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GrainsConnect Canada to Build $40M Grain Terminal in Central Alberta

GrainsConnect Canada Operations Inc. has been granted approval for its development permit request to construct a large scale grain terminal in Niobe in Central Alberta.

The 207 acre-facility, which is expected to cost between $30 million and $40 million, will have ten concrete towers and the capacity to process up to 35,000 tons of grain every ten hours.

“It is not only going to bring in tax revenue to Red Deer County, but it is also going to help farmers in the county and around to market their grain,” said country mayor and farmer Jim Wood, reports the Mountain View Gazette.

GrainsConnect, which is a joint venture between GrainCorp and Japan’s Zen-Noh Grain Corporation, stated in December 2015 that it intended to establish a fully integrated supply chain within the Canadian grain industry, including a string of new elevators across Alberta and Saskatchewan which would facilitate the movement of grain at harvest and improve export capacity.

Toward this end, Warren Stow, president of GrainsConnect Canada said that the company will be announcing the construction of an additional grain terminal in Alberta and two in Saskatchewan within the next two months.

Construction on the Niobe facility is planned to begin in April, however there remain additional regulatory approvals needed to be obtained prior to building.

“We do have some hoops to jump through,” noted Stow to the Mountain View Gazette. “Obviously the development permit is one of them that we cleared this morning (Feb. 16), but we do have provincial (approval) because we are a foreign entity, and we do need to seek foreign investment approval from the provincial government.”

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