American agricultural cooperative CHS Inc. announced plans this month to construct a new, state-of-the-art grain terminal with 1.25 million by of storage capacity at its existing location in Erskine, MN.

Slated to open in 2023, the new asset in Minnesota will expand the firm’s capabilities and boost the efficiency of its operational footprint. The addition of the new facility will increase the site’s overall storage capacity to 4.55 million bu.

“CHS is committed to growing our cooperative with customer-focused solutions that make it easier for producers to do business with us,” Rick Dusek, executive vice president of ag retail operations for CHS, said in a release. “Our people, assets, capabilities, and operational footprint are the strengths of our retail platform, and this important project advances our strategy to expand our customer-focused retail solutions platform, creating value and driving growth for farmers – as customers and owners. This facility is a key location in the flow of grain from the Upper Midwest to export terminals in the Pacific Northwest.”

The company said it is prioritizing safety features and advancements in operating conditions as it builds out the new facility.

“Along with expanding our grain handling capabilities and value to area farmers, the new facility will create advantages for our employees, farmers, and community,” said James Hardy, manager of CHS Northern Grain, a CHS business unit that manages 11 grain facilities in northwest Minnesota, in a statement. “Improved traffic flows, better operating conditions, advanced equipment, and the latest safety advances are just some of the innovations to help provide a better customer experience. We want to get producers in, out, and back to the field as quickly as possible.”

The construction project is being led by Vigen Construction.