ST. PAUL, Minn., April 23, 2014 /PRNewswire/ -- CHS Inc.
(NASDAQ: CHSCP, CHSCO, CHSCN), the nation's leading farmer-owned
cooperative and a global energy, grains and foods company, and
Fessenden Cooperative Association, Fessenden, N.D., announced today they have
formed a 50-50 joint venture company to construct and operate a
fertilizer warehouse at Hamberg,
N.D. The facility will have 28,000 tons of nitrogen,
potassium, sulfate, phosphorus and micronutrients storage capacity
and product blending capabilities.
The new warehouse at Hamberg
will primarily serve farmer-owners of Fessenden Cooperative
Association retail business, and CHS will also serve its nearby
wholesale customers from this location.
"Future market forces and trends for our region indicate we can
expect more corn acres, CRP acres coming back into production, and
overall increased fertilizer use to ensure healthy, profitable
yields," said Mark Hovland, general
manager, Fessenden Cooperative. "Our new, larger and more efficient
facility will give area growers better overall fertilizer service
and options."
Hovland said the fertilizer warehouse is the second major
partnership with CHS. Last year, Fessenden Cooperative and CHS
built a greenfield grain shuttle loading facility on the Burlington
Northern rail line at Hamberg.
"Long-range plans for improved fertilizer capacity and service have
long been part of our growth strategy, and we look to CHS to
provide global access to a wide array of markets as well as
valuable marketing insights and expertise," he said.
"CHS is focused on expanding its crop nutrients business to
continue to provide its retail customers with an assured, timely
supply of crop nutrients vital to profitable crop production," said
Cheryl Schmura, CHS vice president,
Crop Nutrients, marketing and sales. "Our partnership with
Fessenden Cooperative adds critical storage capacity in a key
geography."
Plant construction will begin this summer and is expected to be
completed by fall of 2015. When the plant is operational, Hovland
said three additional employees will be hired.
About Fessenden Cooperative
Formed in 1943, Fessenden Cooperative is a farmer-owned grain and
agronomy cooperative located in central North Dakota. Sixty employees serve about 700
customers from six locations in four counties. Products and
services include grain marketing, crop nutrients, crop protection
products, and seed sales along with custom application, crop
scouting, and soil testing.
About CHS Inc.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by
farmers, ranchers and cooperatives across the United States. Diversified in energy,
grains and foods, CHS is committed to helping its customers,
farmer-owners and other stakeholders grow their businesses through
its domestic and global operations. CHS, a Fortune 100 company,
supplies energy, crop nutrients, grain marketing services, animal
feed, food and food ingredients, along with business solutions
including insurance, financial and risk management services. The
company operates petroleum refineries/pipelines and manufactures,
markets and distributes Cenex® brand refined fuels, lubricants,
propane and renewable energy products.
This document contains forward-looking statements within the
meaning of The Private Securities Litigation Reform Act of 1995
that are based on management's current expectations and
assumptions. These forward-looking statements are subject to
certain risks and uncertainties that could cause actual results to
differ materially from the potential results discussed in the
forward-looking statements. The company undertakes no obligations
to publicly revise any forward-looking statements to reflect future
events or circumstances. For a discussion of additional factors
that may materially affect management's estimates and predictions,
please view the CHS Inc. annual report filed on Form 10-K for the
year ended Aug. 31, 2013, which can
be found on the Securities and Exchange Commission web site
(www.sec.gov) or on the CHS web site www.chsinc.com.
SOURCE CHS Inc.