The Paducah-McCracken County Riverport Authority has reached a 10-year lease agreement with an additional 10-year extension option with Southern FS to construct a state-of-the-art Fertilizer Handling Facility in its Bulk Terminal complex.
"The signing of the agreement will continue to offer our region's agricultural partners a well-established supply chain with Southern FS for our four-state region. We are excited to continue the relationship with Southern FS through this hybrid public-private venture," said Bill Miller, the Paducah-McCracken County Riverport Authority's Executive Director.
The process began in July 2018, when the Riverport advertised a Request for Qualifications for the construction, lease, and operation of a Fertilizer Handling Facility. Sealed bid packages from qualified bidders were opened during a public meeting in August.
Alan Kirby, Southern FS General Manager, said the facility will replace the one currently leased at the Riverport.
"A Southern FS-owned facility will allow us to operate at a higher capacity and ensure continued supply of fertilizer products to local customers and others throughout the region," says Alan Kirby.
Kirby noted the new terminal is adjacent to a fertilizer solution terminal, owned by GROWMARK. Southern FS is part of the GROWMARK System, which provides agriculture and energy products for its FS members. "This project is in a strategic location for us and supports our efforts to maintain reliable access to fertilizer for our customers. Proximity to a GROWMARK solution terminal provides synergies for our customers, as well," Kirby added.
Kirby said the current facility will remain operational until the new facility is complete. The new facility is expected to be complete by the end of 2019.
"Paducah Economic Development wishes to congratulate Paducah McCracken County Riverport Authority on this major achievement. Paducah's location is ideal for the river industry and the success of this industry is vital for our economy. This is another major success not only for McCracken County Riverport Authority but for our community," says Glen Anderson, Paducah Economic Development Interim Director.