ST. PAUL, Minn., Sept.1, 2015
/PRNewswire/ -- CHS (NASDAQ: CHSCP), a leading energy,
grains and foods company and the nation's leading farmer-owned
cooperative, said today it has completed its purchase of the
National Cooperative Refinery Association (NCRA) petroleum refinery
and related operations based at McPherson
Kan., and is now its sole owner. The refinery has been
renamed the CHS Refinery at McPherson,
Kan.
"As the nation's leading cooperative energy company, becoming
the sole owner of this refinery and its related pipelines and
terminals is a critical step in adding value for our member-owners
and other customers," said Jay
Debertin, CHS executive vice president and chief operating
officer, Energy and Foods. "Given our 70-year history with this
well-run operation and its 700 dedicated employees, we're proud to
make this operation fully part of CHS."
Today CHS sells more than 3 billion gallons of gasoline and
diesel fuel products annually and markets the products under the
Cenex brand at more than 1,500 Cenex branded retail locations.
Combined, the CHS refineries at McPherson, Kan., and Laurel, Mont., help meet their customers'
growing needs for both diesel fuel and gasoline.
"We are continually in the market for diesel fuel to meet our
member-owners' demand," said Jim
Loving, CHS senior vice president, refining, pipelines and
terminals, and past president of NCRA. "Through sole ownership of
this operation, along with additional investment to increase
capacity, we're essentially adding the equivalent of a third
refinery to serve our owners and customers who highly value the
additional diesel supply."
The CHS refining story began in 1943 when wartime shortages of
petroleum products made it difficult for cooperatives to obtain the
fuel they needed for their farmer- and cooperative-members. CHS
purchased the refinery at Laurel,
Mont., and within months an association of regional farm
supply cooperatives, including CHS, was formed to purchase the
refinery at McPherson, Kan.
Under cooperative ownership, the refineries have seen continual
modernization and expansion. From a combined crude oil capacity of
25,000 barrels a day in 1943, they now have a combined capacity to
produce 142,000 barrels a day. Expansion projects will take them to
the 157,000 barrels per day mark in 2016, and proposed plans will
bring production to 166,000 barrels per day in 2019.
In 2011, CHS announced it would purchase the shares of two
minority owners, becoming sole owner on Sept. 1, 2015.
Learn more about CHS refining at chsinc.com/refining.
CHS (www.chsinc.com) is a leading global agribusiness owned by
farmers, ranchers and cooperatives across the United States. Diversified in energy,
grains and foods, CHS is committed to helping its customers,
farmer-owners and other stakeholders grow their businesses through
its domestic and global operations. CHS, a Fortune 100 company,
supplies energy, crop nutrients, grain marketing services, animal
feed, food and food ingredients, along with business solutions
including insurance, financial and risk management services. The
company operates petroleum refineries/pipelines and manufactures,
markets and distributes Cenex® brand refined fuels,
lubricants, propane and renewable energy products.
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SOURCE CHS Inc.