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Minnesota Soybean Processors
Box 100   Brewster, MN   56119-0100
Ph: 1-507-343-6677   Fax: 1-507-727-2677

 
The Bean Counter

Volume 3, Issue 2

www.MnSoy.com

April 2003

Mild Weather Helped Construction Progress

Early Call for Final Payment
By Connie Kelly, Chief Financial Officer

As I am sure you are aware by now, we have sent the invoices for the final payment for the Minnesota Soybean Processors. The good news is that the mild winter weather was quite conducive for construction this year, so despite delays with permitting and such we are right on schedule. In order to avoid restriction on the delivery of equipment to the site, we had to arrange for the larger pieces of equipment to be delivered before the road weight limit restrictions were activated. This early delivery of equipment and the corresponding need to pay for it were the reasons for the early invoicing of stock payments.

 

We have secured financing with CoBank for the remaining funding of the construction of the plant; however, one covenant of the loan is that all equity has to be collected and used towards construction costs first.

Payments are due on April 25, 2003. Once we have received all of the funds, we will be issuing stock certificates sometime during this summer. We are still on schedule for a Nov. 1 start-up, and as you drive by the site, you can see how far the progress has come.


New Director Elected at 2nd Annual Meeting

One new director - Larry VanMeeteren of Sheldon, Iowa, representing Dist. 4 - was elected to the board of
Minnesota Soybean Processors at the second annual meeting in Windom Community Center. Six directors were re-elected. The meeting attracted 198 members to the Windom Community Center.

John Prohaska, engineering coordinator for the construction project, gave a slide presentation to augment his upbeat progress report.

Tom Kersting, merchandising manager, reported on the Quality Premium Program open to both MnSP and South Dakota Soybean Processors members at the Volga plant. The purpose of the program is to reward producers for planting varieties that produce above-average protein and oil content as will as a satisfactory yield per acre. The
program kicked in March 10.

CEO Rodney Christianson touched on construction progress, economic impact of the Brewster project, world oilseed demand and future prospects for biodiesel in his report. He said the plant, when running, would provide 40 jobs, which in turn would have an employment impact of 2,176 jobs in the wider area. He said a total of 4,417 farm families have ownership in the two processing enterprises, with significant membership in five states.

The six directors who were re-elected included Robert Kirchner, Worthington, Dist. 1; Bruce Hill,
Worthington, Dist. 2; Bob Crowley, lona, Dist. 3; Steven Hansen, Clear Lake, S.D., Dist. 5; David Bunde, Stewartville, Dist. 6, and Adam Schumacher, Heron Lake, Dist. 7.

'Project's on Schedule"

Engineering Coordinator Delivers Upbean Report

"The project's on schedule."

That was only part of the upbeat report delivered by John Prohaska, engineering coordinator for the Minnesota Soybean Processors plant rising from the prairie near Brewster, Minn.

Prohaska said favorable weather conditions have allowed on-time component deliveries, and good planning and engineering have permitted accelerated completion schedules by contractors and prompt deliveries of equipment.

For the preparation and extraction buildings, he said both the first and second floor control centers in the "prep building" have been built, permitting electrical contractors to
begin installing miles of wire and conduits. The second floor steel in the extraction building has been completed, and three-quarters of the extraction vessels have been positioned.

The four concrete meal and hull silos are in place and roofs were poured early in April. The silos will have a total of 6,000 tons of meal and 500 tons of hulls/pelleted hulls storage capacity. One (of six) bean silos has been completely built; each silo will hold 333,000 bushels.

Receiving scales are in place and installation has been completed. He also reported the underground utilities contract has been let to an Adrian, Minn. contractor, Henning Construction.


MnSP Board of Directors


District 1 District 2 District 3 District 4 District 5 District 6 District 7

Robert Kirchner
Brewster MN
507-842-5592
Ron Obermoller
Brewster MN
507-842-5467
Bob Crowley
Iona MN
507-425-2021
Galen Van Beek
Inwood IA
712-753-2286
Steven Hansen
Clear Lake SD
605-874-2313
David Bunde
Stewartville MN
507-533-4928
Paul Henning
Okabena MN
507-853-4669
LeRoy Kellenberger
Beaver Creek MN
507-673-2283
Bruce Hill
Worthington MN
507-842-5402
Don Louwagie
Marshall MN
507-532-6081
Keith Waltner
Parker SD
605-648-3224
Todd Stroschein
Clear Lake SD
605-876-3721
Gary Dieterich
Rudd IA
641-395-2383
Darol Schmitz
Brewster MN
507-842-5413
Steffen Van Westen
Reading MN
507-478-4552
Bill Fest
Heron Lake MN
507-793-2585
Jim Sallstrom
Winthrop MN
507-647-2546
Larry VanMeeteren
Sheldon, IA
712-324-4088
Edward Verhelst
Huron SD
605-352-5564
Eric Thorn
Chatfield MN
507-867-1427
Adam Schumacher
Heron Lake MN
507-793-2588