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Knife River Acquires Texas Aggregate Deposits
Friday 01 March 2019

1 March 2019 - North Dakota, US-based energy delivery and construction materials and services provider MDU Resources Group, Inc.'s (NYSE: MDU) Knife River Corp. subsidiary has acquired substantial additional aggregate deposits in Texas, the company said.

MDU said the deal will augment existing company operations and enhance its ability to sell aggregates to third parties.

The 570 acres of land near Marble Falls, Texas, were purchased from Capitol Aggregates Inc. Financial details of the acquisition were not disclosed.

The "Honey Creek" property has access to a major rail line, and Knife River anticipates adding a rail loading facility to the site to transport aggregates to existing company locations in Waco, Bryan and Beaumont, Texas, as well as to third parties. Knife River is pursuing the necessary permits to harvest the aggregates.

Once permitted, Knife River expects this source will provide an approximately 40-year supply of high-quality aggregates to Knife River's existing Texas markets.

Knife River Corp. mines aggregates and markets crushed stone, sand, gravel and related construction materials, including ready-mix concrete, cement, asphalt, liquid asphalt and other value-added products. It also performs integrated construction services. 

MDU Resources Group, Inc., a member of the S and P MidCap 400 index and the S and P High-Yield Dividend Aristocrats index, is Building a Strong America by providing essential products and services through its regulated energy delivery and construction materials and services businesses. 
Details
Date Published: 01/03/2019
Target: 570 acres of land/aggregate deposits in,  Texas
Country: USA
Sector: Petroleum/Natural Gas/Coal
Type: Corporate acquisition
Financing:
Status: Agreed
Vendor: Capitol Aggregates Inc
Buyer: Knife River Corp
Comment:
Terms of the deal were not disclosed

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