Cargill sinks $18m into Nebraska feed grain facility
The Minnesota-based agri-giant announced the multi-year project on Tuesday, August 22.
The site in Gibbon, Nebraska is one of 16 facilities that Cargill maintains in that state, said Antonella Bellman, communication leader with Cargill’s agriculture supply chain North America. It was picked for the expansion after an analysis of its performance.
“Cargill continually evaluates its assets to ensure its sites are operating efficiently and are competitive in the areas it serves,” she told FeedNavigator. “The Gibbon area has historically produced consistently high yields and was selected for an improvement project to better serve our customers with speed and efficiency.”
When the planned improvements are complete, the facility will have the ability to store an additional 2m bushels of grain and an unloading capacity of 65,000 bushels an hour, the company said.
Before the revamp, the unloading capacity was 25,000 bushels an hour, added Bellman.
Improvement project specifics
The expanded facility will continue to work with feed grains including corn, soybeans and wheat, said Bellman.
“The upgrades include three new upright storage bins, one new receiving pit and conveyors to connect to the existing elevator,” she said. “The three new upright bins will replace the current four smaller upright bins.”
When completed, the site will be able to store 6m bushels, she said.
“The Gibbon area features high production, mostly irrigated farm ground that historically produced consistently high yields,” said Jim Reiff, Northwest commercial leader for Cargill’s agricultural supply chain in North America, in a release. “We’re excited to expand our capabilities and improve service to growers in the area.”
“In addition, the facility is on the Union Pacific mainline rail, connecting our growers to export markets in the US Gulf, Pacific Northwest, and Mexico, and helping to meet the needs of key end user customers in California,” he added.
Feed grains for the facility are expected to be sourced from the surrounding area, said Bellman. “We will continue to serve farmer growers in the Gibbon area,” she added.
Work on the upgrade has started, said the company. The project is designed to be completed in phases, with aspects being completed through 2019.
However, a detailed project plan is not being released at this time, said Bellman.
The site is not expected to need to shut down during the improvement work, said Cargill.
“These improvements are in line with our growth strategy and ensure we can continue to provide a competitive offering to Cargill customers,” said Dave Baudler, grain managing director for Cargill’s agricultural supply chain in North America, in a release. “The upgrades in Gibbon will have a positive impact on both long and local supply chains.”
