New Oilseed Crushing Plant to be Erected in South Dakota

A new oilseed crushing facility is to be erected near Mitchell, South Dakota, according to Tom Kersting, CEO of South Dakota Soybean Processors.  Unlike the first two plants owned by South Dakota Soybean Processors, the new facility will be a switch plant, meaning it will have the ability to process not only soybeans, but other high oleic crops such as sunflowers, canola, and camelina.

The plant will have a capacity to crush 100,000 bushels per day.  Its ability to process multiple crops is expected to drive the expansion of specialty crop acres in the area, Kersting said.  The soybean meal produced by the plant will be exported and the co-op is partnering with a company to off-take the oil to produce renewable diesel.  It is also exploring partnerships to export soybean meal.

“For years, almost all of the oil produced at our crush facilities went to the food industry and now, half of it is going into renewable diesel and we expect that to grow,” said Kersting. The project is expected to take two years to complete, and to start operation by October 2025.