CHS Broadbent is building a grain-storage facility and export terminal on land currently owned by Midway on Geelong’s North Shore. Photo: Midway

WORK is under way at Australia’s newest grain-storage and export terminal at GeelongPort, with grain intake expected to start in the first half of 2025.

In November 2023, global agribusiness CHS Broadbent announced it had entered a Memorandum of Understanding with Australian plantation, carbon-management and woodfibre-export company Midway Limited to buy a section of its North Shore site in Geelong.

Under the terms of the MOU, CHS Broadbent would build and operate the site, which will have the capacity to store 80,000 tonnes of grain.

It would also initially lease and then acquire freehold title to 5ha of the Midway site.

The announcement released to the ASX indicated the site would be ready to receive, store and export grain from the second half of 2024; however, Midway has revealed this timeline will mostly likely be extended to early 2025.

Midway managing director Tony McKenna gave an update on the project as part of a presentation to shareholders yesterday.

He said the development lease between the parties had commenced, and work was under way at the grain site.

“CHS Broadbent have commenced construction of grain silos on the Geelong site,” Mr McKenna said.

He said grain-export volumes were expected to start in the second half of the current financial year.

“Securing the grain project is a major milestone for the company.

“It secures additional volume that generates revenue for use of the shiploader, and it proves up the value of the North Shore portside land.”

Mr McKenna said the sale of the 5ha Geelong site for $15.5 million was due to settle in the second quarter of 2025.

Alongside the grain development, Midway had almost completed reconfiguration and development works at the balance of the site.

“Considerable progress has been made in developing infrastructure on the underutilised part of the site.

“With the North Shore site being reconfigured to move the woodchipping operations from the grain portion of the land, Midway has developed an extension of the concrete chip pad and constructed a new log yard.

“The site optimisation development works are 80 percent complete, with a new weighbridge in place and a new operations office under construction, and paved truck routes being developed through the site.

“There will be some further capex for a new reclaim and transfer conveyor that will increase the flexibility and operating efficiency of the reconfigured site.”

GeelongPort will manage planned upgrade works to the Corio Quay North 4 shiploader as part of the project.

These upgrades will be funded by both Midway and CHS Broadbent.

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