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Cargill has announced it will reopen its high-fructose sugar facility
in Wahpeton, N.D., on March 11.
The $260 million factory was idled on Jan. 16 because of low
fructose prices and high natural gas prices. The company has 126
permanent workers and 50 contract workers.
Richard "Red" Geurts, plant general manager, called it
"guarded news, good news" but added that the company would
keep an eye on the economic outlook.
"I anticipate we'll run hard through the summer -- the heavy
demand period (for high-fructose sweetener)," Geurts said.
"Later in the year we'll look at the horizon."
Geurts said the plant had accomplished significant maintenance and
training.
He said natural-gas prices are lower but "not a lot
lower," and that the inventories are "back down at
reasonable levels."
Pat Bowe, president of Cargill North American Sweeteners, said the
plant would start up on natural gas but may switch to fuel oil or
other energy sources if that is more economical. The plant is leased
from ProGold LLC, a partnership involving Golden Growers Cooperative
of Fargo (49 percent), American Crystal Sugar Co. of Moorhead (46
percent), and Minn-Dak Farmers Cooperative of Wahpeton (5 percent).
Mark Dillon, executive vice president of Golden Growers, a co-op of
corn farmers, said the reopening is good news |