DECATUR, ILLINOIS, U.S. — ADM-Benson Quinn and United Farmers Coop (UFC) announced on Dec. 19 the formation of a joint venture that will build and operate a grain elevator in Brownton, Minnesota, U.S., with a total storage capacity of 3.6 million bushels.
The elevator, capable of loading 110-car shuttle trains, will feature four receiving pits with the capability to dump 80,000 bushels of grain per hour, and will be located on a Twin Cities & Western rail line that has service from three railroads: Burlington Northern Santa Fe, Canadian Pacific and Union Pacific. The joint venture, United Grain Systems, LLC, will also operate five existing UFC elevators, which will primarily handle corn and soybeans.
"ADM-Benson Quinn is pleased to join with United Farmers Coop to build a new shuttle loader elevator in Minnesota," said Scott Nagel, president, ADM-Benson Quinn. "This project will expand crop origination and transportation infrastructure in Minnesota, opening new markets for local farmers to sell their products at competitive prices."
United Grain Systems, LLC will consist of current UFC facilities at Bird Island, Klossner, Lafayette, LeSueur (south elevator) and Winthrop as well as the under-construction greenfield shuttle loader elevator in Brownton. ADM-Benson Quinn and UFC will each own 50% of the company.
"United Grain Systems, LLC is a further extension of UFC's mission to create more and better business opportunities that add value to the grain produced by our members and patrons on their farms. The LLC also illustrates UFC's belief that agricultural cooperatives sometimes must join together with world class businesses like ADM to create partnerships that amass the necessary capital and expertise to create these new opportunities for our members and patrons," said Jeff Nielsen, chief executive officer of UFC.
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