CHS officials hope to see construction begin this summer on its planned $3 billion nitrogen fertilizer plant Spiritwood, N.D., according to Brian Schouvieller, senior vice president, ag business, for CHS.
"Work this summer is still doable if things are worked out in a timely manner," he says.
The things left to work out are the water supply and a final plan for construction.
"No final decision has been made," he says. "We are continuing to work with the contractor on the final design and construction schedule. We hope to have something final in a short while."
Some of the scheduling issues with the contractor involve the transportation of oversized components to the Spiritwood location. Some of these parts are manufactured in Europe and will be shipped to Duluth, Minn., Schouvieller says. Scheduling the shipments across Minnesota and North Dakota are among the details yet to be worked out with the contractors.
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Housing for construction workers is another issue. As many as 1,800 construction workers are anticipated to be in the area during parts of the three-year construction process.
"There is definitely going to be temporary housing," Schouvieller says. "The contractor will have to deal with that."
Temporary housing will likely include crew camps, which could be constructed near Spiritwood.
Another area of concern continues to be the water supply for the plant. The project is estimated to use 3,800 gallons per minute mostly for cooling processes. Stutsman Rural Water District and the North Dakota State Water Commission have been working on solutions to provide enough water for the operation.
"We're happy with what the state and local agencies have done on water," Schouvieller says. "We don't have a final solution but we're happy with the work."
Water plans under discussion include a reuse plant that would process wastewater from the city of Jamestown and local industrial users into water for use by the CHS nitrogen fertilizer plant. Another solution would be a pipeline to deliver Missouri River water to the plant. Both solutions are in the planning stages and may be utilized.
"If we had the water solution and the contractor terms worked out," Schouvieller says. "Then we make sure we have the internal approvals. Then we give the contractor the authorization to begin construction."
Schouvieller says while there are still questions on the project, CHS is committed to building the fertilizer plant.
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"We're doing our best to make the project a go. We'll make good decisions based on our member owners," he says.
CHS is a farmer-owned Fortune 100 corporation involved in agricultural product marketing. It is headquartered in Inver Grove Heights, Minn.