TORONTO, June 5, 2014 /CNW/ - Ceres Global Ag Corp. ("Ceres" or the "Company") (TSX: CRP) today announced that its wholly owned subsidiary, Riverland Ag Corp. ("Riverland"), and Consolidated Grain and Barge Co. ("CGB"), a wholly owned subsidiary of CGB Enterprises, Inc., have mutually agreed to terminate their agreement to sell Riverland's Savage, Minnesota grain storage facility to CGB.
"We remain focused on continuing to improve operations at Riverland including optimizing our capacity and increasing our turnover," said Michael Detlefsen, President and CEO of Ceres. "At the same time we are developing additional business opportunities at the Stewart Southern Railway and completing construction on the initial phase of the Northgate Commodities Logistics Centre."
CGB continues to lease storage space at the Savage elevator, and the companies continue to work together to expand their business relationship in the Upper Midwest.
About Ceres Global Ag Corp. (ceresglobalagcorp.com)
Ceres Global Ag Corp. is a Toronto--based company focused on two primary businesses: a Grain Storage, Handling and Merchandising unit, anchored by its 100% ownership of Riverland Ag Corp., and a Commodity Logistics unit, containing its 25% interest in Stewart Southern Railway Inc. and its development of the Northgate, SK Commodity Logistics Centre. Riverland Ag Corp. is a collection of nine (9) grain storage and handling assets in Minnesota, New York, and Ontario having aggregate storage capacity of approximately 48 million bushels. Riverland Ag also manages two (2) facilities in Wyoming on behalf of its customer--owner. Stewart Southern Railway Inc. is a short-line railway with a range of 130 kilometres that operates in South--eastern Saskatchewan. The Northgate Commodity Logistics Centre is a proposed $90 million grain, oil and oilfield supplies transloading site being developed in conjunction with Riverland Ag and several potential energy company partners, connected to BNSF Railway.
CGB, with over 90 grain elevators across the Midwest, oversees a diverse family of businesses providing an array of services for producers. The company's entrepreneurial approach has thrived over 40 years and also includes transportation, processing, bulk handling, financing, crop insurance, and logistics services for a global base of customers. Visit www.cgb.com to learn more.
Cautionary Notice: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation and United States securities laws about the sale of the Savage facilities, the business relationship between the business and CGB and the financing of the Northgate Commodity Logistics Centre. Forward-looking information in this news release are subject to a number of risks and uncertainties that could cause actual events or results to differ materially from current expectations. There can be no assurance that this transaction will be completed, or the timing of any closing. Some of the factors that could affect the closing of the transactions include the need to obtain regulatory approval and satisfaction of other closing conditions. Ceres undertakes no obligation to update forward-looking information if circumstances or management's expectations should change, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.
SOURCE Ceres Global Ag Corp.
/CONTACT: Ross Marshall
(416) 815-0700 ext. 238
firstname.lastname@example.org Greg Beck
VP Grain Division
CGB Enterprises, Inc.
Original release available at: http://online.wsj.com/article/PR-CO-20140605-905341.html