South Dakota Soybean Processors Llc (OTC: SDSYA)

South Dakota Soybean Processors Llc owns and operates soybean processing plants and a soybean oil refinery in South Dakota. The company's core business revolves around processing locally grown soybeans into soybean meal and oil. These products cater to various industries, including livestock feed, food, biodiesel, and chemical sectors. The company's operations are centered around two main facilities: one in Volga and another near Miller, South Dakota. Additionally, it is developing a large oilseed processing plant and refinery near Mitchell, South Dakota, expected to be operational by the fourth quarter of 2025.

Revenue is generated through the sale of soybean meal and oil, which are processed from soybeans supplied by local agricultural producers. The company markets soybean meal primarily to resellers, feed mills, and livestock producers, while soybean oil is sold to food, biodiesel, and chemical industries. The company also offers contracting services for the construction and management of oilseed processing plants. The primary customer base includes local and regional buyers, as well as export markets.

• Volga Plant: This facility processes soybeans into soybean meal, hulls, and crude soybean oil. The crude oil is further refined at the adjacent refinery, producing refined soybean oil for the food industry. The Volga plant also houses a deodorizer, enabling the production of deodorized oil for direct sale to the food industry. Additionally, the company has invested in Prairie AquaTech, LLC, which operates a production facility adjacent to the Volga plant, producing high-quality protein feed derived from soybeans for the fish and pet industries

• Miller Plant: This smaller oilseed processing plant near Miller, South Dakota, processes identity-preserved soybeans, including non-genetically modified organisms (GMO) and organic soybeans, expanding the company's market reach into specialized soybean markets

• Mitchell Plant: Under construction and expected to be operational by the fourth quarter of 2025, this facility will be a switch-processing plant capable of processing soybeans and other oilseed varieties. It will have a significant capacity to process 35 million bushels of soybeans annually and will produce soybean meal, hulls, crude oil, and refined oil

South Dakota Soybean Processors Llc operates in a competitive industry dominated by a few large players, including Archer Daniels Midland (ADM), Bunge, Cargill, and Ag Processing (AGP). These companies control a significant portion of the soybean processing market. Despite being smaller in size, the company maintains a competitive position by producing high-quality products, operating efficient facilities, and investing in value-add projects. The company's strategic location in South Dakota, with access to adequate soybean supplies and strong demand for soybean meal, further strengthens its market position.

The company's customer base is diverse, including resellers, feed mills, livestock producers, and industries involved in food, biodiesel, and chemical sectors. Soybean meal is primarily sold to customers in the local area, Western U.S., and Canada, while soybean oil is sold to refining companies, the food industry, and the biofuel industry. The company's products are shipped by rail, with services provided by the Rapid City, Pierre & Eastern (RCP&E) rail line, which connects to major rail networks.