Viterra Inc.

Viterra Inc.

September 16, 2008 12:26 ET

Viterra to Build New High Throughput Terminal in the Peace River Area

REGINA, SASKATCHEWAN--(Marketwire - Sept. 16, 2008) - Viterra (TSX:VT) is pleased to announce plans to build a new high throughput grain terminal near Sexsmith, Alberta, approximately 18 kms north of Grande Prairie, to meet growing market demand in the Peace River area.

The concrete and steel facility will be developed at an estimated capital cost of $24 million, featuring 30,000 tonnes of grain storage and 104 railcar loading capability.

"This investment demonstrates Viterra's confidence in the future of grain production in the Peace River area," said Mayo Schmidt, President and CEO of Viterra. "The upswing in commodity prices has provided an incentive for farmers to convert forage and pasture land back into grain production. The new terminal will complement our crop input network in the region, offering farmers premium products including fertilizer, seed, equipment and crop protection products."

Site work is planned to start this fall with construction to start in the spring of 2009 and the first grain deliveries expected in August of 2010. Future plans are being developed to establish an Ag Retail location at the Sexsmith terminal, providing one-stop shopping for farm customers.

The general contract for the project has been awarded to FWS Construction Ltd. The terminal will be serviced by Canadian National Railway.

Schmidt added the project is another example of Viterra's commitment to driving excellence in Canada's transportation supply chain.

"By maximizing the percentage of shipments in full trains we can increase overall system capacity and reduce costs for farmers, end users, railways and Viterra," he said.

Viterra's investment will also have a positive economic impact on the local area which has a strong history of grain production. The new terminal will employ approximately nine full-time staff.

Viterra Inc. is Canada's leading agri-business, with extensive operations and distribution capabilities across Western Canada, and with operations in the United States, Japan and Singapore. The new Company is diversified into sales and services of crop inputs and equipment, grain handling and marketing, livestock feed, agri-food processing and financial products. These operations are complemented by value-added businesses and strategic alliances, which allow Viterra to leverage its pivotal position between Prairie farmers and destination customers. The Company's common shares are listed on the Toronto Stock Exchange under the symbol VT.

Contact Information

  • Viterra Inc.
    Peter Flengeris
    Investor Relations and Corporate Affairs
    (306) 569-4810