TEMCO joint venture will expand market access and open new opportunities for U.S. farmers
ST. PAUL and MINNEAPOLIS, Minn., Jan. 13, 2023 /PRNewswire/ -- CHS Inc. and Cargill, two of the nation's leading agribusinesses, announced today the intent to expand the scope of their joint venture, TEMCO LLC, by adding the Cargill-owned export grain terminal in Houston, Texas. The addition of the Houston terminal will expand the joint venture's export capabilities, providing shipping access for grains, oilseeds and byproducts through the port of Houston.
TEMCO currently operates three facilities in the Pacific Northwest: Portland, Ore.; Kalama, Wash.; and Tacoma, Wash. These three facilities distribute grain to global markets, primarily located in the Asia-Pacific region. Through TEMCO, both companies look forward to building on 24 years of successful partnership to expand global grain market access for U.S. farmers to help meet the increasing global need for food.
"We're pleased to continue to build upon our successful relationship with Cargill to expand the reach of TEMCO," says John Griffith, executive vice president of ag business for CHS. "In keeping with our purpose of creating connections to empower agriculture, access to the Houston terminal provides additional options for area cooperatives and farmers to participate in the global marketplace, helping to advance CHS growth strategy for the region and open new opportunities for U.S. farmers."
The Houston terminal is located approximately 40 miles inland from the Gulf of Mexico via Galveston Bay. With six million bushels of storage and capacity for 350 rail cars, the facility handles up to 250 million bushels annually. The terminal receives both trucks and railcars with a variety of commodities for global export.
"We look forward to expanding our joint venture by integrating the Houston terminal and leveraging the successful operating model that's in place today with TEMCO," said Sheryl Wallace, president of North America Grain for Cargill. "We are excited to provide additional market access and opportunities for our farmer customers and to better serve our global demand customers."
"The TEMCO team is excited to integrate the Houston terminal into our operations," says Brian Kubik, general manager for TEMCO. "This expansion will create efficiencies and opportunities for TEMCO and its employees."
About Cargill
Cargill helps the world's food system work for you. We connect farmers with markets, customers with ingredients and families with daily essentials—from the foods they eat to the floors they walk on. Our 160,000 team members around the world innovate with purpose, empowering our partners and communities as we work to nourish the world in a safe, responsible, sustainable way. From feed that reduces methane emissions to waste-based renewable fuels, the possibilities are boundless. But our values remain the same. We put people first. We reach higher. We do the right thing. It's how we've met the needs of the people we call neighbors and the planet we call home for 157 years—and how we'll do so for generations to come. For more information, visit Cargill.com and our News Center.
About CHS
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to creating connections to empower agriculture, helping its farmer-owners, customers and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, seed, crop protection products, grain marketing services, production and agricultural services, animal nutrition products, foods and food ingredients, and risk management services. The company operates petroleum refineries and pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, financial condition and results of operations, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not place undue reliance on any of these forward-looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward-looking statements are discussed or identified in CHS filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10-K for the fiscal year ended August 31, 2022. These factors may include: the inability to consummate the transaction described in this press release; changes in commodity prices; the impact of government policies, mandates, regulations and trade agreements; global and regional political, economic, legal and other risks of doing business globally; the ongoing war between Russia and Ukraine; the impact of inflation; the impact of epidemics, pandemics, outbreaks of disease and other adverse public health developments, including COVID-19; the impact of market acceptance of alternatives to refined petroleum products; consolidation among our suppliers and customers; nonperformance by contractual counterparties; changes in federal income tax laws or our tax status; the impact of compliance or noncompliance with applicable laws and regulations; the impact of any governmental investigations; the impact of environmental liabilities and litigation; actual or perceived quality, safety or health risks associated with our products; the impact of seasonality; the effectiveness of our risk management strategies; business interruptions, casualty losses and supply chain issues; the impact of workforce factors; our funding needs and financing sources; financial institutions' and other capital sources' policies concerning energy-related businesses; uncertainty regarding the transition away from LIBOR and the replacement of LIBOR with an alternative reference rate; technological improvements that decrease the demand for our agronomy and energy products; our ability to complete, integrate and benefit from acquisitions, strategic alliances, joint ventures, divestitures and other nonordinary course-of-business events; security breaches or other disruptions to our information technology systems or assets; the impact of our environmental, social and governance practices, including failures or delays in achieving our strategies or expectations related to climate change or other environmental matters; the impairment of long-lived assets; and other factors affecting our businesses generally. Any forward-looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise except as required by applicable law.
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SOURCE CHS Inc.
