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JRI to expand two Pioneer sites in Man.

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Published: February 13, 2008

Two Pioneer Grain elevators in Manitoba are slated for capacity expansions this summer, following announcements of six other projects at five sites in Alberta and Saskatchewan.

Pioneer’s parent, Winnipeg’s James Richardson International (JRI), on Wednesday announced it will add an extra 10,000 tonnes of storage capacity at its Mollard elevator near Brunkild, about 35 km southwest of Winnipeg. The expansion will boost the Mollard elevator’s capacity by 40 per cent, the company said in a release.

JRI will also double the rail capacity at Pioneer’s elevator at Starbuck, about 25 km north of Brunkild. The former Agricore United facility will expand from a 56- to a 112-car spot.

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JRI said the two projects are expected to be completed by the end of this summer.

JRI last year expanded its grain handling capacity by over 50 per cent by buying several elevators and ag input retail operations owned by the former Agricore United in all three Prairie provinces. The Manitoba properties included the Starbuck site and and six other AU elevators with crop input retail outlets, plus a stand-alone retail outlet.

Saskatchewan Wheat Pool and JRI reached a $315 million deal for the AU facilities in May 2007 before SaskPool’s merger with AU as Viterra, partly to satisfy federal competition regulators.

“We are extremely pleased with how quickly and easily the (AU) facilities and employees became part of our Pioneer Grain network,” said JRI president Curt Vossen in the company’s release. “Having been through a busy harvest season, the new facilities have exceeded all of our expectations.

“Our early success and the positive state of the industry, domestically and globally, certainly encourages us to continue investing in our network, including through expansions of facilities such as Mollard and Starbuck.”

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