ADM to Build New Soy Crushing Facility in North Dakota to Meet Increasing Demand for Renewable Products

Rhea-AI Summary

ADM (NYSE: ADM) announced plans to build North Dakota's first dedicated soybean crushing plant and refinery in Spiritwood, ND. The $350 million facility will process 150,000 bushels of soybeans daily, meeting the increasing demand for renewable diesel and other products. Completion is expected before the 2023 harvest. Alongside this, ADM will invest $25 million to enhance refining and storage in Quincy, Illinois, to align with its crushing capacity. This initiative aims to support local farmers and contribute to climate-friendly agriculture.

Positive

• Investment of approximately $350 million in a soybean crushing plant, enhancing local agricultural economy.
• Capacity to process 150,000 bushels of soybeans daily, expected to meet rising demand for renewable diesel and other products.
• Partnership with local farmers to support low carbon feedstocks, contributing to climate change efforts.
• Expansion of refining and storage capacity in Quincy, Illinois, with a $25 million investment to meet customer needs.

Negative

• None.

ADM (NYSE: ADM) today announced its plan to build North Dakota’s first-ever dedicated soybean crushing plant and refinery to meet fast-growing demand from food, feed, industrial and biofuel customers, including producers of renewable diesel.

Based in Spiritwood, ND, the approximately $350 million crush and refining complex will feature state-of-the-art automation technology and have the capacity to process 150,000 bushels of soybeans per day. Strategically located in a major soybean producing area, ADM’s global logistics network will enable the facility to access both domestic and global markets for soybean oil and meal. The facility is expected to be complete prior to the 2023 harvest.

“ADM’s commitment to preserving and protecting our planet’s resources stretches from the farm gate to the food on our tables and the renewable fuel we put in our vehicles,” said Greg Morris, president of ADM’s Ag Services & Oilseeds business. “This exciting new project allows us to partner with North Dakota farmers to further advance the role of agriculture in addressing climate change through the production of low carbon feedstocks for products such as renewable diesel.”

“This soybean processing plant is a gamechanger for North Dakota farmers, adding value and expanding the market for this important crop closer to home while also supporting the production of products such as renewable green diesel right here in North Dakota,” said North Dakota Governor Doug Burgum. “Now, with innovative leader ADM and collaboration with local economic development and multiple state agencies, this exciting value-added project has come to fruition. We’re deeply grateful for ADM’s investment in our state and our highly productive farmers as well as the tireless efforts of so many who helped make this happen, including the Office of State Tax Commissioner, the Jamestown/Stutsman County Development Corp., North Dakota Department of Commerce, North Dakota Department of Agriculture, Lt. Gov. Brent Sanford, the state Legislature, and our entire congressional delegation.”

“We’ve been working to bring this new soybean crushing facility to North Dakota and met with key leaders from ADM over two years ago to develop this plan,” said Senator John Hoeven. “We’re pleased that this new plant will be open in 2023, as it will provide a significant new market for North Dakota soybean growers, while creating good jobs and economic growth. We appreciate the work of ADM, as well as the governor, the other members of the delegation and the Jamestown/Stutsman Development Corporation for their efforts on this exciting new opportunity.”

ADM also plans to invest approximately $25 million to expand refining and storage capacity at its crush and refining facility in Quincy, Illinois. This project will fully align the location’s refining capabilities with its crush capacity and allow for greater flexibility in meeting the needs of ADM’s food, biofuel and industrial customers. The expanded capacity is expected to be online by Q1 2022.

“ADM has an unparalleled opportunity to lead our industry in this area, and thanks to our extensive operational and commercial expertise, we are well-positioned to add these shovel-ready projects to our network and meet the fast-growing needs of customers worldwide for lower carbon, plant-based solutions,” Morris added.

About ADM

At ADM, we unlock the power of nature to provide access to nutrition worldwide. With industry-advancing innovations, a complete portfolio of ingredients and solutions to meet any taste, and a commitment to sustainability, we give customers an edge in solving the nutritional challenges of today and tomorrow. We’re a global leader in human and animal nutrition and the world’s premier agricultural origination and processing company. Our breadth, depth, insights, facilities and logistical expertise give us unparalleled capabilities to meet needs for food, beverages, health and wellness, and more. From the seed of the idea to the outcome of the solution, we enrich the quality of life the world over. Learn more at www.adm.com.

Source: Corporate Release

View source version on businesswire.com: https://www.businesswire.com/news/home/20210510005607/en/

FAQ

What is ADM's new investment in North Dakota?

ADM is investing approximately $350 million to build North Dakota’s first dedicated soybean crushing plant and refinery in Spiritwood.

What is the capacity of the new soybean crushing facility?

The facility will have the capacity to process 150,000 bushels of soybeans per day.

When is ADM's soybean crushing plant expected to be completed?

The plant is expected to be completed before the 2023 harvest.

What additional investment is ADM making in Quincy, Illinois?

ADM plans to invest approximately $25 million to expand refining and storage capacity at its facility in Quincy, Illinois.

How does ADM's new project contribute to sustainability?

The project supports the production of low carbon feedstocks and aligns with ADM's commitment to addressing climate change.