CHICAGO: US grain handler CGB Enterprises Inc and farmer cooperative Minnesota Soybean Processors are building a soy processing plant in North Dakota, the second new crushing facility announced in the state this year.
The plant - which will be built near Casselton, North Dakota, is expected to crush 42.5 million bushels of soybeans in the first year of operation, according to a statement posted on CGB’s website Tuesday.
The facility will also produce soymeal livestock feed and soybean oil to be used for food and renewable fuel. Construction is set to begin next spring, and is expected to be finished and begin operations in 2024, CGB said.
The new plant comes amid booming demand for vegetable oils for use in biofuels, most notably renewable diesel, a “drop-in fuel” which can be used interchangeably with fossil fuel-based diesel in engines.
North American capacity to produce the fuel is projected to surge over the next three years, and demand for feedstocks is likely to be brisk.
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