Wheat Growers Purchases Kimball Fertilizer Plant

South Dakota Wheat Growers, Aberdeen, S.D., announced today that it has purchased the 40-thousand-ton dry fertilizer plant in Kimball, S.D., that had been owned by Gavilon Fertilizer, LLC.

“Today we add a key asset to our farmer-owned cooperative that will allow us to continue to deliver on our mission to better serve our member-owners for generations to come,” said Wheat Growers CEO Chris Pearson.

With this purchase, the Kimball plant will become the largest capacity dry fertilizer plant in the Wheat Growers cooperative. Wheat Growers currently has 6 hub fertilizer plants located in Bath, Huron, Kennebec, McLaughlin, Oakes and Wolsey, with the largest being Wolsey with 31,200 tons of dry fertilizer storage.

“As we anticipate becoming a new cooperative on February 1, the addition of this state-of-the-art fertilizer plant allows us to very efficiently provide fertilizer to our farmers,” Pearson said. “It also opens the door to new opportunities in our South Region, by significantly increasing our storage capacity and expanding product availability to producers along the I-90 corridor. This will be key for our producers in that region.”

The Kimball plant includes access to a 110-car unit loop-track, plus high-speed automated fertilizer loadout and storage capabilities.
“The Kimball fertilizer plant has three times the storage capacity as our newest plant in Kennebec,” Chief Operating Officer John Husk said. “With this added storage volume and efficient loading capabilities, we can provide our customers seamless delivery of cost-effective product for their operations.”

Husk explained that growing fertilizer demand along the I-90 corridor has resulted in the cooperative having to truck in large volumes of fertilizer from other locations further away.
“Those are clear indications that another modernized plant has great potential in this region,” Husk said. “This new Kimball plant will be a significant addition to how we serve our customers’ fertilizer supply needs.”

Gavilon Grain, LLC, which is based in Omaha, Neb., will continue to own and operate the adjacent 2.2-million-bushel grain elevator.