Minneapolis, MN (November 30, 2020) – Ceres Global Ag Corp. (TSX: CRP) (“Ceres” or the “Corporation”) today announced that its wholly owned subsidiary, Riverland Ag Corp. (“Riverland”) has entered into an agreement with Farmer’s Co-op Grain and Seed Association (“FCGS”), an agricultural cooperative based in Thief River Falls, Minnesota, to form a grain merchandising joint venture to be based in Thief River Falls (the “Joint Venture”). FCGS will contribute its existing grain elevator and related grain merchandising assets in Thief River Falls to the Joint Venture, with Riverland contributing cash. The transaction is expected to close in January 2021. Following closing, the Joint Venture will undergo an expansion project designed to enable loading unit trains. The facility will be serviced by Canadian Pacific (CP) and FCGS will continue to operate its non-grain merchandising businesses independent of the operation of the Joint Venture.
“The formation of this Joint Venture marks a meaningful step in our broader strategy to increase core product origination directly from growers, including the Thief River Falls area in particular” said Mr. Robert Day, President and Chief Executive Officer at Ceres. “We look forward to partnering with the hundreds of growers who make up FCGS and working closely with the CP to efficiently market growers’ products and create value for our downstream customers.”
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