Ceres Global Announces Letter of Intent to Acquire 50% Interest in Berthold Farmers Elevator, LLC3/15/2022 Ceres Global Ag Corp. (TSX: CRP) ("Ceres" or the "Corporation") a global agricultural, energy and industrial products merchandising and supply chain company, announced today that its wholly owned subsidiary, Riverland Ag Corp. ("Riverland"), has entered into a letter of intent to acquire Columbia Grain International's 50% membership interest in Berthold Farmers Elevator, LLC, a grain originator and merchandiser with locations in Berthold, N.D. and Carpio, N.D. ("BFE"). Riverland will pay cash for the investment, coming from working capital and available debt capacity. The other 50% membership interest in BFE is owned by Berthold Farmers Elevator Company ("BFEC"), a farmer cooperative also based in Berthold, N.D.
The letter of intent contains a binding purchase option exercisable by Riverland through April 29, 2022, by which date the transaction is expected to close. "Becoming a joint venture owner with Berthold Farmers Elevator Company advances our strategy to partner with growers and increase origination of our core products," said Mr. Robert Day, President and Chief Executive Officer at Ceres. "We look forward to connecting the hundreds of growers who make up the co-op in Berthold with Ceres and Riverland's customers and collaborating with all parties to bring solutions, starting from the farmgate and ending with consumers in the U.S. and internationally." "Adding Riverland as a joint venture partner in Berthold Farmers Elevator, LLC opens new and meaningful possibilities for our growers" said Aaron Haaland of BFE's board. "With Riverland and Ceres's expertise in managing railroad programs and providing destination market access, Berthold Farmers Elevator Company will be well positioned to serve the needs of its growers and patrons for decades to come." About Ceres Global Ag Corp. (ceresglobalagcorp.com) Ceres and its subsidiaries ("Ceres") add value across agricultural, energy and industrial supply chains through efficient sourcing, storing, transporting and marketing of high-quality agricultural commodities, value-added products and raw materials. Leveraging its network of commodity logistics centers and team of industry experts, Ceres connects farmers to customers around the world. Ceres is headquartered in Golden Valley, Minnesota, and together with its affiliated companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 31 million bushels. Ceres has a 50% interest in Savage Riverport, LLC (a joint venture with Consolidated Grain and Barge Co.), a 50% interest in Farmers Grain, LLC (a joint venture with Farmer's Cooperative Grain and Seed Association), a 50% interest in Gateway Energy Terminal (an unincorporated joint venture with Steel Reef Infrastructure Corp.), a 25% interest in Stewart Southern Railway Inc. (a short-line railway located in southeast Saskatchewan with a range of 130 kilometers), and a 17% interest in Canterra Seed Holdings Ltd. (a Canada-based seed development company). About Berthold Farmers Elevator, LLC (www.bertholdfarmers.com) Established in 2002, BFE provides grain merchandising and storage services to over 300 BFEC patrons and other growers across a 4-county area. For more information about Ceres, please visit www.ceresglobalagcorp.com
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Company Provides Update on Oilseeds Business Ceres Global Ag Corp. (TSX: CRP) today announced its financial and operating results for the quarter ended December 31, 2021. All amounts are in U.S. currency unless otherwise noted. Second Quarter Highlights (Comparisons to second quarter of fiscal year 2021)
CEO Commentary “A strong second quarter capped the best six-month period in Ceres’ history,” said Robert Day, President and Chief Executive Officer of Ceres. “Despite smaller crops and lower inventories across the industry, we continued to find needed supply for key customers and consistently delivered high quality product on time. Key to our success again this quarter was our solid operational execution and strategic positioning ahead of the 2021 crop year. As a result, we achieved higher net trading margins, higher gross profit and a much-improved bottom line. Contributing to our positive results was our recently expanded soybean crush plant in Jordan, Manitoba, which ran at full capacity during the quarter and produced the best financial results in the plant’s history.” Outlook Mr. Day continued, “We believe grain prices are at or near levels at which demand will continue to be rationed in order to balance limited supply for the remainder of the crop year. Opportunities in the third quarter will continue to present themselves through effective trading and positioning; however, we expect that generating gross margins will become more challenging as inventories continue to diminish.” “Our plans to build an integrated canola processing facility in Northgate, Saskatchewan, remain on track to begin operations in the summer of 2024. The facility will have capacity to process approximately one million metric tons of canola and refine over 500 thousand metric tons of canola oil, for both food and renewable fuel, annually. We have engaged project management and design firms to develop the construction and design for the project, and we continue to make progress around equity partnership and funding.” In its second quarter Management Discussion and Analysis, dated February 9, 2022, Ceres Global Ag provided the following update on its plans to build to build a $350 million integrated canola processing facility in Northgate, Saskatchewan: Regarding growth and development, on May 25, 2021 Ceres announced its plan to build an integrated canola processing facility in Northgate, Saskatchewan, to help meet the current and growing global demand for canola products. The state‐of‐the‐art facility will have capacity to process approximately 1 million metric tons of canola and refine over 500 thousand metric tons of canola oil, for both food and renewable fuel, annually. The Corporation has engaged project management and engineering design firms to develop construction and design plans for the project, which are expected to be finalized late in the third quarter, or early in the fourth quarter of fiscal year 2022. In addition, during the quarter ended December 31, 2021, the Corporation made $10.8 million in deposits and commitments with major equipment suppliers as well as other consulting and engineering fees, which were critical to maintaining the project’s timeline. The facility is expected break ground this year and is targeted to be operational by summer 2024 and will create over 50 full time jobs in Saskatchewan, which is the largest canola producing province in Canada. The Corporation also hired Ascendant Partners, Inc. as an advisor and continues to explore financing options and arrangements with industry partners relating to the project. About Ceres Global Ag Corp.
Ceres and its subsidiaries add value across agricultural, energy and industrial supply chains through efficient sourcing, storing, transporting and marketing of high-quality agricultural commodities, value-added products and raw materials. Leveraging its network of commodity logistics centers and team of industry experts, Ceres connects farmers to customers around the world. Ceres is headquartered in Minneapolis, Minnesota, and together with its affiliated companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 31 million bushels. Ceres has a 50% interest in Savage Riverport, LLC (a joint venture with Consolidated Grain and Barge Co.), a 50% interest in Farmers Grain, LLC (a joint venture with Farmer’s Cooperative Grain and Seed Association), a 50% in Gateway Energy Terminal (an unincorporated joint venture with Steel Reef Infrastructure Corp.), a 25% interest in Stewart Southern Railway Inc. (a short-line railway located in southeast Saskatchewan with a range of 130 kilometers), and a 17% interest in Canterra Seed Holdings Ltd. (a Canada-based seed development company). Source: Ceres Global Ag Corp. Ceres provides update on Northgate canola crush plant project
Ceres Global Ag Corp. (TSX: CRP) ("Ceres" or the "Corporation") today announced its financial and operating results for its first quarter ended September 30, 2021. All dollar amounts are in U.S. currency unless otherwise noted. First Quarter Highlights:
"A very strong first quarter has Ceres off to an excellent start to our fiscal year. Diversification over the past few years, relentless focus on our customers, and our ability to successfully navigate through a generational drought and volatile grain markets contributed to our strongest quarter on record," said Robert Day, President and Chief Executive Officer of Ceres. "In addition to the record financial performance, we made significant progress on our growth and development; specifically, advancing the transformational canola crush project that was announced in May 2021." "Meanwhile, we continue to make steady progress on plans to build a one million metric ton integrated canola processing facility in Northgate, Saskatchewan. We have made deposits with major equipment suppliers, continued our progress on design and engineering, and will shortly begin to evaluate proposals from potential strategic partners." For more details on Ceres' plans to build an integrated canola crush facility in Northgate, Saskatchewan, click here. Source: Ceres Global Ag Corp. Ceres Global Ag Corp. (TSX: CRP) today announced its financial and operating results for the quarter and year ended June 30, 2021. All amounts are in U.S. currency unless otherwise noted. Highlights for the quarter and year ended June 30, 2021
Highlights Subsequent to Quarter End
"A strong fourth quarter capped a year of meaningful progress against our broader strategy to partner with growers and other suppliers to enable our downstream customers to do great things in the food, agriculture and energy markets. In fiscal year 2021, we handled 14.4 million more bushels, we strengthened our presence in crucial geographies on both sides of the U.S. and Canadian border, and we maintained the positive trajectory of improved financial performance that began several years ago. Most notably, the profitable execution of our strategy and positive outlook enabled us to recognize $9.7 million in previously unrecognized deferred tax assets during the quarter." - Robert Day, President and CEO of Ceres Global Ag. Outlook Mr. Day continued, "Fiscal year 2022 is shaping up to be a transformative year for Ceres, resulting from years of hard work and exciting growth projects targeted at advancing our strategy. Due to disciplined analysis of markets and prudent acquisition of supplies for key customers, we expect the first quarter of fiscal year 2022 will be a record for Ceres in terms of EBITDA and pre-tax profits. Meanwhile, we are making progress on the canola crush project at Northgate as we prepare to break ground in 2022; Farmers Grain, LLC in Thief River Falls is off to a strong start and the expansion is on track for completion prior to harvest 2022; and the expansion of our soybean crush plant in Jordan, Manitoba, which is positioned to benefit from the fast-growing demand from food, feed, and renewable fuel markets, was completed in July 2021 and is expected to generate increased margins and profits once the new crop harvest begins in October." Conference Call Details Management of Ceres will host a conference call today, September 10, 2021, at 9:00 am ET to discuss its third quarter financial and operational results. All interested parties can join the conference call by dialing 1-888-664-6392 or 416-764-8659. Please dial in 15 minutes prior to the call to secure a line. A live audio webcast of the conference call will be available at: https://bit.ly/CeresQ42021. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast. An archived replay of the webcast will be available for 90 days. Non-IFRS Financial Measures EBITDA (Earnings before Interest, Taxes, Depreciation and Amortization) is not a standardized financial measure prescribed by IFRS; however, it is a metric that is used by management to determine the Corporation's ability to service its debt and finance capital. In calculating EBITDA, Ceres excludes gains and losses on property, plant and equipment, assets held for sale, and gains and losses on equity investments as these items are considered to be non-reoccurring in nature. Ceres may calculate EBITDA differently than other companies; therefore, Ceres' EBITDA may not be comparable to similar measures presented by other issuers. Investors are cautioned that EBITDA should not be construed as an alternative to net income or loss, or to other standardized financial measures determined in accordance with IFRS and is not intended to represent cash flows or results of operations in accordance with IFRS. About Ceres Global Ag Corp. (ceresglobalagcorp.com) Ceres and its subsidiaries ("Ceres Global") add value across agricultural, energy and industrial supply chains through efficient sourcing, storing, transporting and marketing of high-quality agricultural commodities, value-added products and raw materials. Leveraging its network of commodity logistics centers and team of industry experts, Ceres Global connects farmers to customers around the world. Ceres Global is headquartered in Minneapolis, Minnesota, and together with its affiliated companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 31 million bushels. Ceres Global has a 50% interest in Savage Riverport, LLC (a joint venture with Consolidated Grain and Barge Co.), a 50% interest in Farmers Grain, LLC (a joint venture with Farmer's Cooperative Grain and Seed Association), a 50% in Gateway Energy Terminal (an unincorporated joint venture with Steel Reef Infrastructure Corp.), a 25% interest in Stewart Southern Railway Inc. (a short-line railway located in southeast Saskatchewan with a range of 130 kilometers), and a 17% interest in Canterra Seed Holdings Ltd. (a Canada-based seed development company). For more information about Ceres Global, please visit www.ceresglobalagcorp.com. |
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