Sunday 11th Apr, 2021

CBH to invest $150M into storage infrastructure

Grain. Photo: Ingram Publishing
Photo: Ingram Publishing

Grain handler CBH Group has budgeted $150 million for projects that will add more than 800,000 tonnes of storage and associated inloading and outloading equipment for its network.

More than 650,000 tonnes of new storage was constructed from 14 projects in 2018, with planning underway to start construction of nine new projects this year.

Work is expected to begin in the coming months, with key storage projects including 236,000 tonnes of additional storage at the McLevie receival site, 122,000 tonnes at Dowerin, 152,000 tonnes at Cranbrook, 96,000 tonnes at Wickepin and 84,000 tonnes at Lake Grace.

Additionally, CBH has scheduled the implementation of a number of enhancement projects for the financial year to allow receival sites to receive grain faster.

CBH Chairman Wally Newman said the work to be implemented on the network this year continued to build on the accelerated pace of delivery undertaken in past financial year.

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“Our growers are operating in an increasingly competitive global environment and with this in mind, we’re preparing the network so it’s not just the best in Australia but rivals the best in the world – and our growers are the sole beneficiaries of this supply chain,” Newman said.

“By continuing to invest significantly into the network, CBH can keep its network fees competitive, increase throughput capacity and efficiency, and meet export demand at the right time to capture value for our growers’ grain.”

CBH General Manager Operations Ben Macnamara said investment into the network continued to evolve to meet growers’ requirements and on farm harvesting and logistics capacity.

“CBH has adopted the Plan-Build-Operate model, which ensures the significant ongoing investment into the network is well thought out and delivered on-time and effectively for the benefit of growers,” Macnamara said.

“This model utilises a rolling three-year planning cycle to drive the effective deployment of capital and shape the network of the future.

“Our plan is refreshed every year after extensive analysis and consultation, and this helps us to inform decisions on inloading and outloading grain and storage options at each of the core sites,” he said.