Knife River, an MDU Resources subsidiary, has acquired additional aggregate deposits in Texas to improve its ability sell to third-parties.
The 570 acres of land near Marble Falls was purchased from Capitol Aggregates for an undisclosed amount.
Knife River intends to use the 'Honey Creek' property, which has access to a major rail line, to add a rail loading facility to transport aggregates to its existing locations in Waco, Bryan and Beaumont as well as to third parties. Also, it is now pursuing the necessary permits to harvest the aggregates which it anticipates will provide an approximately 40-year supply of high-quality aggregates to Knife River's existing Texas markets.
David L. Goodin, president and CEO of MDU, says: "This acquisition supports our strategy of focusing on vertical integration. High-quality construction materials are centrally important to Knife River, and we believe that growing our aggregates position in Texas and owning more of our source rock is a good business decision."
