October 3, 2012

In order to increase storage capacity for grains and oilseeds in meeting growing global demand, Richardson International Limited said on October 1 that it aims to invest about CAD120 million (US$122 million) in its port terminal facility in Vancouver.

Richardson has applied to Port Metro Vancouver for a permit approval for the project, which would take two years to complete. Richardson's Vancouver terminal is currently operating at maximum capacity, handling approximately three million tonnes of grains and oilseeds each year. With growing global demand, Richardson expects to handle in excess of five million tonnes of grains and oilseeds annually with additional storage capacity in Vancouver.

"Increasing storage capacity at our Vancouver terminal is critical to our business," said Darwin Sobkow, Richardson's vice-president, Agribusiness Operations. "By increasing storage capacity and enhancing our operation, we will be better positioned to serve our farmer customers and meet increasing demand for Canadian grains and oilseeds from end-use markets worldwide."

Richardson plans to build an additional concrete grain storage annex with a total capacity of 80,000 tonnes at its Vancouver terminal. The project includes the installation of distribution equipment and an upgraded dust filtration system. By eliminating existing steel storage bins, Richardson would net an additional 70,000 tonnes of storage, bringing total storage capacity at its Vancouver terminal to 178,000 tonnes.

Richardson recently invested CAD20 million (US$20.3 million) to improve rail receiving capacity and increase operating efficiencies at its Vancouver terminal. By reconfiguring the rail yard and adding a second, fully-functional rail unload pit and railcar indexer, Richardson can double the number of railcars it unloads from 150 cars a day on a single track to 300 cars a day on a double track.

"Vancouver is the major port for exports of Canadian grains and oilseeds and this project is a significant investment in the Pacific Gateway," said Curt Vossen, president of Richardson International. "It supports Port Metro Vancouver's vision to grow the port and increase Canadian trade and it is an investment in the local economy through the creation of hundreds of jobs during construction and another 40-50 permanent positions at our facility."

As part of Port Metro Vancouver's permitting process, Richardson is conducting a stakeholder engagement programme from October 1-19 to provide community members and other stakeholders with information and an opportunity to provide feedback on the project.