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SDSP Plans Oilseed Facility in South Dakota

Multi-seed processing plant is in response to rising demand for vegetable oil

Pile of sunflower seeds via pixabay feb 2022

South Dakota Soybean Processors, LLC (SDSP) is planning to build a multi-seed processing plant near Mitchell, SD.

The facility will have the capacity to process 35 million bushels of soybeans annually or the equivalent 1 million tonnes of higher-oil crops.

The project was initiated in response to rising demand for vegetable oil, SDSP CEO Tom Kersting said in a release.

“A plant with the ability to also process high-oilseed crops, such as sunflowers, significantly reduces the risk of the project and puts the plant in a much better position for long-term success," Kersting said.

Kersting noted sunflowers can produce twice as much oil per acre than soybeans.

“In addition to being near an abundant supply of soybeans, the plant’s western location is tributary to the western side of the state, an area well suited for the production of high-oilseed crops such as sunflowers and camelina.”

Pending engineering, permitting and negotiations with state and local officials, the new plant is expected to be operational in 2025.

Located on the BNSF railway, this will be the third soybean processing plant built by SDSP, which also has facilities in Volga and Miller, SD. It is expected to create 50 full-time jobs.

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