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Cargill, ProGold Form 50/50 Corn Wet Milling JV

Cargill and Golden Growers Cooperative (GGC) - an agricultural co-op representing 1,500 corn growers across Minnesota and the Dakotas, have agreed to buy out the 51 percent stake owned by American Crystal Sugar Company in ProGold - owner of a corn wet milling facility in Wahpeton, North Dakota, and the 510 acres on which the plant is located.

Cargill, which already owns and operates five other corn wet mills in the Midwest - in Blair, Nebraska; Cedar Rapids, Eddyville, and Fort Dodge, Iowa; and Dayton, Ohio - will continue to operate the 240,825 square-foot milling facility, which it has leased and operated since 1997.

Cargill contracts with approximately 1,500 proximate corn growers to the facility, which grinds 90,000 bushels of corn per day to produce animal feed, and food ingredients used in the manufacturing of baked goods, beverages, dairy products, and confectionery goods.

American Crystal, which has held a majority stake in ProGold for 28 years, stated that this sale, which is expected to close by the end of February, will allow it to re-focus its efforts on its core business.

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