“With less livestock production, more cash cropping and greater yield potential, the PEIGEC current operational capacity and infrastructure does not meet the needs of the commercial grain and oilseed sector,” the company noted in a project report  filed in late March.

As part of the expansion, PEI Grain said it would use nearly 9 acres of undeveloped agricultural farmland that is located adjacent to its current grain elevator in Kensington. The proposed project involves the construction/operation of an expanded and modernized grain elevator operation that will include dryer units, high capacity holding tanks for grains and oilseeds and an office with electrical and mechanical areas.

“The existing grain elevator operation was constructed in 1969 and has undergone some expansions over the years with the addition of new silo type grain storage,” PEI Grain said. “The grain elevator building is a wooden structure and has experienced some deterioration over the years with some of the walls starting to buckle and are thus in need of replacement.”

The current facility can store approximately 14,000 tonnes of grains, and once expanded is expected to be able to handle an additional 10,000 tonnes, the company said.

Construction on the facility is expected to begin in mid-May and continue through December, with commissioning of the facility tentatively scheduled for January 2019.