CBH considers potential receival site

by Holly Demaree
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WEST PERTH, AUSTRALIA —The CBH Group is exploring the potential for a new receival site at Roelands, near Bunbury, to enhance services to growers in the western Australia region.

David Capper, general manager of operations for CBH Group, said growers had been calling for increased services in the Bunbury region and the proposed site was one possible solution for CBH to provide a better service.

“One factor in CBH exploring the potential for a new site at Roelands is that the amount of grain in the Bunbury catchment has continued to increase in recent years,” Capper said. “The Bunbury region has also recently benefited from upgrades to the Coalfields Highway, which is a key piece of infrastructure that now makes this project a viable option. CBH endeavors to provide the most competitive supply chain for our growers.”

The cooperative will this month lodge a development approval submission for the project with the Shire of Harvey.

Development costs for the 120,000 tonne storage site are estimated at A$9 million.

Development costs for the 120,000 tonne storage site are estimated at A$9 million. The proposed site would be located approximately 20 kilometers from Bunbury.

The possible investment is a part of CBH’s Network Strategy that Wally Newman, CBH chairman, discussed in the co-op’s annual report in January.

“Over the past 12 months, we’ve commenced a Network Strategy that will see investment of A$750 million over the next five years, focused on the 100 sites that currently receive 90% of the annual average crop,” Newman said. “Our network is the core of your cooperative and the best way in which we can create and return value. The Network Strategy is aimed at ensuring we continue to deliver a cost-effective and efficient storage and handling service to growers and marketers for generations to come.”

A final investment decision on whether to proceed with the development will be subject to approval from the CBH board following the due diligence process.

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