Advertisement Advertisement
Advertisement Advertisement

CHS invests in soybean oil refining capacity expansion at Mankato plant

In the United States (US), CHS Inc., a leading agribusiness cooperative, has announced a major soybean refinery expansion and renovation project at the CHS Mankato soybean processing plant in Minnesota (MN), driven by global oil demand. The more than US$60 million project is the second phase of CHS investments to capitalize on changing market dynamics and opportunities to grow market access. Project completion is expected in late summer 2023.

Acquired by CHS in 1960, the Mankato plant in southern Minnesota (MN) ranks as one of the largest soybean oil refineries in the United States (US) processing around 47 million bushels (≈ 1.28 million tonnes) of soybeans annually (photo courtesy CHI).

Along with improvements to fully optimize soybean oil refining, related Mankato plant improvements include upgrading and expanding the entire refining process, and improving process flows to reduce operating costs. When upgrades are completed, annual refined soybean oil production at the Mankato facility will increase by more than 35 percent.

Trends in global consumption of refined oils such as soy, canola, and palm remain strong, especially in the renewable diesel sector, with projected continued tightening of stocks. We’re seeing tremendous opportunities to maximize our farmer-owners investments in high-performing assets and infrastructure, said Tom Malecha, CHS VP, Global Grain & Processing operations.

The groundwork for CHS strategic growth plans to participate in burgeoning oil markets began in October 2019, with a 24-month construction project at its Fairmont, MN, plant, which increased soybean crush capacity by 30 percent and replaced outdated equipment.

We’re buying and crushing more local soybeans and transporting more crude oil to the Mankato plant for refining. We’re looking forward to being able to process even more of farmers’ soybeans into value-added products, which are in high demand by global customers in several market segments, ended Tom Malecha.

We're using cookies. Read more