trains in revenue service. CPR is a Class 1 North American railway, providing freight transportation services over a 14,000 mile network in Canada and the United States. Based in Calgary, Alberta CPR has been connecting Canadian Businesses and consumers to the world since 1881.

About Global Railway Industries:

Global Railway Industries is a fast-growing manufacturer of railway equipment. The Company is pursuing an acquisition strategy of industry manufacturers that produce and sell the railways the equipment they need to run and maintain their operations efficiently. Global Railway Industries Ltd. is a public company whose shares are listed for trading on the Toronto Stock Exchange (TSE) under the symbol "GBI". The Company has a total of 7,438,672 fully diluted shares outstanding. For more information visit www.globalrailway.com.

Company Contact:

Investor Relations: Mike KohutPresident Tel: 403-262-6501 Fax: 403-262-6563E-mail: This email address is being protected from spambots. You need JavaScript enabled to view it. Web: www.globalrailway.com

Micro Cap et al Tel: 604-713-8010 Fax: 604-713-8018 Toll Free: 1-877-642-7622 E-mail:This email address is being protected from spambots. You need JavaScript enabled to view it.

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