Agricore United

Agricore United
Terminal One Vancouver Ltd

Great Sandhills Terminal Marketing Centre Ltd.

North East Terminal Ltd.

North West Terminal Ltd.

Prairie West Terminal Ltd.

South West Terminal Ltd.

May 06, 2005 11:52 ET

Agricore United Announces Terminal Sale To Terminal One Vancouver Ltd.


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: AGRICORE UNITED

TSX SYMBOL: AU.LV

AND TERMINAL ONE VANCOUVER LTD

AND GREAT SANDHILLS TERMINAL MARKETING CENTRE LTD.

AND NORTH EAST TERMINAL LTD.

AND NORTH WEST TERMINAL LTD.

AND PRAIRIE WEST TERMINAL LTD.

AND SOUTH WEST TERMINAL LTD.

MAY 6, 2005 - 11:52 ET

Agricore United Announces Terminal Sale To Terminal
One Vancouver Ltd.

SASKATOON, SASKATCHEWAN--(CCNMatthews - May 6, 2005) - Agricore United
(TSX:AU.LV) announced today that it has signed an agreement for the sale
of the former United Grain Growers Limited terminal elevator in
Vancouver, British Columbia ("the Vancouver Terminal") to Terminal One
Vancouver Ltd. ("Terminal One"). The sale of the Vancouver Terminal was
undertaken pursuant to a consent agreement with the Commissioner of
Competition following the merger of United Grain Growers Limited and
Agricore Cooperative Ltd. Terms of the deal were not disclosed but the
transaction is expected to close on or before August 1, 2005, subject to
certain closing conditions and regulatory approval.

Agricore United will consolidate its Vancouver grain handling operations
through two other terminals in which it has an interest and as a result,
the sale is not expected to materially impact on the Company's results
from continuing operations. The proceeds of the sale may be used for
general corporate purposes, including the non-scheduled repayment of
debt or capital reinvestment.

Agricore United is one of Canada's leading agri-businesses. The
prairie-based company is diversified into sales of crop inputs and
services, grain merchandising, livestock production services and
financial markets. Agricore United's shares are publicly traded on the
Toronto Stock Exchange under the symbol "AU.LV".

"We're pleased that we've been able to come to a successful arrangement
with Terminal One which allows them to complete their grain pipeline,"
says Murdoch MacKay, Vice-President, Terminal Services for Agricore
United. "Agricore United has had a strong relationship with independent
inland terminals over the years and, given the leadership demonstrated
by them through this process, we're confident in their future success."

Terminal One represents a consortium of five farmer-owned inland grain
terminals operating in Saskatchewan: Great Sandhills Terminal Marketing
Centre Ltd., North East Terminal Ltd., North West Terminal Ltd., Prairie
West Terminal Ltd. and South West Terminal Ltd. The combined throughput
capacity of the consortium is in excess of one million tonnes. New
partners are being considered that could increase grain handling
throughput at Terminal One to 1.5 million to 2 million tonnes.

"This is a great day for our five participating companies as well as
independent inland terminal operators across western Canada. We now have
full access to the key port of Vancouver which previously was only
available to us through handling agreements with other terminal elevator
operators," says Garth Gish, representing Prairie West Terminal Ltd. and
spokesman for Terminal One. "It is a dream come true for our respective
organizations and we are extremely excited about the future
possibilities it presents us."

The inaugural board of directors of Terminal One is comprised of one
representative from each of the participating inland terminals:




Prairie West Plenty, Saskatchewan Garth Gish-Spokesperson
Terminal Ltd.

Great Sandhills Leader, Saskatchewan Jim Major
Terminal Marketing
Centre Ltd.

North East
Terminal Ltd Wadena, Saskatchewan Alec Dyok

North West Unity, Saskatchewan Jason Skinner
Terminal Ltd.

South West Antelope, Saskatchewan Mark Schell
Terminal Ltd.



Terminal One Vancouver Ltd. will hold a news conference at 11 am MDT,
May 6, 2005 in the Sheraton Cavalier East Room, 612 Spadina Crescent
East, Saskatoon, Saskatchewan to further outline its plans for the
facility.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Terminal One Vancouver Ltd.
    Garth Gish
    (306) 460-8874
    ggish@p-w-t.ca
    or
    Agricore United
    Murdoch MacKay
    Vice-President, Terminal Services
    (204) 944-5648
    mmackay@agricoreunited.com